The main reason is that they do not understand the value of this digital currency. Some people are afraid of being deceived by scammers. They believe too much in national propaganda, go from right to left, have short-sightedness and fail to see the world situation. In the final analysis, these people are out of their minds. Simple, without scientific knowledge, and unable to distinguish between good and bad things.
There are several reasons:
1. The field of digital currency is indeed a bit chaotic. Mainly ico.
Bitcoin was born. After ten years, everyone realized the importance of digital assets. The most important thing is that everyone realized that the underlying technology of Bitcoin, blockchain, has great application value, so Many companies have begun to delve into blockchain technology, and companies like Wanxiang have been laying out their plans very early. Each blockchain project has its own asset representation, digital currency, and many people are willing to put digital currency on sale. This is a bit like the initial issuance of stocks, corresponding to IPO, named ICO. ICO came to this world not long ago. It is just a toy in the geek community, but in the eyes of many smart people and funds, it is a good opportunity to make money, so they use ICO to become angels, do private equity, and trade on exchanges, and they In fact, it will take a certain amount of time for projects to come out, and many of them will not even come out. In the past, we started a business first and then went public, but now we have to go public first and then start a business.
2. Therefore, the first wave of scammers in this wasteland are mostly scammers. It is normal to say that 95% of current ICO projects are scammers. Like the Internet around 2000, no one knows how to do it. How it will develop will be similar to the current blockchain.
3. We must pay attention to the prospects of blockchain. Basically, large companies have plans or have begun to make plans in this area, and the vast majority of companies facing this trend are speculators. In 2016 and 2017, there were many people who made a lot of money by speculating on currencies. Their legends began to spread, attracting more people to join, and then became the belief of many people.
4. Those who blackmail digital currencies and say they are tulips and Ponzi schemes have several types of people:
1) Extreme risk averse people who think insurance is a lie, financial management is a lie, and digital currency is certainly a lie. These people generally have low education, low income, and outdated ideas;
2) Some people have some superficial understanding, think the risk is extremely high and persuade others;
3) Some people are jealous and give up due to the stimulation of revenge by people around them;
5. Generally speaking, digital currency currently carries extremely high risks. It is recommended that if you are not very familiar with or optimistic about the project, do less and watch more.
Don’t invest everything; don’t invest in loans, don’t do futures, and don’t sell houses.
You happen to be playing with coins and a lot of people are hacking it, so I would like to congratulate you first, at least so far the coin has been able to resist being hacked. If you are interested in Funcoin, you should think it is valuable, and even if it is hacked, you can enter it at a relatively low price. But I think digital currency is more like a commodity, which is currently only used to meet the needs of anonymous transactions. It does not have scarcity (Bitcoin is limited, but other currencies can be created at any time in the network), and it does not correspond to any assets. I have a question for you to think about, "What is the value of digital currency? Why is Bitcoin essentially the same as other currencies? Because the price of Bitcoin can far exceed that of other digital currencies because of its fame, does it really reflect the intrinsic value?"
< p> Zhengxin is here to analyze in detail the psychology of many people in China against digital currencies and why this phenomenon occurs.After reading this, if you are still willing to invest in the currency circle, the article also provides some practical tips to help you on your investment path.
Everyone’s vision and energy are limited. Without the support of actual survey data, it is difficult to say that this is a common phenomenon. What you see may just be a few Internet trolls and keyboard warriors, it may be bookmakers or the media creating momentum, it may be complaints from players who have lost money, it may be precise push for some kind of benefit, all of which will create a "false impression".
Put aside the false and deliberate information. Let’s take a look at what those people who are really hacking digital currencies are hacking.
The most important point is losing money.
Investment in the currency circle is basically "one profit, two losses and seven losses", which means that most people lose money. Just imagine, out of ten people, nine are blackmailing, and the remaining one is useless no matter how much he preaches. There is also a concept of survivor bias here. When applied to the currency circle, people who lose money are more likely to jump out and belittle this investment method to vent their dissatisfaction, while those who really make money just make a fortune in silence and don't want others to share it. A cup of soup.
On the other hand, many people who engage in traditional investments such as stocks, funds, and gold look down on and cannot understand virtual currencies. Because the traditional investment industry is based on entities, stocks are feedback on a company's performance, operating conditions, and future development. Gold and real estate are even more entities. The threshold for digital currency is relatively high, and it is difficult for ordinary people to understand its value and how it works. The better ones may only know the illusory ranking of blockchain encryption technology, let alone invest. But this does not mean that it is not a reliable investment method. < /p>
2. Playing with altcoins and getting tricked
3. Playing with mainstream spot currencies and not being able to understand the technical indicators and getting tricked
2. How to avoid pitfalls and make profits
1. Principles that must be followed
2. Revealing the secret of the wash mode
1. Why is it black: because there are many tricks
1. Playing with contracts and being tricked
What is a contract? To put it simply, a contract allows you to trade with one-tenth or one percent of your capital (that is, leverage). For example, a Bitcoin costs US$10,000. You can buy one now for US$100 (100 times leverage). If it rises to 10,100, it is equivalent to you only spending US$100 in cost and earning US$100. On the other hand, if the loss reaches 9,900, the $100 in your account will be gone. There is also a margin mechanism here. If the money in your contract account is not enough to make a loss, then the position will be liquidated and all the money will be lost (I won’t go into the specific details).
