"Make Money 'Regardless of Up or Down'"...Trading Strategy Revealed to Break Through Bitcoin's Sideways Market

▲ Bitcoin (BTC)/ChatGPT generated image

It has been argued that investors who make money in the Bitcoin market are not those who correctly predict bull or bear markets, but rather those who control losses and secure profits within a predetermined structure, regardless of whether prices rise or fall.

The cryptocurrency-focused YouTube channel Altcoin Daily emphasized in a video uploaded on May 5 (local time) that the first thought Bitcoin (BTC) trading beginners should abandon is the question, “Is the market currently a bull market or a bear market?” The video pointed out that relying solely on overall direction prediction is disadvantageous because the market repeatedly rises, falls, and moves sideways, and the core is whether profits were actually made.

The video cited trading examples from Mindpillar Markets. The presenter introduced that the channel provides chart-based analysis, risk management, and execution strategies for the Bitcoin and cryptocurrency markets. In particular, DeWalt's trading method was explained as a strategy that utilizes both long and short positions based on chart structure, rather than a bullish view that only sees upside or a bearish view that only sees downside.

DeWalt stated that he made profits multiple times even during sideways periods. He explained that he entered long positions near lows to realize profits at highs, and entered short positions near highs to secure profits during downtrends. The video emphasized that a more important criterion than “did you hit the bottom?” is “did you make money in that range?” It argues that even in a market where Bitcoin loses direction and moves sideways for months, traders who can read the structure can create opportunities.

Risk management was also presented as a key rationale. DeWalt explained that he entered a long position near approximately $64,000 and had already realized 50% profit. This is a measure to protect the position in case the low breaks again. In another trading example, he set the first major resistance level as the target and established a stop-loss, explaining that a risk-to-reward ratio of 2.4 met the minimum criteria. The fact that he secured some profit at the Fibonacci 0.382 level and suggested the next profit-taking zone at approximately $75,200, near the Fibonacci 0.5 level, was also mentioned as a basis for a phased liquidation strategy.

The video emphasized that even if a long position is taken, an opposing scenario should also be prepared. DeWalt explained how to hedge with a short position, considering a bearish scenario where Bitcoin could drop to $63,000. The logic is that even if the price plummets and the long position is stopped out, the short position can partially offset the losses. The video concluded that the key to making profits in Bitcoin trading is not predicting direction, but rather the execution ability to pre-define entry price, stop-loss, profit-taking zones, and hedging strategies.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*