General
Get ready for the next Bull Run!
The Bull Market is near, and there are increasingly more signs of it. We explain to you in detail how to prepare for when it arrives, so you aren’t caught off guard and have time to prepare an appropriate and profitable trading strategy.
What is the Bitcoin halving and why is it considered the starting signal of the Bull Run?
- Bitcoin halving is a pre-programmed event that occurs approximately every four years, reducing the reward miners receive for validating transactions by half. This process controls the supply of new bitcoins, aiming to mimic the scarcity of precious metals like gold.
- As a result, halving typically triggers a decrease in the rate at which new bitcoins are introduced into circulation, leading to a decrease in supply. Historically, this event has been associated with significant price rises, due to increased scarcity and heightened demand.
- Following the previous major surge in cryptocurrency prices, notable changes have occurred, including the maturation of the market and heightened regulatory scrutiny.
- The growing embrace by institutional investors signifies a move towards mainstream acceptance, potentially fueling market expansion.
- It is expected that the next event will occur in the near future, promising significant growth and presenting both opportunities and challenges. Thus paving the way for a new Bull Market that is already beginning to be felt. Especially after the new all time high (ATH) reached by Bitcoin ($70,000) that we announced in this tweet:
https://twitter.com/DEXToolsApp/status/1766126704567660825
Key considerations when preparing your strategy
- To mitigate risks, it is vital to approach the Bull Run with a diversified portfolio and in a thorough and diligent manner.
- High volatility requires focusing on projects with strong fundamentals, real-world use cases, and active development teams.
- Diversifying investments across different cryptocurrencies can balance risks and optimize potential gains.
- It is advisable to keep an eye on the evolution of decentralized finance (DeFi), non-fungible tokens (NFT) and Layer 2 scaling solutions.
- Understanding emerging technologies, such as Artificial Intelligence and Metaverse development, provides insight into market trends and opportunities.
How to behave in the Bull Market?
- Identify Gems: During a Bull Run, promising projects can experience explosive growth. Research new projects thoroughly, focusing on fundamentals, real-world use cases, and development progress. Look for projects with strong communities and a clear roadmap.
- Manage your emotions: Emotions can cloud judgment and lead to irrational trading behavior. Stay calm and rational, especially during periods of market volatility. Don’t let fear or FOMO (Fear Of Missing Out) dictate your trading decisions. Greed and fear can lead to impulsive trades, which often result in losses.
- Network and learn from others: Engage with other traders and investors to share ideas, strategies, and experiences. Join online forums, attend meetups, and participate in trading communities to expand your knowledge base.
- Educate yourself: Understand the fundamentals of blockchain technology and how the market works. This knowledge will help you make informed decisions and identify potential opportunities.
- Develop a Trading Strategy: Decide on your trading approach, whether it’s day trading, swing trading, or long-term investing. Develop a clear strategy with defined entry and exit points, risk management rules, and profit-taking targets. Learn Technical Analysis techniques to analyze price charts and identify patterns and trends.
- Implement proper risk management strategies to protect your assets. This includes setting stop-loss orders, diversifying (as we said) , and only investing what you can afford to lose.
- Stay Updated: Keep yourself updated with the latest news, developments, and trends in the cryptocurrency market.
Make the most of the next Bull Run with DEXTools.
In DEXTools app you have at your disposal the usual tools for your regular trading: Pair Explorer, Big Swap Explorer, Live New Pairs, DEXTswap (our aggregator), among others… But we also recommend you the following:
- Use the search function and custom filters to refine your search and discover interesting projects and gems.
- Add favorites to appear in your User Area and keep an eye on them.
- Use our Telegram bots, for example, our Buy Bot to set up useful alerts. We explain how to use it in this article:
https://info.dextools.io/discover-the-new-dextools-buy-bot/
Also, if you want to practice trading without risk, remember that you have access to DEXTools Trading Simulator to familiarize yourself with trading and practice strategies safely.
And don’t forget our Telegram community to stay in touch with other traders, learn from them and share valuable information and experiences.
We will continue to keep you informed and provide you with the best tools, so stay tuned and trade safely!
