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The trend of Crypto Assets has swept in, and the circle of friends is filled with various "get rich overnight" legendary stories. Terms like Bitcoin, Decentralized Finance, and NFT have become hot topics in daily conversations, but very few actually achieve sustained success in this market. As a senior analyst who has struggled in the Crypto Assets field for 15 years, I would like to share some real insights and lessons with everyone.
Looking back on my career, the crypto market has gradually evolved from a niche field to a global focal point. The price of Bitcoin has experienced fluctuations from a few dollars to tens of thousands of dollars, and the market has gone through countless booms and busts. However, during this process, I found that traders who can achieve long-term stable profits are extremely rare.
Many people are obsessed with various trading methods. Some are fascinated by technical analysis, trying to predict market trends through candlestick charts and various indicators; others focus on quantitative trading, confidently showcasing their perfect results from historical backtesting. However, in a real market environment, these methods often struggle to stand the test.
Why does this happen? The answer lies in the weaknesses of human nature. The emotions of greed and fear dominate the trading decisions of most people, leading them to chase purchases at high points and panic sell at low points. Furthermore, the peculiarities of the crypto assets market, such as hacker attacks and sudden changes in regulatory policies, can also be significant factors affecting the market.
My view is that technical analysis does have its value, but it is just a tool, not a crystal ball for predicting the future. It can help us identify market trends, but we should not rely on it too much. I have seen too many traders become obsessed with various technical indicators, only to suffer significant losses in the end.
As for quantitative trading, although it sounds very appealing, it faces many challenges in practice. Many quantitative strategies perform excellently on historical data, but finding the same success in real markets is difficult. This once again proves that the complexity and unpredictability of the Crypto Assets market far exceed our imagination.
As an experienced veteran who has gone through multiple market cycles, I want to remind those considering fully immersing themselves in the Crypto Assets market: this field is full of opportunities, but it also hides enormous risks. Success requires in-depth research, calm judgment, and a profound understanding of the market's nature. Do not be misled by the temptations of short-term profits, but instead focus on long-term value investment and risk management.
The world of Crypto Assets is a field full of challenges and opportunities, and it is reshaping our understanding of finance and technology. But remember, in this rapidly changing market, staying clear-headed and rational is more important than any trading strategy.