Source: DAO Talk
There are many ways to make money, apart from luck, most of them are about realizing cognition, regardless of the merits of the method.
— — — — Old Leek (partner in the group)
Recently, through the messages left by the background partners, I can feel that many people are just entering this field and are experiencing the bull market for the first time.
Before giving specific advice, let's think about a few questions together:
What are the reasons for you to enter this circle?
What is your current work or life situation?
What are your future efforts and goals?
What are your expectations for returns and losses?
Whether it is the capital market or work and life, we are always in a constantly changing environment. We cannot change the cyclical nature of the environment, but we can find a relatively balanced strategy in this environment.
1. If you are experiencing a bull market for the first time, treat trading as a sideline
The bull market can easily create the illusion that "making money is too easy". If you currently have a stable job and income, trading in the crypto market can become a way for you to expand your skills, don't question or even abandon your current job status just because you have temporarily made quick money. Don't stay in one place and look for it, go forward while looking for it.
The bull market is temporary, and the long wait and patient layout is the norm for trading. While doing a good job in your main business, go to improve the cognition of your sideline, calmly experience a complete market cycle, use a small amount of funds for trading, from questioning the market, to understanding the market, and then to participating in the market, it is not something that can be understood overnight.
When your sideline has enough strength to support your own life, you can consider turning it into your main business, or even further pursue the things you really yearn for in your heart.
2. There are ways to play with small-scale funds, and there are ways to play with large-scale funds
If you don't participate in trading, you won't be able to understand the market. If you bet everything, you are likely to be manipulated by the market.
The things that are easily available in life are also easy to lose again. Only by first understanding the rules can you use the rules. Anyone who enters the capital market should first understand, and then realize.
So the second piece of advice for partners who are participating in trading for the first time is: for the first round of the bull market, use the part of the funds that you can completely lose without affecting your future normal life. Because if you make money, it's icing on the cake, if you lose money, it's a cheap tuition fee, and being trapped is a low-cost experience of trading. And your life will not become worse because of this, your mentality will be stable, and your subsequent trading behavior will not be deformed.
3. Profit-taking and stop-loss strategies
A partner in the group once said: Money can't be earned forever, but it can be lost completely. Don't pursue a 100% win rate, there is no one with a 100% win rate.
The constantly changing numbers are the floating profits and losses carefully presented to you by the capital. Set a sell-out strategy for yourself, and adjust it regularly in combination with market trends. The success of trading ultimately comes from the heart, and failure also comes from the heart. Trading is a process of constantly experiencing inner struggles, constantly tasting sweetness and bitterness, and is also a grand inner cultivation. When the moon is full, it will wane, and when the water is full, it will overflow. Profit-taking is stability, and putting it in the bag is security.
4. Pay attention to market sentiment, don't be overly optimistic or pessimistic
Pay attention to market sentiment and don't be affected by excessive optimism or pessimism.
A typical feature of the bull market is emotionalism, and market sentiment will become very optimistic as prices rise, but may also become extremely pessimistic due to short-term corrections.
Learn to control your emotions through rational analysis, don't be induced by the market's excessive optimistic sentiment, and don't panic because of short-term price fluctuations.
Focus on fundamental analysis and long-term trends, don't just look at short-term price changes.
5. Record and review your investments
Record your buy and sell decisions and the reasons behind them. The fast pace of the bull market is easy to make people lose their way, regular review of your investment strategy and decision-making can help avoid emotional decision-making, and can also help you learn from past decisions.
6. Don't believe in or be deceived
You can be tempted, but don't be deceived.
Be wary of promises that are "too good to be true", prevent "phishing websites" and malicious links, regularly check your account and transaction records, and understand common types of fraud.
Partners who have just entered the crypto market, you are here to make money, not to give money away.
