Overall I’m feeling foolish for being cautious in the crypto market. Even though it was well reasoned. I could have made a ton of money if I defied my own rules.
I invested a modest amount in May. My only goal was to double my return. I did that. Then mostly pulled out by late summer. Only leaving in small profit to ride on some alt coins.
Here’s what drives me nuts: I might have put my initial investment on any one of the following dozen coins, left those initial investments through all the dips, then cashed out. I’d be a crazy baller for life...
Assuming I could get it all off the exchange, not hacked, taxes paid, and not kidnapped. All legit concerns.
I got burned as a kid investing in the dot com bubble. Lost about a third of my net worth. I was determined not to let that happen again. Sure I made great returns in crypto. But I’m actually depressed looking at what I could have made. It’s nuts.
It was hard to watch the market go up and down. So I did some active trading which was profitable. Maybe $200/day. I felt better about 10-20% waves if I was profiting. But it got tiring. The market never sleeps.
After awhile I came to the conclusion that there was no rationality to crypto markets. At times it woukd be flat or down for weeks. Or I’d correctly anticipate a pump/dump. But frequently my timing would be off. Or transfers would get stuck for hours and I’d missout.
I admit I was making purely speculative and emotional trades. I read a lot of articles but it was mostly nonsense analysis. Occasionally there’d be some actual tech advance and use case. Rare.
I believe the current ATHs are due to mass society starting to buy in. Though I do think there is room to grow. Just think about how much pocket change is out there. However that makes for rampant corruption and bigger crashes too.
To be patient you must have an end goal. Like a cash out figure you aim for. So if you’re watching things go crazy you say nope, my sellout is X amount of profit. I ride it out until that point. Wish I did this with like $2million instead of just wanting to double my investment.
So anyway check out these numbers. It’s pretty crazy. Here are approximate returns if you invested $1k, $100k in May. Then cashed out near the recent Dec ATH.
BTC $20k, 2mil
ETH $9k, 1mil
LTC $18k, 1.6mil
XMR $18.5k, 1.7mil
XRP $16.6k, 1.6mil
STR $6.1k, 675k
ZEC $6.8k, 682k
ETC $5.4k, 541k
NXT $200k, 20mil
BCH $10k, 1mil
DASH $14k, 1.4mil
Not many of us guys have $100k laying around. I bet a lot of you have $1k though. While turning that into 10k might not change your life it’s a good start!
Crypto seems too good to be true. That makes me very nervous. Particularly when you consider that these gains are coming without a corresponding surge in anyone using these currencies to buy goods and services. It’s still 99% speculative and unregulated. The gap between use and value is growing wider.
It’s important to understand that the same volatility that causes coins to rocket up is the same that causes it to come crashing down. Most people are buying/selling crypto based on its current and potential USD value. They are overlooking everything else both in regards to the coin and fundamental market rules.
So when I analyze crypto going rapidly up and down I still question the inherent value. I question the inherent value I question the solvency of the exchange it’s on. I question holding it offline in wallets.
Nothing really seems secure besides cashing out to fiat. So if that’s the case, then how valuable is crypto really. I mean think about it. We are still valuing it in US DOLLARS.
If crypto was actually doing what it is supposed to do you could use your profits in the actual crypto currency. It’s a glaring issue everyone seems to be ignoring.
I invested a modest amount in May. My only goal was to double my return. I did that. Then mostly pulled out by late summer. Only leaving in small profit to ride on some alt coins.
Here’s what drives me nuts: I might have put my initial investment on any one of the following dozen coins, left those initial investments through all the dips, then cashed out. I’d be a crazy baller for life...
Assuming I could get it all off the exchange, not hacked, taxes paid, and not kidnapped. All legit concerns.
I got burned as a kid investing in the dot com bubble. Lost about a third of my net worth. I was determined not to let that happen again. Sure I made great returns in crypto. But I’m actually depressed looking at what I could have made. It’s nuts.
It was hard to watch the market go up and down. So I did some active trading which was profitable. Maybe $200/day. I felt better about 10-20% waves if I was profiting. But it got tiring. The market never sleeps.
After awhile I came to the conclusion that there was no rationality to crypto markets. At times it woukd be flat or down for weeks. Or I’d correctly anticipate a pump/dump. But frequently my timing would be off. Or transfers would get stuck for hours and I’d missout.
I admit I was making purely speculative and emotional trades. I read a lot of articles but it was mostly nonsense analysis. Occasionally there’d be some actual tech advance and use case. Rare.
I believe the current ATHs are due to mass society starting to buy in. Though I do think there is room to grow. Just think about how much pocket change is out there. However that makes for rampant corruption and bigger crashes too.
To be patient you must have an end goal. Like a cash out figure you aim for. So if you’re watching things go crazy you say nope, my sellout is X amount of profit. I ride it out until that point. Wish I did this with like $2million instead of just wanting to double my investment.
So anyway check out these numbers. It’s pretty crazy. Here are approximate returns if you invested $1k, $100k in May. Then cashed out near the recent Dec ATH.
BTC $20k, 2mil
ETH $9k, 1mil
LTC $18k, 1.6mil
XMR $18.5k, 1.7mil
XRP $16.6k, 1.6mil
STR $6.1k, 675k
ZEC $6.8k, 682k
ETC $5.4k, 541k
NXT $200k, 20mil
BCH $10k, 1mil
DASH $14k, 1.4mil
Not many of us guys have $100k laying around. I bet a lot of you have $1k though. While turning that into 10k might not change your life it’s a good start!
Crypto seems too good to be true. That makes me very nervous. Particularly when you consider that these gains are coming without a corresponding surge in anyone using these currencies to buy goods and services. It’s still 99% speculative and unregulated. The gap between use and value is growing wider.
It’s important to understand that the same volatility that causes coins to rocket up is the same that causes it to come crashing down. Most people are buying/selling crypto based on its current and potential USD value. They are overlooking everything else both in regards to the coin and fundamental market rules.
So when I analyze crypto going rapidly up and down I still question the inherent value. I question the inherent value I question the solvency of the exchange it’s on. I question holding it offline in wallets.
Nothing really seems secure besides cashing out to fiat. So if that’s the case, then how valuable is crypto really. I mean think about it. We are still valuing it in US DOLLARS.
If crypto was actually doing what it is supposed to do you could use your profits in the actual crypto currency. It’s a glaring issue everyone seems to be ignoring.