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Details: ht
In the vast ocean of Crypto Assets, there is a 38-year-old investor from Hunan, whom we shall call Xiao K. Over the course of 7 years, he increased an initial capital of 100,000 to an astonishing 10 million, successfully acquiring three properties and achieving a diversified asset allocation.
Little K's success does not stem from insider information or extreme speculation, but is built on a set of fundamental investment principles that the market generally overlooks. His insights can help investors avoid common traps, and if you can adhere to three of them, you will stand out among many retail investors.
Firstly, it is crucial to remain calm in the face of the market's rapid rises and slow declines. A slow pullback after a quick surge often signals a market adjustment, and one should not exit easily. However, if there is a sharp rise and fall accompanied by a surge in trading volume, it is likely that large holders are offloading, and at this point, one should decisively exit the market.
Secondly, when facing a slow recovery after a sharp decline, it is important to avoid blindly trying to catch the bottom. In this situation, the rebound is often a deceptive trap, appearing to be a "good opportunity to buy low," but in reality, it may be the beginning of a new round of decline.
Third, high trading volume is an important risk control indicator. If there is a large volume of transactions in the high point area but the price is fluctuating, it may still continue to rise; however, if the trading volume continues to shrink, it often indicates that a significant decline is imminent.
Fourth, a true market bottom requires sustained volume to confirm. A significant one-day increase is not sufficient to be considered a bottom signal; the formation of a true bottom necessitates a moderate and continuous inflow of funds.
Fifth, trading volume is a direct reflection of market sentiment. The candlestick chart can only show price changes, while trading volume can truly reflect market consensus. The essence of Crypto Assets trading is the insight and response to group psychology.
Finally, maintaining a "non-attachment" trading mindset is crucial. Without attachment, one can remain patient amid market chaos; without greed, one can restrain the impulse to chase highs; without fear, one dares to take contrarian actions during market panic.
The Crypto Assets market is never short of opportunities; the real challenge lies in how to maintain rationality amidst extreme volatility and capture the real trends in the midst of overwhelming information. The key to surviving in this market for the long term and achieving asset appreciation is not in short-term explosiveness, but in systematic cognition and strict trading discipline.
Xiao K's success story tells us that in this unknown world of digital assets, rational thinking and firm belief are like a beacon in the dark, guiding investors through the fog of the market to ultimately reach the shores of financial freedom.