The first cycle is cuts and bruises depending on when you jumped in. The second cycle is where you reap the fruits of your labor.
My journey started late 2016 when I came into contact with crypto through a friend of mine.
Very skeptical at first I decided to take the plunge with a minimal amount of money.
Like most people today I started in the middle of a bull run and this is not a good thing.
was an amazing year. I thought nothing could go wrong and because of lack of experience I did the full opposite of what you should be doing in bull season.
I kept on stacking new money reserves instead of taking profits. Everything keeps going up and we are all geniuses!
$BTC was going to 1 million dollars after all and no single influencer was denying this.
You would be a fool at this point to take profits. Any amount you sell would be x2 the next week and if no one sells it keeps going up right?
This is also where the nasty nature of Crypto influencers came into practice and I soon realized AFTER I lost most of my money back then.
But first back to 2017. At the top of my game I turned a simple 1000$ to more than 100,000$.
470,000$ to be exact at the top.
Keep in mind this is UNREALISED profits and would only be realized if I would sell at the very exact top which my portfolio would have been worth on 1 single day (hence the top).
It paid off not taking any profits whatsoever right!?
Reality is someone who is not taking profits today isn't going to do that tomorrow, next week or even next month.
The big market crash and I was very inexperienced.
Big influencers taught me that there is no way it can't keep going forever. Only a minor correction.
I didn't sell anything as this would be foolish and I didn't like money (crypto twitter right?).
I lost 95% of my entire capital and was left with 10-20k again.
What went wrong? Weren't we all going to get filthy rich and make it in 1-2 years!?
The beginning of the turn around.
First the realization that most of Crypto twitter influencers are complete absolute frauds in it only for their own game.
I could post so many names here (with complete proof) but I'll spare that discussion.
For every buyer there needs to be a seller.
If every influencer goes non-bullish it hurts their bags. No one is left to buy them because there is no liquidity at high prices.
They also get paid for promoting stuff. The more followers the higher the sum.
Or they get a place in a private sale in return for promoting the project at the public market at 1$ when they bought at 0.01$ a few weeks earlier.
Unknowing followers get dumped upon as they don't know any better.
Are all influencers frauds?
Absolutely not. It's a full time job and they should get paid for it. Transparency is key here.
Mention a sponsored post or shill your bags only if you TRULY believe it's still a good buy at 1$ even when getting in lower.
This time I also knew what I did wrong AND what I needed to do.
I was inexperienced and more importantly UNPREPARED for the last bull cycle.
Instead of sulking and waiting out of desperation for things to someday magically get better I wasn't going to wait.
You can only be prepared if you do something BEFORE it needs to be done.
In the bear market there are significantly less opportunities so it is perfect to sit back and study.
I improved my fundamental analysis considerably. I improved my TA and spent 1000+ hours on the charts.
2020 started post Covid (start of the next bull run).
I focused only on the most strong fundamental projects and timing great entries with my fundamental and technical analysis knowledge I built for the entire 2018-2019.
My portfolio was doing great again.
In no time I was able to get back to my previous all time high value and way beyond that.
This time however I wasn't going to let the 99% get the best of me.
We were all going to get filthy rich again and see $btc at 100k-1mil VERY SOON.
I know now the majority are completely wrong (and why would they know any better if the biggest accounts told them so).
I took profits regularly at fixed time dates no matter how good the markets kept doing.
No emotions, no feelings, just TAKE PROFITS.
None of us are going to accurately time tops and bottoms (including me).
Someone who's not taking profits today isn't going to do that tomorrow or...
At the end of 2021 I was completely financially stable and in the process of retiring at a young age.
Wondering if this is the right time to buy crypto? We've got you covered here.
In hindsight the full force of the bear market. I knew this was coming. Did I know exactly when? Or at which price?
No, I just knew it was coming and it finally did. Only this time I already cashed out 70% of what I had.
I'm safe whatever happens. Today I'm slowly scaling into spot buys again on blue chips I believe in. Because I know this is the bottom? No, because someone who isn't buying today isn't buying tomorrow or...
Bear markets are for buying and bull markets for selling.
Sounds easy but incredibly difficult
95%+ fail to do this as it goes against our emotional behavior.
If you think rationally however, the sky's the limit.
My takeaways for you today:
-Learn as much as you can. See the bear market as positive instead of negative.
-Look to slowly place spot buys with limits spread over an entire year.
-Look for reputable sources. Follow trustable accounts and/or educational content.
If you are into crypto and looking to hold up discussions, join communities and network better with traders and crypto enthusiasts from all over the globe, you should definitely check out Our Crypto Talk.