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In the Crypto Assets market, many investors often fall into a misconception: overly focusing on price predictions. However, this mindset can lead to biases in investment decisions and even affect the overall effectiveness of trading strategies.
In fact, predicting specific price points is often a futile attempt. Looking back at the bull market of 2021, many investors set target prices for Bitcoin at $98,000, $130,000, or even $100,000. However, the market's actual performance showed that after reaching $66,000, the momentum weakened, and after a brief touch of the $69,000 high, it began to decline significantly. In this situation, if investors still cling to their preset target prices, they are likely to miss good profit opportunities.
Rather than trying to predict specific price highs or lows, a more valuable investment strategy is to follow changes in market trends. Specifically, it is important to identify moments when the momentum of price increases or decreases weakens. When the upward momentum weakens, it may be a good time to consider selling; while when the downward trend begins to stabilize, it may be a good opportunity to enter the market.
This trend-based judgment method requires investors to closely follow market dynamics and analyze various influencing factors, rather than simply relying on preset price targets. It emphasizes grasping the market pulse rather than speculating on future prices.
Overall, successful investment in Crypto Assets requires rational analysis and flexible strategies. Over-focusing on specific price predictions may limit investors' perspectives, while paying attention to changes in market trends can help investors better seize investment opportunities and achieve better returns in this market full of opportunities and challenges.