2026-01-16 10:20:49

Trading in the crypto space, there's a particularly useful approach—go with the overall trend and trade against small fluctuations.

It sounds a bit complicated, but it's actually easy to understand. Divide the market into two levels: one is the long-term main direction, and the other is short-term minor adjustments.

For example, Bitcoin is clearly in an upward channel this time, so don't think about shorting. Where are the real opportunities? They are in those sudden small dips. When the price retraces 5%, 10% from the high point, that's a good time to buy against the trend. Although you're short-term trading in a downward direction, overall you're still following the upward trend.

The benefit is that the price is cheaper and the risk is more controllable. Wait for the rebound to act, which allows you to follow the long-term trend and participate at a lower cost. This way, you can kill two birds with one stone and avoid getting caught in a trap.

BTC-0,69%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.

6 Likes

Reward
6
7
Repost
Share

Comment

0/400

LightningPacketLoss

· 1h ago

Sounds good, but in real operations, it's still easy to get trapped --- This logic sounds smooth, but in practice it's full of pitfalls --- To put it simply, timing is always off --- Makes sense, but human nature can't do it --- Playing both sides? I end up losing on both sides --- The key is how to judge the overall trend. I always go against it --- This is the perfect hindsight strategy --- Bottom fishing turns into top fishing, everyone

View OriginalReply0

WhaleWatcher

· 8h ago

That's correct, but in practice, there are still many pitfalls. How do you determine if the retracement is in place?

View OriginalReply0

LayerZeroJunkie

· 8h ago

Basically, it's about buying low and selling high, but with a disguise called "following the trend," which sounds much more professional.

View OriginalReply0

NftMetaversePainter

· 8h ago

honestly this is just fractal market structure wrapped in basic dca logic... the algorithmic elegance here is undeniable tho

Reply0

HashBard

· 8h ago

ngl this is just the fractal narrative everyone tells themselves before getting liquidated lol... the "two-layer market" copium is real tho, can't hate the poetry of it

Reply0

ConsensusBot

· 8h ago

That's right, the key is not to go against the overall trend. This logic is basically about buying low and selling high; it seems simple but few people can actually execute it. Wait, can a 5-point pullback really reliably allow for bottom fishing? It still seems to depend on the fundamentals. This is exactly what I’ve been doing—going with the trend is the way to go. That said, during sudden market shifts, reactions are often too slow. But risk control is indeed impressive; it’s much more reliable than pure directional betting. Bitcoin in the upward channel is indeed profitable; it all depends on who can withstand the psychological test. Sometimes, those who don’t follow the usual patterns achieve the highest returns. This trading approach is suitable for experienced traders; beginners are easily confused by small fluctuations. In essence, it’s a combination of swing trading and trend following—nothing magical about it.

View OriginalReply0

Deconstructionist

· 8h ago

It sounds good, but in practice, it's still easy to get slapped in the face.

View OriginalReply0