We've been told to buy when the price is low and sell when the price is high. This is pretty much the thumb rule in trading.
But that is not without conditions. It isn't absolute. It doesn't always guarantee profit.
Let us not forget the RISK. And risk correlates with volatility. High volatility means high risk. And since the crypto market is a volatile market, the risk is higher here than in the stock or FX market.
So, the "buy=low, sell=high" strategy only works when you successfully manage the risk.
You can do that by:
1. Investing less than 5% of your total portfolio in crypto
2. Prioritizing other aspects of your finances ahead of investing in crypto
- emergency fund
- retirement savings
- high-interest debt payment
In other words, invest only what you can afford to lose.
To sum it up--"Buy when the price is low and sell when the price is high, BUT invest only what you can afford to lose."
It may not guarantee a profit but it can help cut down loss when the bear attacks.
That is the normal way to do, and if anybody or all of us does that, guess what would happen. It seems that we have already know what will happen to the price, we have predicted it but no. We cannot surely know so if you wanna become rich in this you gotta make risk. That is what makes us different from the rich because we are afraid to take it. Yes we do need that emergency funds, retirement savings etc etc. However what is the reason you came here in the first place? It is to find fortune in here, knowing there is a huge risk, and if you won't take it, it the same as you were back when you did not know anything of this.