Why Do 90% of Retail Investors Not Make Money in This Bull Run Cycle? 🙏🙏🙏

1. Analyze the reasons why retail investors do not make profits

• Outdated investment thinking: Continuing to apply strategies from previous cycles, such as focusing on altcoins without paying attention to Bitcoin, causes retail investors to miss the current cash flow trends. In this cycle, Bitcoin and large coins are attracting institutional capital, while altcoins are less liquid and harder to grow strongly as before.

• Lack of patience and constantly changing positions: Short-term "trend chasing" or excessively changing investment portfolios causes retail investors to miss opportunities to take advantage of long-term trends, especially during periods of strong market volatility.

• A more complex market: The entry of large institutions and the approval of products like Bitcoin ETFs have changed the market structure. Retail investors need to understand that the simple "buy and hold" strategy or chasing after "shilled" projects is no longer as effective as before.

2. The difference of this cycle

• Institutional participation: With 944,000 BTC (4.8% of the total circulating supply ) held by global listed companies, it is clear that the flow of funds from institutions is shaping the market. This increases stability but also reduces the explosive growth opportunities for smaller altcoins.

• Liquidity and diversity of coins: The market currently has too many altcoins, leading to the dispersion of capital flow and low liquidity. This makes it more difficult to choose the right coin to invest in, especially for retail investors who lack information and analytical tools.

• Switching to BTC: The crypto market is transitioning from a "wild" state to a more orderly one, with the involvement of institutions and stricter regulations.

3. Opportunities for retail investors

• Focus on Bitcoin and major coins: With the trend of capital flowing into BTC and ETH, retail investors should consider prioritizing these assets to take advantage of stability and long-term growth potential.

• Long-term investment strategy: Instead of seeking quick profits from altcoins, investors should build a diversified portfolio, focusing on projects with solid foundations and sustainable growth potential.

• Learn and adapt: The crypto market is becoming increasingly complex, requiring retail investors to conduct thorough research, stay updated, and develop analytical skills to make sound decisions.

4. Suggestions for Retail Investors

• Build a clear investment plan: Set realistic profit targets, allocate capital wisely, and avoid chasing overly promoted projects.

• Focus on knowledge: Learn about the basic (fundamentals) of the project, such as technology, development team, and supporting community.

• Risk management: Only invest money that you can afford to lose, diversify your portfolio to minimize risks, and use tools like (stop-loss) when trading.

• Patience and discipline: Avoid FOMO ( fear of missing out on opportunities ) and do not constantly change your strategy based on short-term market fluctuations.

5. Conclusion

The current bull run cycle presents many opportunities but is also full of challenges for retail investors. The crypto market has matured, requiring more professionalism and deeper knowledge. Instead of chasing the dream of "getting rich quick", investors need to adjust their strategies, focusing on major assets like BTC and ETH, while continuously learning to adapt to the new landscape.

What do you think? Please leave your comments below.