This is the hourly chart of Bitcoin on September 9, 2020. The low reached 9882 and the highest reached 10235. It fluctuated by 350 points in just one hour. Isn’t it exciting?
2. Getting tricked when playing with altcoins
Some altcoins and new coins were born for the purpose of cheating money and cutting leeks, and they are known as hundred-fold coins. In the early days, people were recruited into the group through customer service. There were about 100 people in a group, half of whom were customer service personnel. They posted their profits every day and created an atmosphere. Can you stand it after watching for a day or two? Can you withstand the temptation after watching it for a week? etc. You go in with a big position, buy at the highest point, and then the dealer sells the money and runs away, crying without tears. Some even trick you into entering their small exchanges, but you won’t be able to withdraw the money. For example, KHT in 2019 issued two MLM coins in January, each of which made hundreds of millions of dollars. In the end, it was reduced to zero, and the founder was at ease abroad. Therefore, you must remember that there is no such thing as pie falling in the sky. Even if there is, if it exceeds the scope of cognition, it will eventually be unstoppable.
3. If you don’t understand the technical indicators, you will be tricked if you play the spot of mainstream currencies.
Playing the spot of the mainstream currencies is much more reliable than the previous two, but playing blindly and gambling if you cannot understand the indicators are not the same. There is no difference. For example, if the trend line falls below MA60, will you still buy it? If you can't see it, then be prepared to be trapped for a long time.
Let’s look at the currency Steem below. It fell below the MA60 trend line in early September. Do you want to buy at the bottom? It’s definitely not possible. You don’t know where the bottom is. There is a high probability that it will continue to fall until Next support level.
2. How to avoid pitfalls and make profits
1. Principles that must be followed
I have talked about so many pitfalls before, so here I will talk about playing in the currency circle. Principles can help you avoid 80% of pitfalls
First, don’t play with contracts
The technical abilities and psychological qualities required by contracts are not something that ordinary people can control. If you are a student, There is no need for office workers to make some pocket money by investing in digital currencies. There is no need to spend a lot of time fighting with bookmakers. It is basically useless and affects work and school.
Second, do not play with small coins and altcoins. Historical data Don’t play if it’s not enough
As I said before, don’t touch unreliable coins. No matter how hot the speculation is, we can make enough profits by investing in the top 10 non-small coins. No energy to play.
Third, do not use small exchanges to prevent running away
Here we only recommend the three major platforms of Huobi, Binance, and OKEX. These are the three major platforms with the largest trading volume in the world. It takes a long time, there are many users, and the transaction volume is large.
Fourth, short-term setting of stop-profit and stop-loss
After all, people are not machines. When they see profits, they are reluctant to sell. They always want to make more. Just watch and return overnight. Before liberation, I was reluctant to let go of losses and always wanted to get back my capital. As a result, all my principal was lost. It was difficult to survive in this way. Not only was it tiring, I had to keep an eye on the market, but it was also difficult to make money. Decisions that are difficult for humans to make are left to machines for enforcement. Although they did not sell at the highest point, they are safe after all. Even if they lose money, they will not lose too much. With the study of technical indicators, they have enough capital to buy again. , by constantly revising your investment system and strategies, your accuracy will become higher and higher in the future, and you will achieve stable profits. And it frees up a lot of time to do other things you like, isn’t it great?
2. The secret of the dishwashing model
First, let’s talk about why we need to wash the dishes. Washing the dishes is a way for the dealer to accumulate low-priced chips. When the accumulation reaches a certain level and the price rises, retail investors see that the market is good and chase the price one after another. At this time, the dealer has already shipped the goods. What we have to do is to understand the dealer model, stabilize our mentality, know what stage this is, when to buy and sell, and not to be tricked. Here we first introduce two common dishwashing modes.
First, a false positive wash
The market has been sluggish, with little fluctuation, and even falling steadily. At this time, there should be many retail investors resisting, looking forward to seeing a subsequent rise. , and then a barcode line came. At this time, retail investors began to panic, fearing that the price would continue to fall and stop losses in time. Many people began to sell the low-price chips in their hands.
Let’s take a look at the example of neo. The first two months were in a state of steady decline + sideways, and then there was a big negative line. Many retail investors should have sold here, and then it fluctuated. After accumulating funds, and then three positive lines, if you buy the bottom, you can get 90% of the profit. Even if you don't buy the bottom, you can survive the early decline, and you can get 40% of the profit in the end.
When trading sideways, there are basically no major fluctuations. There are ups and downs. You cannot make profits by relying on these small fluctuations, and you cannot clearly see the future trend. At this time, everyone is more cautious and unwilling to buy. If the currency goes sideways for a long time, such as one or two months, those who have bought it before will start to lose their composure, and may sell the currency to chase hot coins. At this time, the dealer can successfully obtain these low-price coins.
A typical example is LTC, which has been trading sideways for three months. Obviously most people can't stand it. In the last month of trading, the price increased by 85%.
