Copy Trading Master’s Winning Strategies Review — Episode 64
Easy Copy, Smart Trade! Discover the winning strategies of our popular traders.
- Copy Trading Master’s Introduction
User Nickname: Colin
Trader’s Profile: https://www.lbank.com/copy-trading/lead-trader/LBA3D77447
Trading Style: Swing Trading
2. Trade Operation Recap
We shorted APE with 5x leverage on cross margin. Entry price: 1.658 USDT, close price: 1.067 USDT, with a single trade profit rate of +178.32%. See the image below:
3. Trade Review
3.1 Market Background
On October 17, the U.S. Census Bureau reported that retail sales in September increased by 0.4% from the previous month, exceeding the forecast of 0.3% and rising from August’s gain of 0.1%. However, annual growth slowed to 1.7%, the lowest since January. Although this retail report doesn’t significantly alter expectations for a 25-basis-point rate cut by the Federal Reserve next month, it does suggest the economy has shown little real sign of a downturn thus far.
On the same day, JPMorgan released a report noting that hedge fund flows have increasingly favored investments linked to a Republican victory. Over recent weeks, stocks likely to benefit from a Republican win saw buying interest reach near two-year highs, while those associated with a Democratic win faced sell-offs, with holdings at multi-year lows. A Republican victory has emerged as one of Goldman Sachs’ top trade ideas ahead of the election. The data show that Goldman’s “Republican Victory” basket has hit a record high, while the “Democratic Victory” basket has fallen back to early Biden-era levels. As the U.S. election season intensifies, the market seems to be picking up on subtle shifts in sentiment, with so-called “smart money” increasingly betting on a Trump win.
On October 23, the Bank of Canada announced a 50-basis-point rate cut, its largest reduction since the early pandemic response in March 2020, in line with market expectations. This marks the Bank of Canada’s fourth consecutive rate cut.
On October 26, Yahoo reported that Microsoft plans to hold a vote at its annual December meeting on a proposal to “consider investing in Bitcoin.” This proposal, put forth by the conservative think tank National Center for Public Policy Research as part of their “2025 Project,” argues that “Bitcoin is an effective hedge against inflation.” Shareholders, including those at Vanguard, BlackRock, and State Street, will have the chance to vote in December. However, Microsoft’s board opposes the vote, calling it “unnecessary,” as the management has already “carefully considered” this controversial initiative.
3.2 Trade Analysis
From October 2 to October 28, Bitcoin’s 4-hour chart showed a fluctuating downtrend before rallying. During this period, prices moved between $69,500 and $65,000, as shown in the image below:
On October 17, a research note from JPMorgan indicated a strong preference in hedge fund flows for Republican-themed investments. Assets expected to benefit from a Republican victory were heavily bought over the past few weeks, reaching holdings close to a two-year high, while assets favoring a Democratic win were sold off, with holdings at multi-year lows. A Republican win has become one of Goldman Sachs’ top trade recommendations leading up to the election. Data reveals that Goldman’s “Republican Victory” basket reached a record high, while the “Democratic Victory” basket returned to early Biden levels. As the U.S. election heats up, the market appears to be sensing a subtle shift in sentiment, with “smart money” increasingly betting on a Trump victory. Following this, BTC prices stabilized and began a gradual rise.
On October 20, BTC consolidated around $68,500. On the same day, the price of APE surged after the project team announced that APE tokens would be used as the GAS token for its Layer 2 network. The launch of the APEChain mainnet also saw a spike in meme tokens, which experienced sharp short-term price gains, causing APE’s price to rise significantly.
On October 21, APE continued to rally, reaching as high as $1.76. This marked a good opportunity to consider shorting, as shown in the image below:
On October 23, the Bank of Canada announced a 50-basis-point rate cut, its largest since the early COVID-19 response in March 2020, and in line with market expectations. This was also the fourth consecutive rate cut by the Bank of Canada.
On October 26, Yahoo reported that Microsoft plans to hold a vote at its annual December meeting on a proposal to “consider investing in Bitcoin.”
As BTC surged, the majority of market funds flowed into Bitcoin, with the U.S. Bitcoin Spot ETF acting as a major catalyst. This influx into Bitcoin led to a sustained sell-off in altcoins.
By October 28, Bitcoin had risen to around $68,500, at which point altcoins began to show signs of recovery. After APE experienced extreme volatility, its price stabilized, prompting the closing of the majority of short positions.
3.3 Winning Strategies Summary
How to Time Your Entry with Altcoins?
First, focus on high-volatility, high-profile projects. While most altcoins aren’t suitable for long-term holding, there are still strategic opportunities to participate in short-term moves.
Second, stay informed about the fundamentals of the token. The crypto market sees a variety of assets surge and dip every day, so choose projects with strong fundamentals behind the movement. Enter on the rumor, and take profits when the news is confirmed.
Finally, be cautious with leverage. If you miss the initial, strong surge, it’s better to wait for an opportunity to short afterward. The key is to use low leverage to avoid being liquidated during price swings.
Note: Personal opinion, for reference only. Opportunities and risks abound, always do your research before investing.
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