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Share the 4 major methods to earn coins in the crypto world:
1. Long-term holding method: Suitable for bull markets and bear markets
The long-term holding method is one of the simplest yet most challenging strategies. Choose some coins and hold them for more than half a year or a year without making any trading operations. Generally, this strategy can yield at least ten times the investment return. However, many beginners find it difficult to stick to it due to price fluctuations, which is the biggest challenge of this strategy.
2. Bull Market Trend Following Strategy: Only applicable in a bull market
In a bull market, use no more than one-fifth of total funds in idle capital. This strategy is suitable for selecting coins ranked between 20 and 100 by market capitalization, as these coins typically do not get stuck for long periods. For example, when a altcoin rises by 50% or more, it can be exchanged for another temporarily declining coin, and this cycle continues. If the selected coin gets stuck, remain patient and wait, as bull markets often bring opportunities to break free. However, the success of this strategy relies on the quality of the selected coins and the market environment, so beginners should operate with caution.
3. Capital Hourglass Strategy: Suitable for Bull Market
In a bull market, funds typically flow gradually from large market cap coins to small market cap coins, a phenomenon akin to a giant hourglass. The rise in coin prices usually starts with leading coins that have a larger market cap, and then gradually spreads to other coins.
4. Pyramid Bottom Buying Method: Suitable for foreseeable large declines
This strategy is suitable for situations where large-scale crashes can be predicted. When buying the dip, you can place orders in batches at 80%, 70%, 60%, and 50% of the coin price, allocating funds in ratios of one-tenth, one-fifth, one-third, and one-quarter.
Each of these strategies has its own advantages and risks, and it is crucial to choose a strategy that fits your risk tolerance and market environment!