Why do so many people nowadays ignore fundamentals and news, and instead focus solely on technical analysis? To put it bluntly, apart from Bitcoin and a few major coins, most others in the crypto space are pure speculation—they have nothing to do with real investment.

Jesse Livermore got it absolutely right—the biggest trap is confusing speculation with investment. Look at how many people talk about “value investing” when buying coins, but as soon as the price drops, they just hold on stubbornly and comfort themselves by saying, “It'll come back eventually.” But in reality? Fundamentals collapse in an instant, value disappears overnight, investment turns into speculation in seconds, and the project team just runs off with the money. Haven’t we seen this happen countless times?

I've simply stopped caring about so-called value. I don’t fantasize about a “guaranteed rebound after overselling” either—I just focus on making profits from price differences. I don’t care how much a coin is supposed to be worth; I only watch two things: what people in the market are doing, and where the money is flowing.

The most annoying thing about news-based trading is how delayed it is. Take non-farm payrolls or CPI data, for example—do you really think the market only reacts once the data is released? That’s a joke. The wave of layoffs started long ago, liquidity issues didn’t just appear overnight, and people began selling off assets and redeeming funds way before the numbers came out. By the time the data is public, most of the move has already happened.

Technical analysis is different—it's simple and straightforward. It doesn’t care about value; it focuses on market sentiment, expectations, and trader behavior patterns—in other words, it studies the mistakes people keep making in trading over and over again.

Of course, technical analysis gets criticized a lot too. There are tons of people selling courses, hyping up MACD, KDJ, and moving averages as if they’re magic, but these are all lagging indicators and not very useful. This misleads people into thinking technical analysis is just about memorizing a few indicator formulas. In reality, truly useful technical analysis is about understanding the logic of market behavior, not just rote learning some formulas.