Copy Trading Master’s Winning Strategies Review — Episode 65
Easy Copy, Smart Trade! Discover the winning strategies of our popular traders.
- Copy Trading Master’s Introduction
User Nickname: Wallis
Trader’s Profile: https://www.lbank.com/copy-trading/lead-trader/LBA3D77414
Trading Style: Swing Trading
2. Trade Operation Recap
Utilizing a full margin with 10x leverage, a short position was opened on ENS at an entry price of 17.749 USDT and closed at 15.816 USDT, yielding a profit of +108.91%. See the picture below:
3. Trade Review
3.1 Market Background
On October 26, Yahoo reported that Microsoft intends to hold a vote at its annual meeting in December regarding a proposal to “evaluate investing in Bitcoin.” This proposal, introduced by the conservative think tank National Center for Public Policy Research — linked to the “2025 Plan” — argues that “Bitcoin serves as an excellent tool against inflation.” Shareholders, including major firms like Vanguard, BlackRock, and State Street, will have the opportunity to vote on this matter in December. However, the Microsoft board has voiced its opposition to the proposed vote, labeling it as “unnecessary” since the company’s management has already “carefully considered” this controversial initiative.
On October 30, data released in collaboration with Stanford’s Digital Economy Lab by the ADP Research Institute revealed that U.S. ADP employment figures for October saw an increase of 233,000, surpassing the forecasts of nearly all media surveys, which predicted an increase of just 111,000, compared to a prior figure of 143,000.
On November 1, the U.S. Bureau of Labor Statistics announced that non-farm payrolls for October rose by a mere 12,000, a drastic drop from September’s 254,000 (revised down to 223,000), representing the lowest increase since 2020 and falling well short of the anticipated 100,000. The unemployment rate for September remained unchanged at 4.1% when rounded, aligning with expectations and previous reports. However, when not rounded, it stood at 4.14%, reflecting an increase of 0.09 percentage points from the previous month.
3.2 Trade Analysis
Between October 2 and November 4, the 4-hour chart for Bitcoin illustrates a consistent upward trend, breaking through previous highs before encountering a pullback. The price ranged from $59,000 to $74,000. See the picture below:
On October 26, Yahoo reported that Microsoft intends to hold a vote in December on a proposal to “evaluate investing in Bitcoin.” However, the Microsoft board has expressed its opposition to this potential vote, labeling it “unnecessary,” as the company’s management has already “carefully considered” this controversial initiative.
On October 30, data released by the ADP Research Institute, in collaboration with Stanford’s Digital Economy Lab, revealed that U.S. ADP employment figures for October increased by 233,000, exceeding the forecasts of nearly all media surveys, which anticipated a rise of 111,000 compared to a prior figure of 143,000.
On October 26, Bitcoin’s continued rise led to speculation that “Microsoft” could be turning bullish. Following this, the U.S. ADP employment data showed a notable increase of 233,000 in October. It appeared that the stars were aligning favorably for the cryptocurrency market — with former President Trump potentially on track for re-election, Microsoft contemplating Bitcoin investments, and a significant rise in U.S. ADP employment figures for October.
However, on October 30, Bitcoin reached a peak of around $74,000 before slowly declining. Despite a plethora of positive news being circulated by the media, Bitcoin’s price failed to maintain its upward trajectory after setting new highs, suggesting that the cryptocurrency market may soon face a correction in the short term.
On October 31, ENS experienced a rapid surge, with prices peaking at approximately $19 before retreating from those highs. The 1-hour chart displayed a clear “M” pattern, and prices approached the previous resistance zone of $18 to $20. At this juncture, a short position was initiated.
On November 1, the U.S. Bureau of Labor Statistics released figures indicating that non-farm payrolls for October dramatically dropped from September’s 254,000 to just 12,000, the lowest level since 2020 and well below the anticipated 100,000. After the data was published, Bitcoin initially rallied but soon began to oscillate and decline.
On the same day, the likelihood of Trump winning on Polymarket started to decrease amid a tightly contested presidential race. In a surprising turn, Harris took the lead over Trump in the traditionally Republican state of Iowa, further weakening the “Trump trade,” which led to declines in both the U.S. dollar and Bitcoin. Polling results prompted some investors to scale back their involvement in what had become known as the Trump trade, with the Bloomberg Dollar Index experiencing a nearly 0.7% drop — the largest decrease since August — while U.S. Treasury futures saw a slight uptick.
On Monday, November 4, Bitcoin slid over 5% from last week’s peak of $73,500 to $68,805. With voting in the U.S. presidential election set to commence on November 5, uncertainty loomed large, prompting the decision to close most short positions on ENS. See the picture below:
3.3 Winning Strategies Summary
How to mitigate the influence of emotions and short-term fluctuations on their investments?
Fear and greed are two predominant emotions that affect investors. Fear leads traders to avoid all risks, causing them to miss out on potentially successful trades. Conversely, greed compels traders to take excessive risks in pursuit of maximum returns, such as buying at peak prices when a token’s value is rapidly increasing.
Experienced traders excel at finding a balance between fear and greed. While fear can protect traders from taking unnecessary risks, greed can inspire them to capitalize on opportunities. However, an overreliance on either emotion in trading frequently results in irrational decision-making.
To avoid emotional interference in investing, it is essential to focus on the following aspects:
- Establish Clear and Reasonable Goals: Having sound judgment allows investors to discern opportunities and risks, preventing short-term fluctuations from swaying their decisions.
- Maintain Discipline and Follow a Strategy: Stick to the planned approach and resist the temptation to be influenced by market sentiments.
- Conduct Regular Reviews and Reflections: Failure does not inherently lead to success; ongoing reflection on experiences and lessons learned is vital to minimizing mistakes.
Note: Personal opinion, for reference only. Opportunities and risks abound, always do your research before investing.
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