After thinking for a long time, I finally wrote that the secret to making money in the cryptocurrency industry is only four words When the cryptocurrency market is consolidating, negative emotions are amplified, short-term problems become long-term, temporary difficulties become permanent, linear logic begins to prevail, and the decline seems to have no end. Buying at any time seems to be wrong. At this point, long-term holding becomes difficult, and leeks need to bravely say no in order to avoid being trapped by mainstream narratives and pessimistic expectations, and make non mainstream but correct choices at the bottom. What is correct? Doing the right thing in the long run is the right thing to do. To make money in the cryptocurrency industry, the right approach comes from returning to common sense. 🟨 Common Sense 1: Coin prices will not rise to infinity Investors should respect the market, follow trends, and also have cyclical thinking and awareness of turning points. When the trend reaches an extreme, a reversal is inevitable, without the need for reasons or rational levels of understanding and argumentation. In fact, if we rely on rational judgment and factual evidence at the bottom position, we usually see poor data and facts, which makes it easier to draw a conclusion of continuing to be bearish. Because whenever there are enough positive signals, the bottom is not the bottom anymore, and the valuation has already rebounded. In this sense, in the face of extreme market conditions, we should moderately withdraw from the current environment and return to common sense. Believe that the price of a coin will not rise infinitely, and there will always be an end to the rise; Believe that even the worst assets have value, and there is always an end to the decline. Only in this way can one dare to bet in reverse. In the Records of the Grand Historian, there is a biography about the cultivation of goods, which specifically discusses the wealth accumulation of ancient merchants. In summary, it only consists of eight words: "Expensive goods are like manure, and cheap goods are like pearls and jade. Everyone is eager to buy things that have become expensive, not keeping one, and selling as much as possible; Everyone despises things that have become very cheap, hoards them vigorously, and buys as much as they have. This law applies to small-scale agricultural economy, but the conclusion applies to various industries. For cryptocurrency investors, there is a similar saying: 'Sell in a bustling place, buy when no one is interested.'. Assets that everyone despises inevitably contain ample pessimistic expectations. When the price has already reflected all potential negative impacts in advance and gradually unfolds in the future, any changes are beyond expectations, and the price can only rise. The current cryptocurrency market is just right at this moment. 🟨 Common Sense 2: Only when the overall direction is correct can we achieve our goals Many people are unwilling to buy at a low price because they hope to find the lowest point. The underlying message is that if you want to buy, it will rise, and you are unwilling to take on any downside risks. Some investors use right-hand trading to defend themselves, but in fact, after the coin price truly rebounds, they are more unwilling to buy and instead tell themselves to wait for a correction, at least to return to the previous low point. I don't want to lose at all. I have a good calculation, but there are too many clever tricks, and I am destined to miss out on good deals. In reality, continuing to decline after buying is the norm. Even when pursuing right-hand trading, misjudgment is common, and false reversals are rampant. In the cryptocurrency industry, there has never been a strategy of buying to rise and selling to fall. Investors need to understand what they really want, set goals, and focus all their actions around this core goal. They should not be swayed by small gains or benefits, but also be willing to bear small losses in order to achieve the ultimate goal. 🟨 Common Sense 3: Investment is about doing things that are likely to be right In practical applications, the problem for many investors is that they have set a strategy but do not follow it, preferring to make hasty decisions when the situation arises. Essentially, this is a speculative mentality, and investing is about doing things with a high probability of being right. The first step is to abandon the speculative mentality. The main difference between investment and speculation is that investment calculates probability and does things with a high probability of being correct, while speculation is left to randomness and has a mentality of luck. True investors, at the strategic level, adhere to the principle of buying at low levels and selling at high levels; At the tactical level, efforts should be made to increase the winning rate of the target. To improve the winning rate, one needs to conduct research, obtain a probability after research, and then trade based on it, which is investment. Even if the probability is wrong, it's okay. Who doesn't make mistakes. Only focus on motivation, not results. On the other hand, not even willing to read the project white paper and buying any one based on a candlestick chart or a big V recommendation is speculation. Even if the outcome is good, it's still speculation. Who hasn't had good luck. Only focus on motivation, not results. Returning to the current cryptocurrency market, there are numerous projects and intense market fluctuations, requiring investors to make independent judgments. Other people's viewpoints can be referenced and are part of the research, but they cannot be blindly copied. One must have their own thinking. Of course, in practice, many people's independent judgments are often wrong, but that's okay. As long as you continue to accumulate knowledge, your understanding of a certain project or track will eventually surpass that of most investors, thus forming your own circle of abilities. As time goes by, you will be more likely to make accurate judgments, and the distance to successful investment will also get closer and closer. On the contrary, if you stop making independent judgments because they often make mistakes, then you will never be able to make independent judgments and will not be able to embark on the path of investment. Returning to the current cryptocurrency market, valuations are low and there are increasingly more cheap assets available. At this point, instead of complaining about the market not rising, being indecisive, or despairing, it is better to seize the time to conduct research, flip through the stones, find the most likely correct target, and patiently wait for changes to occur. The price of a coin will not rise to infinity, and even the worst or best assets have value. In the cryptocurrency industry, cycles always win at the end. As long as we return to common sense, do the right things in the long run, invest and make money, it will naturally come naturally. Encouragement together!