02-12-2021, 06:48 AM
Only Hold Coins You'd Happily Hold in a Bear Market (feat. How I Turned 40k+ LINK In
<!-- SC_OFF --><div class="md"><p>Warren Buffett famously said that you should only buy something you'd be perfectly happy to hold if the market shut down for 10 years. Now I know we all had a great week, but I think many of you, especially the newcomers, need a reality check when it comes to some of these coins that are pumping.</p> <p>Like many of you, I was here throughout the bull market of 2017. I bought 3 Bitcoins that summer for about 6k, and found out about a lot of other cool projects going down in crypto. I dabbled in a few alts, OmiseGo, AntShares (now NEO), district0x, just to name a few. As the year went on, I made bolder and riskier moves, and by early January of 2018, I had a portfolio of about 100k, about half of which consisted of about 42k LINK, and an assortment of mid-major coins like Ether, Icon, OmiseGo, Golem, etc. For all of these coins, I had done semi-extensive research; I knew almost exactly what these coins were for, what they were trying to solve, who was behind them, and why they clicked. I'm not here to shill those coins (I don't hold any of them in a meaningful capacity right now). I'm just saying I knew what they were.</p> <p>Then I made possibly the worst financial decision of my life. I got too anxious. My portfolio wasn't rising as quickly as it was back in the summer, so I got impatient and started looking into so-called "moonshots", the "next (insert successful alt)". Within days my portfolio was heavy on coins like OysterPearl, Bounty0x, Publica, WaltonChain, and so on. Then you all know what happened. Three of these are now dead projects. WaltonChain, which is the only coin that's still on any relevant exchange, has never really recovered even during this market, and is widely considered scam-ish. I still made some money off crypto, but not even close to what I would've made, had I stuck to what I knew and believed in.</p> <p>I know some of you think you'll never make the mistake of buying into shitcoin fever. But shitcoins all look like gold until they're not. And we all feel like ingenious early investors until we're in a bear market, holding onto random coins that we're not 100% sure what they do.</p> <p>I know some of you think you'll just cash out at that point and walk away. But that's like a Vegas gambler thinking they'll walk away from the table while they're ahead. They never do and you won't either.</p> <p>But if you're going to stay on the table, bet on projects that you at least understand and believe in long-term. When you invest in alts, ask yourself:</p> <ol> <li>Why does this coin need to exist? What problem is it trying to solve, and how?</li> <li>What are its competitors, and what makes it stronger/weaker than them?</li> <li>Who is behind the project? Are they industry experts, or shady businessmen and/or random college students?</li> <li>What is its community like? Are there meaningful discussions on the project and tech, or does its official Subreddit/Twitter/Telegram account read like a bunch of moonboi hype?</li> <li>Would you hold onto these coins through a long bear market? After looking at the historical charts of zombie coins from the last bull market, can you at least semi-confidently explain to people why your coin won't end up like that? </li> </ol> <p>I believe in crypto and its potential, both as a technological gamechanger, and a speculative asset. That's why we're all here. But while we are, let's all be smart about our money.</p> <p><strong>tl;dr: Don't chase pumps and shitty moonshots; invest smart.</strong></p> <p>Also, while we're here, it might be fun to share some nostalgic dead projects. For me it's $BNTY.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/kaprrisch"> /u/kaprrisch </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/li05n3/only_hold_coins_youd_happily_hold_in_a_bear/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/li05n3/only_hold_coins_youd_happily_hold_in_a_bear/">[comments]</a></span>Kind Regards R
<!-- SC_OFF --><div class="md"><p>Warren Buffett famously said that you should only buy something you'd be perfectly happy to hold if the market shut down for 10 years. Now I know we all had a great week, but I think many of you, especially the newcomers, need a reality check when it comes to some of these coins that are pumping.</p> <p>Like many of you, I was here throughout the bull market of 2017. I bought 3 Bitcoins that summer for about 6k, and found out about a lot of other cool projects going down in crypto. I dabbled in a few alts, OmiseGo, AntShares (now NEO), district0x, just to name a few. As the year went on, I made bolder and riskier moves, and by early January of 2018, I had a portfolio of about 100k, about half of which consisted of about 42k LINK, and an assortment of mid-major coins like Ether, Icon, OmiseGo, Golem, etc. For all of these coins, I had done semi-extensive research; I knew almost exactly what these coins were for, what they were trying to solve, who was behind them, and why they clicked. I'm not here to shill those coins (I don't hold any of them in a meaningful capacity right now). I'm just saying I knew what they were.</p> <p>Then I made possibly the worst financial decision of my life. I got too anxious. My portfolio wasn't rising as quickly as it was back in the summer, so I got impatient and started looking into so-called "moonshots", the "next (insert successful alt)". Within days my portfolio was heavy on coins like OysterPearl, Bounty0x, Publica, WaltonChain, and so on. Then you all know what happened. Three of these are now dead projects. WaltonChain, which is the only coin that's still on any relevant exchange, has never really recovered even during this market, and is widely considered scam-ish. I still made some money off crypto, but not even close to what I would've made, had I stuck to what I knew and believed in.</p> <p>I know some of you think you'll never make the mistake of buying into shitcoin fever. But shitcoins all look like gold until they're not. And we all feel like ingenious early investors until we're in a bear market, holding onto random coins that we're not 100% sure what they do.</p> <p>I know some of you think you'll just cash out at that point and walk away. But that's like a Vegas gambler thinking they'll walk away from the table while they're ahead. They never do and you won't either.</p> <p>But if you're going to stay on the table, bet on projects that you at least understand and believe in long-term. When you invest in alts, ask yourself:</p> <ol> <li>Why does this coin need to exist? What problem is it trying to solve, and how?</li> <li>What are its competitors, and what makes it stronger/weaker than them?</li> <li>Who is behind the project? Are they industry experts, or shady businessmen and/or random college students?</li> <li>What is its community like? Are there meaningful discussions on the project and tech, or does its official Subreddit/Twitter/Telegram account read like a bunch of moonboi hype?</li> <li>Would you hold onto these coins through a long bear market? After looking at the historical charts of zombie coins from the last bull market, can you at least semi-confidently explain to people why your coin won't end up like that? </li> </ol> <p>I believe in crypto and its potential, both as a technological gamechanger, and a speculative asset. That's why we're all here. But while we are, let's all be smart about our money.</p> <p><strong>tl;dr: Don't chase pumps and shitty moonshots; invest smart.</strong></p> <p>Also, while we're here, it might be fun to share some nostalgic dead projects. For me it's $BNTY.</p> </div><!-- SC_ON --> submitted by <a href="https://www.reddit.com/user/kaprrisch"> /u/kaprrisch </a> <br/> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/li05n3/only_hold_coins_youd_happily_hold_in_a_bear/">[link]</a></span> <span><a href="https://www.reddit.com/r/CryptoCurrency/comments/li05n3/only_hold_coins_youd_happily_hold_in_a_bear/">[comments]</a></span>Kind Regards R