Finally, let’s sum it up:
Those who jump out to criticize digital currency are basically those who have suffered serious losses or do not understand and are unwilling to admit it. The reason for the losses is nothing more than ignorance of technology. Play and fall into various scams. Therefore, we need to abide by some principles to avoid pitfalls as much as possible. On the other hand, we need to understand the dealer's patterns and routines, perform reverse operations, and learn technical indicators. It is not difficult to follow the rules of the game.
Interested friends can learn and communicate together and earn pocket money by the way.
I wish you all to make money every day and achieve financial freedom as soon as possible!
As the questioner said, many people are hacking this digital currency. I think there should be the following factors< /p>
First, I don’t understand. Just like I did at the time, I didn’t understand. Naturally, I was confused when others mentioned it or even gave it to you!
Second, media reports. Most of the media reports are eye-catching things. For example, there is something wrong with this coin, and that coin is a pyramid scheme, which makes everyone talk about it and make everyone scared when they hear it.
Third, there are many types of products, a mixture of good and bad, and there is no unified issuing agency, which makes everyone feel insecure.
Fourth, and most important, is whether the central bank recognizes it and whether the policy allows it. For example, the central bank previously issued a clarification announcement: Our bank has not issued a digital currency, has no promotion team, and has not authorized any institution or enterprise. Issuing, digital currencies currently on the market are non-legal (remember, not illegal) currencies.
However, on May 27, 2017, the Central Bank’s Digital Currency Research Institute started operating. What does this mean? In other words, formal digital currency definitely has its development prospects, so we will wait and see. Well, if you want to be the first or one of the first to eat crabs, you should weigh the risks and benefits yourself, and hope for the best
People in investment have two weaknesses: greed and fear. Because we don’t understand, we are more afraid, and because of fear, we dare not take action.
1. Complex
Digital currency is much more complex than other investments such as stocks, real estate and gold. The blockchain technology behind it It involves a wide range of knowledge, including cryptography, currency, computer science, etc. Ordinary investors will not spend a lot of energy and time learning the complicated principles behind digital currencies in order to invest in them.
2. Stubborn thinking
We can see what the world looks like, but most people can only see part of it.
Currently, state-backed fiat currencies undoubtedly dominate, with a daily transaction volume of approximately US$5.1 trillion, equivalent to US$25 billion in daily digital currency transactions. About 200 times. It is difficult to get investors to change their minds, see the merits of digital currencies, and accept "new" currencies.
3. It’s none of your business
Compared with housing prices, which are closely related to life, Information such as oil prices and non-essential digital currencies did not attract attention before the rise of Bitcoin. However, even after the rise of Bitcoin, most people still do not know what digital currencies are, let alone invest in or use digital currencies. .
In a recent poll, “feeling unnecessary or uninterested” was the top reason why citizens chose not to hold cryptocurrencies.
4. The volatility is too high
Many people are unwilling to invest in cryptocurrencies because they believe that the volatility of cryptocurrencies is too high and the risks are too great. Many investment banks also scorn volatility, stubbornly believing that volatility is equal to and only equal to risk. However, they have overlooked one point. New assets are often accompanied by high volatility when they first appear, but this cannot be used as the only criterion to deny their value.
Furthermore, even if a fixed exchange rate is used to measure various assets or interest rates are set to regulate their flows, the "value" of all currencies and all foreign exchange reserves is It's constantly changing.
There are, without exception, widespread arguments against cryptocurrencies and the blockchain technology that underpins them. Take into account the temporary nature and fragility of ordinary currencies.
Generally speaking, when you have one dollar, you can buy a bottle of mineral water for one dollar, but when a natural disaster strikes and water resources are seriously insufficient, can you still buy that bottle of mineral water with one dollar? ?
5. Virtual equals danger
Obviously, the invisible and intangible digital currency makes many investors think that it is a mirage and is stored in cyberspace. an "illusion".
However, most U.S. dollars are actually circulated in digital form. Foreign research reports show that only 10% of the U.S. dollar supply exists in the form of banknotes and coins.
Therefore, cryptocurrencies are often difficult to understand among those who believe that currencies are “real.”
…
A hundred people have a hundred reasons not to believe in digital currency, but there is only one fundamental reason: There is too little known information, and it is inevitable to fall into the dilemma of blindness.
Because of the existence of the underlying technology of blockchain, many digital currencies have emerged. So why do so many people hack digital currencies? The blockchain at this time is just like the emergence of the Internet. No one knows what the future development of the Internet will be. The same is true for the blockchain.
Of course, some digital currencies are unreliable, but it cannot be ruled out that some digital currencies are reliable, such as Wankei of Wanke Cloud, STA of Starlight Cloud smart devices and other digital currencies.
Of course, it is not recommended that everyone invest in digital currencies casually. When investing, you should pay attention to choosing some reliable ones and study them carefully. The point is, do not invest all your funds in one digital currency. You can diversify your investment. For example, I have some Wanqi coins on hand now, but I am still paying attention to STA on the Starlight Cloud smart device launched by Diandianxingguang.
Finally, I would like to remind everyone, do not vote blindly, but be appropriate.