Almost all cryptocurrencies for the last two days have pretty much tanked in value. I have been calling for some sort of correction in the entire scene for a month or so now and this is probably what we are looking at. With the amount of just pure speculation and dumb money getting thrown around everywhere, it was only a matter of time. New investors are scared and every little bit of news influences their actions and behaviors. This is why I personally cashed out about half of what I had around 17-18 thousand because that piece of mind is much more important to me at the moment.
I know that if I was still holding everything I had in crypto, I would be on the edge of my seat pissed off and upset. Ive weathered through the biggest storms in crypto, ive been here since 2012, but it still doesnt mean that you wont get upset. I wasnt happy when it fell from 1000 to 200 in a 2 year bear market and it seemed like the end of days, but these things happen. Expecting that your investment is going to grow by 1000% every year is just completely unrealistic. Investing overall is about getting rich slowly and over a period of years.
Even if we take bitcoin out of this equation completely and strictly look at the stock market, the growth over a 30 year period is about 9%-10% a year on the market as a whole. 9%-10% a year compounded is still pretty amazing compared to bitcoin. You may not get your 100% gains in a week, but you almost never have a 20% loss in a day either. Obviously there are exceptions, but as a whole they are spaced out much more than in crypto. The key to winning in the stock market is not picking individual stocks and trading them, but rather just indexing the whole market and simply waiting and weathering the storm.
You continuously contribute money each paycheck and simply live your life and many people need to learn bitcoin and cryptocurrency isnt much different. I have always said if you cant afford to hold bitcoin for 5 or so years, dont bother investing in it. It is an investment that is better off purchased, put in a closet and gone back to in a few years. However, the communities make these different currencies addictive and the volatility has them checking their portfolio prices every 10 minutes. Not to mention most people here havent had time to earn money, lose money, ect. Many are very young and think this is the norm and everyone is going to get rich. That is not going to happen.
Right now, the people purchasing bitcoin and other crypto are those who can afford to wait and are already wealthy. This is why in the end the distribution will probably be very similar to what we have with the USD. Those who are patient are rewarded handsomely and those who get scared and try to trade the market in an unpredictable time, will lose their ass. There is still a chance that everything fails as well, nothing is guaranteed. Dont put in more than you can afford to lose and know that whatever you do put in, you should expect nothing from it. This is going to be a lesson for many that just entered the space and even those who have been in for a long time. Step away from the computer for a while, stop checking your portfolio, go do literally anything else. No point in upsetting yourself with something you cant change.
-Calaber24p