Having been in the Crypto Assets market for 8 years, I have witnessed countless investors stumbling in four common traps. Today, I will share these valuable experiences without reservation, hoping to provide some practical advice for Newbies.

First of all, there is a mathematical trap hidden in the replenishment strategy. Many people mistakenly believe that the average cost after buying at a high price and replenishing at a low price is a simple arithmetic average. In fact, since more quantity is purchased during low-price replenishment, the true average cost is lower than expected. This erroneous calculation method often leads investors to misjudge their positions.

Secondly, the power of compounding is often underestimated. Theoretically, if a stable daily return of 1% can be maintained, the initial capital could grow more than tenfold within a year. However, in reality, investors who can consistently take profits every day are rare. Excessive greed often leads to losing all previous gains.

Third, a 60% win rate is enough to achieve considerable returns in long-term trading. Suppose in 100 trades, 60 are profitable at 10%, and 40 are losses at 10%, you can still achieve a total return of 300%. This seems simple, but in actual operations, most people find it difficult to withstand the dual tests of greed and fear, and cannot stick to the established strategy.

Ultimately, the idea of rapidly magnifying small amounts of capital into astronomical figures is overly idealistic. Theoretically, achieving a consistent 10% profit for 97 consecutive times could turn 10,000 yuan into 1 billion yuan. However, in reality, the vast majority of people fail along the way due to an excessive pursuit of high returns.

The Crypto Assets market is a grand stage for testing human nature. Those who tout the dream of getting rich quick often end up becoming others' ATMs. Those who can survive long-term in this market are the investors who can strictly control their greedy impulses. Remember, rationality and self-discipline are the keys to success in this market.