"Be greedy when others are fearful." After yesterday's experience, is now the right time to enter the market? Here are 6 suggestions from veteran investors:

The formula for buy the dips in this round of bull market: mainstream coins + mainstream memes

Don’t touch the contract

Stop loss in time. Here are some stop loss strategies:

· Step-by-step buy the dips

Avoid over-diversification

Get enough stablecoins

01 The formula for buy the dips in this round of bull market: mainstream coins + mainstream memes

When the market crashes or makes major adjustments, it usually brings the best "bottom-out" opportunities, but it is recommended to buy the buy the dips in batches and not all in. In addition, it is recommended to buy the dips of mainstream coins + mainstream memes.

Meme coin buy the dips strategy: For those meme coins with large trading volumes and continued popularity, they usually follow a relatively predictable pattern.

Whenever such tokens reach a new all-time high (ATH), their retracement is likely to be no more than 60%. This means that strategic buying can be considered at the following times:

When the token retraces 40% to 60% from ATH

Trading volume remains high

The market is still discussing the token

Taking WIF as an example, the current maximum retracement after ATH is about 59%. This strategy takes advantage of the volatility and market sentiment of MEME coins.

However, there are still risks. Memes can rise sharply and fall sharply, so you need to operate with caution and combine other technical analysis and market research to make decisions.

02 Don’t touch leverage, especially contracts

The reason is simple, a liquidation will leave you with nothing. Coincidentally, today Synthetix’s former CFO SynthaMan revealed in a tweet that he had lost all his SNX tokens due to liquidation.

Secondly, everyone is happy if the order can be carried through, but the funding rate is often an overlooked cost. Finally, the contract has a negative impact on emotions and psychology, which further affects trading operations.

03 Stop loss in time, here are several stop loss strategies

If a position falls below key support or no longer fits your investment logic, don't be afraid to sell to protect your capital.

Rather than risking a big loss, it is better to accept a small loss. When the market conditions improve, you can re-enter the market. It is important to control risk when the market starts to fall, rather than waiting until the decline deepens.

Especially when trading those "shit coin" with large fluctuations, if you choose the wrong timing and strategy, it will often lead to serious losses, or even zero.

Specifically:

· Quick stop loss: If the market moves against you, take quick action and accept a small loss. For example, accepting a 5% loss is not a big deal.

· Set partial stop loss points: Instead of completely clearing your position at a certain price point, you can set multiple price points and reduce your position by a certain percentage at each point. For example, if Bitcoin falls below $60,000, you can choose to sell 10% of your position.

· Flexible buying points: If the market does reverse, you can buy again when the support level is reconfirmed. If the market continues to fall, re-enter the market at a lower price to get a better buying price. Although this will incur some transaction costs, it can effectively control risks.

In short, it is a smarter approach to pay a small loss of 5% in exchange for protection against a possible 50% drop.

04 Buy the dips step by step

Buy the dips all in to buy at the bottom may make you lose money, so you can combine technical and fundamental analysis to set several possible entry points, such as historical support levels or important moving average positions.

When the price reaches these preset points, start buying in batches and gradually reduce the purchase volume in a "pyramid" form, while setting a stop loss point for each purchase to control the risk. Then adjust the strategy in time with market changes.

05 Avoid over-diversification

Focus your investments on 10 (no more than 20) tokens that you recognize, rather than spreading your portfolio across too many tokens, so that you can more easily actively manage your investments when the market fluctuates.

The more types of tokens you trade, the greater the risk of losses. Over-diversification will reduce the overall performance of your portfolio because it is difficult to effectively manage too many positions when the market falls, especially not holding too many Altcoin positions.

06. Get enough stablecoins

Keeping at least 20% of your portfolio in stablecoins can serve as a "bullet" to seize opportunities when prices fall, without being forced to sell existing positions at inappropriate times.

Even if the market is rising, holding a certain percentage of stablecoins will allow you to have enough liquidity to operate when the market pulls back.

If you can’t remember the above investment rules, just remember to protect your capital and survive first. This is the most important thing!

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