The world is bustling, all for profit; the world is bustling, all for profit! Hello everyone, I am your friend Lao Cui Shuo Bi, focusing on the analysis of cryptocurrency market trends, striving to convey the most valuable market information to the majority of coin friends. Welcome the attention and likes of the majority of coin friends, and refuse any market smokescreens!
In this article, I will talk to you about the investment in small cryptocurrencies, because recently, many of the users who have found Lao Cui are mostly investing in small cryptocurrencies, especially some are even investing in small cryptocurrency contracts, which is indeed somewhat unexpected for Lao Cui. After communicating with everyone, I found that many of you have a relatively limited understanding of small cryptocurrencies. Often, friends confuse small cryptocurrencies with altcoins and talk to Lao Cui about some unknown small cryptocurrencies. Lao Cui has not conducted specific investigations. You should know that in the coin circle, there are at least hundreds of cryptocurrencies, including those that have not been listed, and Lao Cui cannot possibly understand so much knowledge alone. Especially for newly issued cryptocurrencies, Lao Cui finds it even more difficult to understand.
Today, I will differentiate Lao Cui's understanding of small cryptocurrencies for everyone. First of all, the most blind point for everyone is to look at endorsements. Many big shots promote a cryptocurrency a little, and everyone blindly rushes to buy it. What those big shots want is this effect. A very typical example is FIL, SHIB, and other similar cryptocurrencies. The hype is very strong, but in fact, it is of no help to the cryptocurrency circle. The technical promotion is usually about new technology, cutting-edge technology, or even breaking the traditions of the cryptocurrency circle, and a series of other promotions. In fact, these pieces of information cannot be verified. In plain terms, it is just a publicity stunt to make everyone buy. These types of cryptocurrencies can usually be bought in the short term, but cannot be held for the long term.
Especially recently, many small cryptocurrencies have experienced a wave of rapid growth in the glory of the bull market, which has indeed attracted the attention of many friends. Many coin friends who have found Lao Cui all want to invest in these types of cryptocurrencies. Why would small cryptocurrencies also rise like this? This brings us to the underlying logic. The appearance of Bitcoin is like the foundation of a house, and other cryptocurrencies are built on this foundation. As the land appreciates, naturally the house becomes more valuable. In fact, in the end, it still depends on whether Bitcoin appreciates. The growth of current small cryptocurrencies is only because of the rapid appreciation of Bitcoin, and then there is the follow-up rise of small cryptocurrencies. This has created an illusion for everyone, making them think that the short-term volatility of small cryptocurrencies exceeds that of Bitcoin. But if you want Lao Cui to recommend small cryptocurrencies to coin friends, Lao Cui really cannot be sure who will have a short-term volatility that exceeds the growth of Bitcoin. The surge in growth, all of this is unpredictable, and the overall growth will basically not exceed the magnitude of Bitcoin and Ethereum.
Another point is about altcoins. You can observe that the fluctuations of altcoins are even more obvious. Many cryptocurrencies did not experience large fluctuations during the bull market phase. So, in the short term, these cryptocurrencies can be excluded. Based on the development and optimization of Bitcoin, it is easier to make a judgment. As long as it does not have its own circulation channel (TRC20 and ERC20), such channels are considered altcoins. The characteristic of altcoins is that they rely entirely on hype to make the cryptocurrency appreciate, and then they cut everyone deeply. The ones with a conscience will continue to appreciate, cutting everyone deeply multiple times. Their characteristic is to be born to cut the leeks, so their trend is almost independent of the overall market, entirely at the whim of the market makers. Therefore, altcoins are definitely not to be touched.
As long as it is based on the development of Bitcoin, small cryptocurrencies can indeed be invested in, but the return rate is definitely not as good as Bitcoin, Ethereum, and Binance Coin. For spot trading, Bitcoin, Ethereum, and Binance Coin are definitely the first choices, and they are worth holding for the long term. However, due to the limitation of their volume, small cryptocurrencies are easily manipulated by large funds to grow and fall, so the contract method must not choose small cryptocurrencies. The smaller the volume, the easier it is to be manipulated, which is why everyone feels that the short-term growth of small cryptocurrencies is better than that of Bitcoin and Ethereum. It is all capital manipulation behind the scenes. Always remember that contracts cannot choose the method of small cryptocurrencies. Contracts can only speculate on the fluctuations of Bitcoin and Ethereum, and it is very easy to be manipulated in the short term. You must also avoid this series of risks.
In conclusion, for spot trading, Bitcoin, Ethereum, and Binance Coin are the first choices, followed by small cryptocurrencies (with their own circulation channels due to the limitation of funds), and finally, do not touch altcoins. These are the choices that the bull market phase can offer everyone. As long as you steadily follow the answers given by Lao Cui, you will definitely be able to profit! I wish everyone abundant wealth and good health!
Original article created by public account: Lao Cui Shuo Bi. Please contact the author for deletion if there is any infringement.
Lao Cui's message: Investment is like playing chess. A master can see five, seven, or even a dozen moves ahead, while a lower-level player can only see two or three moves. The higher-level player considers the overall situation, plans for the general trend, and does not focus on individual moves and territories, with the ultimate goal of winning the game. The lower-level player fights for every inch, frequently changes between long and short positions, and only competes for short-term gains, often getting trapped in the process.
This material is for learning and reference only and does not constitute buying or selling advice. If you buy or sell based on this, you do so at your own risk!
免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。
