The market has never been short of opportunities, the three execution levels for seizing wealth opportunities.

Source: Talking about Li, Talking about the Outside

Last week, due to disappointing U.S. non-farm data (not only was the new employment figure for July lower than expected, but the data for May and June was also significantly revised downward), the U.S. announced a new round of import tariffs (the new tariffs will officially take effect on August 7, with rates for some countries reaching as high as 50%), coupled with geopolitical shocks (last week, Trump made threatening remarks regarding Russia's nuclear submarines during an interview), the crypto market (including the stock market) experienced a new phase of volatility, with BTC dropping from $120,000 to around $112,000, and ETH falling from $3,900 to around $3,300.

In terms of spot ETF inflows and outflows, the BTC ETF experienced net inflows for seven consecutive weeks but began to show net outflows last week, with a net outflow of 643 million USD. As shown in the figure below.

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Despite the impact of macro factors leading to new fluctuations in the market, the funds (buyers) of some ETFs have also begun to be cautious again. However, the ongoing buying behavior of major institutions/whales seems to indicate that their strategic reserve interest in BTC and ETH has not shown any significant change, which has somewhat alleviated the pressure of market volatility.

Starting this week (8.4), the market has shown some signs of rebound. As of the writing of this article, BTC is maintaining around $114,000, and ETH is around $3,500, as shown in the figure below.

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The structure of the market has undergone a noticeable change. The once wild and free-spirited cryptocurrency market, which advocated for liberalism and community leadership, has now transformed into a digital game controlled by governments, institutional investors (including whales), and industry insiders.

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1. The market has never been short of opportunities.

In the previous article (July 30), we discussed upcoming market opportunities more from an institutional perspective. As for whether the market will have better rebound performance in the future, it may also depend on several factors, including:

• Some upcoming economic data from the United States (such as non-farm payrolls, inflation, etc.)

• When is the expectation for the Federal Reserve's policy shift?

• Can trade tariffs and geopolitical issues be further alleviated?

• The inflow and outflow of market funds (such as the movement of ETF funds, accumulation reserves by institutions, etc.)

Market prices are always changing, but often it feels like people's emotions are continuously repeating. Whenever prices rise rapidly, most people believe that a bull market has arrived; whenever prices plummet, most people think that everything is over.

Different perspectives will lead to different views or perceptions, and different views or perceptions will result in different outcomes or conclusions. Compared to the emotional fluctuations of people (retail investors within a certain range), I prefer to focus on the flow of capital (funds).

For example, many people still view the cryptocurrency industry pessimistically, believing that this field is all speculation and hot air. However, a significant amount of capital continues to flow into this sector. From a financing perspective, according to publicly available data, in the past month (July), there were approximately 131 rounds of financing in the cryptocurrency sector, with a total financing scale reaching 3.66 billion USD, as shown in the figure below.

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Since the beginning of this year (YTD), the risk investment and financing in the cryptocurrency sector has reached 21.1 billion USD, surpassing the total scale of 13.8 billion USD for the entire year of 2024.

It is evident that while there are still some issues in this field, it is moving towards maturity. If you are fortunate enough to have entered this field but continue to maintain a relatively negative outlook, you may continue to miss out on some new opportunities within this area.

When it comes to opportunities, this seems to be related to each person's investment preferences, as opportunities vary from person to person.

Recently, due to some discomfort in my body, I have reduced the time spent sitting for long periods and looking at screens. Most of my time each day is spent lying down and listening to the "Tomb Raiding Notes" on Ximalaya. I also found that it is somewhat similar to the tomb raiding factions mentioned in the program. The goal of tomb raiders is to dig for ghostly treasures to get rich, but the methods and approaches to getting rich are different. The so-called factions like "Mok Jin", "Fa Qiu", "Ban Shan", and "Xie Ling" can be summarized as not having any true inheritance or sects. They are just based on technical schools, meaning that different factions merely use the techniques and rules of this trade.

For example, practitioners of the Faqiu lineage like to wear a copper seal around their necks. If a farmer also wants to get rich by digging up ghostly treasures and feels that the copper seal of the Faqiu Celestial Officer is quite stylish, and he wears one as well while following the rules of Faqiu during tomb raiding, then this farmer can be considered part of the Faqiu lineage. If one day this farmer throws away the copper seal and instead uses a few talismans, first burning several circles of talismans around the tomb chamber before taking action, then this farmer could also claim to belong to the Banshan lineage.

There are also different ways and practices to make money in the crypto market. For example, the hoarders only stick to holding their favorite coins (such as BTC and ETH), while the technical analysts prefer to look for swing opportunities using various K-line indicators like RSI and MACD. The blind followers like to gamble on meme coins and contracts by following certain KOLs... and so on.

The cryptocurrency market has developed to the point where it is no longer an independent niche market or an isolated rebellious asset class. The most intuitive feeling is that the macro economy has begun to become more important than ever before, such as the Federal Reserve's interest rate hikes and cuts, U.S. economic data (non-farm payrolls, inflation, etc.), changes in the global situation, and continuous participation from institutions... All of this is quietly transferring wealth in new ways.

Everything seems so strange, yet it feels so familiar.

In this major shift, it will increasingly become more difficult for ordinary retail investors to make money, but opportunities still exist, provided that we think and learn to prioritize survival (so as not to be easily eliminated by the market) over profits.

What has been lost in the past should not be regretted, and the temporary losses of the present need not be overly troubling; just continue to seize the opportunities of the future. The real game has just begun, and if you are completely wiped off the table now, then someday in the future, when you look back, this moment will continue to be one of your greatest regrets.

