The cryptocurrency market is filled with myths of wealth and stories of total loss. These ten truths strip away the glamorous facade, revealing the harsh laws of survival. Understanding them is essential to remain clear-headed in a high-risk market.
1. The 'zero curse' of altcoins
Under the slogan of 'hundredfold coins', altcoins are like traps. Most lack practical application and their prices depend on speculation. Once the hype fades, there is a 99.99% chance they will go to zero.
2. The trap of 'money-making opportunities'
When a project is widely promoted as a 'wealth password', it often hides a harvesting plan. When information frenzy occurs, it is precisely the moment of highest risk.
3. The alternation of bear and bull markets
When the market is in desperate sell-off, the seeds of a bull market often have already sprouted. Extreme emotions indicate a trend reversal, requiring strong mentality and insight.
4. The crisis in an uptrend
When investors are full of confidence in the rising trend, they may step into the trap set by the big players. An overly certain uptrend hides deadly risks.
5. The 'susceptibility' to losses
The high volatility in the cryptocurrency market and 24-hour trading make losses easy to occur. Leverage amplifies risks, and 80% of retail investors end up with losses.
6. The 'true face' of KOLs
Not all KOLs earn a fortune. Some who adhere to their principles have limited income, while unethical KOLs collude with project parties to exploit investors.
7. The brutal truth of contract trading
High leverage contracts are a double-edged sword. Although they seem to have a 50% success rate, the actual number of profit makers is less than 10%. Even slight fluctuations can trigger liquidation.
8. The 'symbiotic relationship' with big players
Fighting against big players is like striking a rock with an egg. Smart investors choose to follow, but they need to judge the rhythm and set stop-loss and take-profit levels.
9. The illusory nature of value
The value in the cryptocurrency market is often driven by greed, as fragile as a bubble. Bitcoin, while having some value, is still full of uncertainties.
10. The luck component in getting rich quickly
In the stories of getting rich quickly in the cryptocurrency market, luck plays a key role. Effort is important, but relying solely on effort is not enough to guarantee wealth.
These ten truths reveal the complexity and risks of investing in the cryptocurrency market. Investors need to stay clear-headed, respond with patience, thought, execution, and discipline, always prioritizing the safety of capital, and avoid emotional trading to find a way to survive in the cryptocurrency world.