Do you have the patience to wait until your mud settles and the water is clear? Lao Tzu
I'm no stranger to the cryptocurrency space and know all too well the highs and the lows and the often exhilarating emotional roller coaster ride being actively involved with it can be. The upside is crazy, like being in the gutter and finding yourself soaring towards the summit of crypto mount Everest all in within a weeks time, or sometimes even a day. The lows are the opposite, like reaching the summit only to find some crypto sasquatch crumpling you up into a ball and tossing you back to the gutter that you came up from, sometimes all in a very short period of time. It's a perilous, yet exciting space to be involved in, but it's not for the fainthearted or those who cannot keep their emotions in check.
In fact, that's what I want to discuss in this post, the importance of staying level headed, learning as much aa you can about the space, and having a gameplan when you're actively invested in this 21st century Wild West.
If there were one piece of advice I'd give to newbies it's exactly that, that being in a space with incredible volatility requires that you keep your emotions in check. If you're overinvested, don't have a gameplan (i.e. exit strategy) or are emotionally unstable and incapable of watching your investment lose 20+% sometimes in one massive Niagara Falls style red candle than stay out for your financial and mental health's sake.
On the flipside you could easily see your investment grow an incredible amount in such a short time that you get greedy and think it's never coming down, and than feel paralyzed enough to not sell when you should, only to lose all those paper profits by holding way past when you should.
Anecdotally this is exactly what I did in late '17 with my LTC investment. I watched it jump from $70 USD to $400 in what seemed like one or two shifts at work. I'd keep checking the price and watching it climb, feeling like a god genius amidst a ship of fools. The real fool was me when I literally held that investment all the way from $400 to the nadir of $22 in Dec '18. Only smart move I made was I didn't panic sell. I learned to read charts, trade a little, and most importantly keep my emotions in check.
In the last several years I've learned ALOT by immersing myself in the space, and learning as much as possible about blockchain, various projects and protocols, DeFi, trading, finance and most importantly, patience, emotional control and having a gameplan.
Crypto is here to stay and the new bull market hasn't exactly arrived yet even if many altcoins have gone on exceptional runs. It's not too late to get in the game. Just make sure you take the time to learn as much as you can, at your own pace, and be wise and level headed about the whole thing. Next time I'll put out some links to some resources I think are worth checking out, especially for those wanting a deeper foray into cryptoland.
This is more a first post just to get my feet wet and see if there's much interest. If there is I'll try to get more serious about it. Thanks for reading.
-- The Crypto_Hound
