Crossing Cognitive Traps: How I Identify and Avoid "Eyewash" in Trading In the crypto space, a captivating story (Narrative) can be worth its weight in gold, or it can leave you with nothing. From "DeFi Summer" to "NFT Frenzy," and then to "AI+Web3," each new narrative is accompanied by massive wealth effects and bubbles. What I've learned is not to chase every narrative, but to identify the cognitive traps within them. The three major "eyewash narratives" I summarized and the ways to break through them: 1. "This time it's different" eyewash: · Eyewash performance: When the market is in a frenzy over a new concept and claims that "the old valuation models have failed." · My breakthrough: I firmly believe that there is nothing new under the sun. I will study history to find similar bubble cycles (such as the internet bubble of 2000) and observe the entire process from inception to collapse. This keeps me clear-headed amid the current frenzy. 2. "Eyewash" trap: · Trap performance: A project experiences a price surge because it has well-known institutional investors or KOLs endorsing it. · My breakthrough: I will verify on blockchain data platforms (such as Arkham, Nansen) whether these "authoritative" addresses are truly holding long-term or are quietly offloading after an early investment as the hype rises. Data never lies. 3. "Technological Revolution" eyewash: · Eyewash performance: The project's white paper is filled with incomprehensible terms, claiming to disrupt a certain industry. · My breakthrough: I will think using "first principles", putting aside the price of the coin, and asking a few fundamental questions: What real-world problem does it actually solve? What indispensable role does its token play in the ecosystem? Can the entire system still operate without this token? If the answers are vague, I will keep my distance. Core principle: In the cryptocurrency world, the ability to maintain critical thinking and independent research is more important than following any big names.

White House: Trump Ends "War on Crypto" The Donald Trump administration officially announced the end of Biden's anti-crypto policies and has begun an "era of cooperation" with the digital asset industry.