Understanding Cryptocurrency Market Dynamics For Optimal Trading

According to PANews, each cryptocurrency bull market often follows a similar pattern: 99% of people either lose everything or leave the market at break-even, unable to profit in time. This is because the crypto market is primarily driven by emotions such as fear, greed, and FOMO (Fear Of Missing Out). Many can advise when to buy, but no one can tell you when to sell. Crypto researcher ardizor has outlined strategies for selling at the highest price. While it's impossible to accurately predict every trend, understanding market structure and rules can help ensure profits and close positions at the best time. Like any other asset, Bitcoin's price follows specific patterns. These patterns are repeatedly influenced by human emotions, especially FOMO. For instance, the market cycle model in the 2021 bull market. To maximize profits, investing in altcoins should be done during the depression phase. Remember: 'Buy when the market is bleeding, even if it's your own blood.' Recognizing when altcoins begin to truly skyrocket is crucial. During the bullish phase of altcoins, returns could be 100 times that of Bitcoin or Ethereum, as their potential rise could be not just double, but up to 1000 times. In a Bitcoin-dominated cycle: - If Bitcoin's market share rises and its price rises, altcoin prices will stagnate or fall. - If Bitcoin's market share rises and its price falls, altcoin prices will fall. - If Bitcoin's market share rises and its price stagnates, altcoin prices will fall. - If Bitcoin's market share falls and its price rises, altcoin prices will rise. - If Bitcoin's market share falls and its price falls, altcoin prices will stagnate or rise. - If Bitcoin's market share falls and its price stagnates, altcoin prices will rise. You may already know how the market works, but without a system, you cannot effectively manage emotions. Here are some trading rules you need to remember: - Treat market profits as salary, not lottery winnings. - Respect your money, don't squander it. There's no such thing as getting rich overnight. Only steady and consistent efforts can lead to victory. - Buy based on expectations, sell based on news. - Don't show up after the party is over. When news comes out, it's time to sell, not buy. If you buy late, you can only satisfy those who bought early and are now laughing in their new Lamborghinis. If you didn't already hold a token, would you buy it immediately from your portfolio? Even if an investment is terrible, people are often reluctant to accept losses or realize they've made a bad investment. They often come up with countless reasons to explain why they hold these tokens. When losses occur, if you ask yourself the above question, you might be surprised at the amount of junk assets in your portfolio. To achieve truly high returns, consider the following factors when analyzing promising tokens: - What is the potential for increase? (Compare this token with other tokens in the same field) - Who are the largest holders and top venture capitalists? - Information about the roadmap, partnerships, team, etc. - Is the token about to be listed on CEX? (Listing usually leads to an increase in liquidity and price, especially when the announcement is made)