Cryptocurrency trading tourism: Can you really bring the money back?

CN
1 year ago

Coin speculation tourism: Can you really bring the money back?

It's getting harder and harder to make money in the coin circle, much harder than before. Today, a friend talked to me about a lot of things. In fact, changes have been happening since 2020. The best time was in 2017, and now it has been so many years. The changes in these more than ten years are indeed significant. Let's first talk about some official reasons.

The first is the high market volatility and uncertainty. The biggest attraction of coin speculation in the coin circle is the market's extremely high volatility. Prices may experience large increases or decreases in a short period of time, making it difficult for us to accurately predict market trends. For example, the price of Bitcoin may fluctuate by thousands of dollars in a day, and sometimes there are tens of thousands of points of fluctuation. This drastic price fluctuation increases investment risk and makes it more difficult to make money.

Secondly, uncertainty is also a significant feature of the coin circle. Factors such as policy changes, regulatory dynamics, and technological developments may have a significant impact on the market. For example, adjustments in regulatory policies in a certain country may lead to significant market fluctuations, making it difficult for investors to predict these changes in advance and make corresponding investment decisions.

The coin circle is exploding with information, and investors face the problem of information overload. Various news, analyses, forecasts, and rumors flood the market, making it difficult for investors to distinguish between true and false information and to filter out valuable investment clues. Incorrect information may lead to incorrect investment decisions, further increasing the difficulty of making money, especially when false information abounds after the launch of new coins. The recent hype around DOGS is a typical example.

Another change is the change in market patterns, especially before the bull market in 2017, when the majority of people did not participate. The most participation in the bull market was from 2017 onwards, and then in 2020 and 2021, everyone was trying to find patterns through the previous two bull markets to make money. Once the pattern is broken, most people will stop thinking. Breaking the comfort zone of thinking, once it is different from their previous operations, the result they face is only two possibilities: losing money or being left empty-handed.

The manipulators have changed, but the retail investors have not. A lot of mainstream capital has entered this bull market, but the bull market has not yet arrived. Retail investors are starting to feel confused. With so much capital entering, is the bull market coming? But unfortunately, only mainstream and meme coins are bullish, while other valuable coins are just standing by without much action. The manipulators are playing tricks, making the retail investors feel sick. The positive news from the non-farm payroll report yesterday resulted in a reverse liquidation. Last month's positive non-farm payroll report went in the opposite direction. It's sickening for anyone, including myself.

The meaning of "retail investors have not changed" is simple. I often see news, all kinds of blind messages, all kinds of retail investors' fixed mindset, blindly chasing highs and killing lows, blindly going all in, without understanding, entering the market in a daze, leaving the coin circle in a daze. The reasons for this have not changed. They don't learn to be friends with the trend and become enemies with themselves. The possibility of making money in the coin circle is almost zero. The times have changed. Stay away from new coins, follow the mainstream, follow the trend. Remember six words: follow the trend, light position, stop loss.

That's all for now.

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