2. Three execution aspects of seizing opportunities

Many people directly equate successful trading with making more money. While achieving more money is certainly commendable, merely focusing on this outcome may not necessarily allow one to seize opportunities for success. Instead, one should focus on thinking and forming the internal driving factors that lead to this outcome.

So how should we understand the internal driving factors here?

Next, we will organize it for everyone in 3 execution levels:

1. The first level is to maintain focus + execution ability.

If you see others making money by buying a certain coin, you hesitate not at all to chase the highs. If you notice that a certain topic is gaining popularity recently, you participate without hesitation. In your mind, you think about being able to earn as much as XX, or even becoming rich overnight, but you overlook the process others went through to achieve a certain result.

The word "focus" is one that we have often mentioned in previous articles, while execution mainly refers to the actions you or I take; the two should complement each other. For example, you can choose 1-3 niche areas that interest you the most to keep an eye on, and create your own learning or research plan on a daily or weekly basis to continuously optimize your execution strategy, rather than just spending all your time watching the price changes on the K-line or the balance changes in your wallet.

Profit is just a result; focusing on execution is the process to achieve that result. Many people often fantasize or focus on how much money they hope to earn, while neglecting to consider how they can actually earn that money. This can easily lead to a state of inner impatience, lack of belief, or feeling lost.

In conclusion, true long-term stable returns do not come from simple mindless imitation or following, but from one's own efficient focus and strict discipline in execution. To put it simply, seizing opportunities for success is not based on fantasy, but on doing repetitive and correct things every day in one's focused area with down-to-earth persistence.

2. The second aspect is to understand and master consistency.

Consistency mainly refers to the ability to remain rational and make reasonable decisions in various environments (such as volatile markets). The simplest example is the position management concept we frequently mentioned in our previous articles, which means that no matter how the market changes, you can make the choice that best suits you based on your position plan, rather than blindly chasing one-time returns (such as pursuing a 100-fold surge opportunity).

Whether it's investing or starting a business, what truly separates people is often not a one-time stroke of luck or a sudden windfall, but rather maintaining a long-term, stable high success rate. Among the many seasoned investors I know, those who are more successful in their investments are less likely to be tempted by unexpected high-yield opportunities; instead, they consistently adhere to a uniform approach, placing greater importance on stability and replicable rhythms and strategies.

To put it simply, consistency is the foundation for generating compound interest. We don't need to deliberately seek one-time windfall profits; as long as we do not make serious mistakes or incur losses, and as long as we are not easily eliminated by the market, we can achieve long-term sustainable growth.

3. The third level is to build your own advantages.

In previous articles, we have always mentioned that everyone is an independent individual, and there are significant differences in each person's background, experiences, risk tolerance, etc. Moreover, each person's thinking model, knowledge experience, observation angle, and interests are also not the same.

We can improve our methodology by learning from the strengths or perspectives of others, but we should not easily copy others' results directly, as the only thing a person can truly control is their own capability boundaries and cognitive advantages.

Perhaps, you see/hear others playing with Dogecoin or MemeCoin and easily earning opportunities of 100 times or even 1000 times, but that does not mean you can seize it. Instead of spending a lot of time doing useless work asking others for the secrets to getting rich, it's better to calm down, think critically, and build your own advantages.

How can we quickly build our own advantages?

This is actually not difficult in terms of thinking; we just need to do a good job of "breaking it down" based on our long-term goals. Here, I will give 2 specific examples briefly:

For example, I used to enjoy researching various on-chain data, so I established a "data channel" for myself, which means I continuously collected, categorized, and organized over 300 data-related websites/tools using EXCEL (some of the tools I think are commonly used have already been synced to my Notion). When everyone reads articles on Huoli Huawai, they often see me citing various dimensions of data or screenshots in the main text, which are actually the results of my organized data channels. Similarly, I will further break down independent data summaries, such as the more than 40 BTC indicators included in the "Bitcoin Indicator Template" shared in previous articles, which have become an important reference for my long-term investment in Bitcoin.

For example, I previously wrote some project research articles during the period of 2022-2023. In order to better understand or research projects, I designed a "Project Research Template" for myself at that time (this template has been synced to the Notion of Huali Huanwai). I summarized and organized the aspects that needed attention using EXCEL, and all I had to do was find the corresponding project information according to the template and score it. In simple terms, with the project research template, if I need to quickly understand the potential of a project, I just need to focus on organizing the following points:

• The project's narrative alignment with the market, and whether it has a high level of recognition (for example, having a high profile on social media)

• The project's fit with the market in terms of product (PMF), the change in the project's core growth metric (Mindshare),

• Does the project have good token economics (such as unlocking conditions, token utility, and whether the distribution is community-first)?

Similarly, by analogy, we can also establish our own information channels, decision-making systems, data models, circles, etc., based on our own goals and needs.

In summary, from our perspective, if you hope to achieve long-term success, it is not simply relying on a few strokes of luck, but often depends on the continuous establishment and accumulation of your own advantages. One or a few successes may allow you to make quick money, but only by building your own advantages can you maintain a steady and solid position and navigate through bull and bear cycles. Especially in the investment market, what we see or what others want you to see as so-called "shortcuts to success" are often traps targeted at you. In the long run, the advantages you build up yourself are your strongest and most beneficial opportunity guarantee.

What we should pursue is not to be able to "seize the opportunity" every time, but to find ways to become the "person who always has opportunities," to be patient, to wait for the right opportunity to come, and not to be afraid of missing out.

Let's just talk about these for today. The sources of the images/data mentioned in the main text have been added to the Notion outside of the discussion. The above content is merely personal viewpoints and analysis, intended for learning records and communication purposes, and does not constitute any investment advice.

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