5 Essential Things To Know as the Cryptocurrency Bull Market Arrives

5 Essential Things To Know as the Cryptocurrency Bull Market Arrives

Hello, friends, this is AnoPox. The cryptocurrency market has been very active in the past month, and many people have also noticed signs that the market is warming up. Although Ethereum has not yet reached a new high for the year, the increase in related news heralds the arrival of a new phase. However, I cannot tell you exactly when the curtain of the bull market will open. Sometimes we may have to confirm that it is indeed a bull market only after it has gone halfway. Therefore, our best strategy is to be prepared in advance, so that when the bull market truly arrives, we can welcome the various changes that will occur. I think there are several things you should understand to avoid falling into traps in this field full of opportunities, especially for friends who are new to cryptocurrency investment, because I believe my experience can save you a lot of unnecessary troubles and losses. Stick with this article to the end, you will find valuable information. Let’s get to the point.

Analysis of the Warming Trend in the Cryptocurrency Investment Market

Due to the severe fluctuations last week, it became a focal question whether everyone could keep up with this train. Bitcoin almost broke through $38,000, and Ethereum broke the $2,100 mark, with many other cryptocurrency investments also crossing key prices. Many crypto projects made strong efforts during this period, such as the recent resurgence of NFTs, which was surprising. In one day during this uptrend, liquidated funds reached as high as $447 million. BlackRock also officially submitted an application for an Ethereum spot ETF, causing the price of Ethereum to rise 12% from $1,900 in the short term, and naturally, my spot positions soared.

Preparing for the Bull Market: Cryptocurrency Investment Strategy Sharing

Beyond the ETF news, there have also been reports of frequent meetings between GrayScale and SEC officials recently, leading to speculation that they may be in negotiations, and that they have made progress in these talks. The crypto community is always more excited about good news than bad news, which is the so-called “FOMO.” Indeed, during such times, some obscure coins have outperformed cryptocurrency investments like Bitcoin. But as I mentioned last week, when investing in obscure currencies, you need to be careful to assess the risks, understand the fundamentals and potential risks of each project, don’t blindly follow others, and do your own research and preparation.

No investment market guarantees 100% success, and the uncertainty and volatility of the market mean that any investment carries risks. If the market were entirely predictable, then no one would have the opportunity to make money, because the market would lack volatility and counter-parties. The reason the market has profitable opportunities is because there are investors with different views. When one side is bullish on an asset, there will always be people with the opposite view, and such market opponents create price fluctuations, providing opportunities for transactions and profits. Therefore, remember not to believe that you can predict the market accurately, as this confidence may make you overlook the market’s complexity and uncertainty.

Embracing the Bull Market: Essential Points to Know When Investing in Cryptocurrencies

In such a sensitive and complex market situation, many major factors could lead to the cryptocurrency investment market entering a bull market, such as the halving of Bitcoin rewards, the possibility of the Federal Reserve cutting interest rates, and the full approval of spot ETFs. The market may experience a historic rise, an event that usually triggers extreme excitement and attention from market participants.

If the bull market really starts, below are the five things you absolutely must pay attention to. First, with increasing market activity, many new trading platforms may emerge with great fanfare. However, when choosing a trading platform, be very cautious. It is important to choose one with a good track record, rather than just because of recommendations from some celebrities or internet stars. The stability and security of the trading platform are extremely important. Although it is not to say that old platforms are necessarily safe, compared to emerging ones, they are indeed more reliable.

Second, be wary of the possible emergence of new KOLs in the coin circle. Some of them really have good insights, but there will also be weather vanes. When you consume their content, be particularly prudent and judge the authenticity of their information. Third, scam activities will increase during the bull market. The complexity of cryptocurrency investment has become a tool for scammers, from platform scams to personal identity impersonation, various methods emerge in an endless stream. At this time, investors should be particularly careful and be on guard against investment schemes that sound too good to be true.

Fourth, fake news proliferates during the bull market. Many times, some baseless news can cause severe fluctuations in the prices of certain coins, especially altcoins. We can see, for example, when there are reports that a major company has invested in a certain coin, it may just be for hype. When encountering market news, do not be gullible or act rashly, as the risk of blindly following is too great.

The last point is that the bull market will bring a large number of new friends into the cryptocurrency investment market. When you find people around you starting to invest in cryptocurrencies, you will realize that the opportunity has arrived. Sharing knowledge is a good thing, but be careful not to guide them, because if you stop them from investing in a certain obscure coin and that coin subsequently skyrockets, they may blame you for life. It might be a wiser act to console them after they have experienced losses.

All in all, the above five points are the things you must pay special attention to when the bull market starts, and I hope it can help you. If you find this useful, please give me a like and save this column, thank you, and see you next time!