If you read my first blog post, you’ll know and understand that I am not going to sugarcoat anything, or spoon feed you what you want to hear. I don’t call myself a cynical asshat for no apparent reason, so keep that in mind while you read this post.
Here is what is on my mind....Buckle up.
Everywhere I look I see all these headlines; “Bitcoin dives again”, “Market slides”, “Marketcap drops 25 Billion overnight”, “Mass sell off in panic” - at this point I will refer you to my headline of this blog. Who gives a f**k? By the masses people scream “HODL” from behind their screens while they panic and push sell, they type it on forums, like reddit and Medium, in vain - not believing the words they write. They speak it on countless Youtube videos, prefacing “I am not a financial advisor” - but then proceed to give financial advice anyway, most bad, causing damage to the Crypto space as “new investors” get burned by the millions.
First things first. Let’s get something straight. “Get rich quick” does not exist, and you need to get your head around that now or you will quickly become dumb money and line rich peoples pockets while you do it tough. That is just a fact. Sure, you could hit the lotto or win at Keno, but the odds of that happening are billions to one. Secondly, there are no “lambos”, and even if you got to a point where you have enough money to buy one, why would you? They are not practical, just like massive mansions, they are expensive to upkeep and lets face it, if you spend your money like that you won’t have it long.
If you want to invest thousands of dollars and become a millionaire in a week, Crypto, or any investment really, is not for you. Investing takes time, it takes stamina, it takes patience and balls. The weak hands will not survive, and your money will eventually become some rich whales.
Now you have the hard to swallow facts to chew on, lets face the positive.
"An investment in knowledge pays the best interest." - Benjamin Franklin
If you have done any sort of research before investing, or watched any youtuber, you’ll have heard a few main things. One being that you should do your own research. And two being that you should only invest what you can afford to lose. If you have paid attention to these two points, then the market going down in the short term shouldn’t matter, right? That being said, I myself am an investor, and waking up to a sea of red isn’t a great feeling, but, I believe in this space and the technology behind it - so while today, tomorrow, or next month might be sucky - I have done my research, and in 5 years from now I will be in a very comfortable position.
Let’s take a realistic look at the crypto market.
Cryptocurrency, currently has a market cap of around 250 billion dollars. While that might seem huge to everyday workers like you and me, it is but a mere drop in the pond in the grand scheme. Amazon is worth around 400 Billion, Apple over 700 Billion, the gold market sits at over 8 Trillion bucks and the almighty stock market is at a gob smacking 66 Trillion dollars. Crypto is in its infancy, and needs time to grow. While it grows, it will have mood swings, go through life lessons, have tantrums and hit puberty, only then, will it come into it’s own.
The market will have big dips, that is certain. If you are like me and you want to build wealth over time, realistically, to set yourself up and make your life easier, then put on your big boy pants and forget about the red, and focus on the number one rule of investing. When others sell and are panicking, be brave and buy it up, turn yourself from the dumb money to the smart money. Instead of buying a $6 coffee every day - save that money, and each fortnight invest it when the market dips.
As a last piece of my rant, I want to reiterate to anyone reading this that you NEED to stop listening to others and letting “Influencers” make your investment decisions for you. Sure go ahead and watch their videos, read their articles, this one included, but don’t be a sheep and follow them, don’t be left holding the bags. Why do you think all these people spend all their time producing all this material? To make money! Referrals, commissions, click bait, Patreon and Udemy. Even the ones spouting they aren’t doing it for money at some point sell their own course or seminar or get paid. It is a dog eat dog world.
Carve your own path in the investment world, stay on track, do not sell in the red and become a statistic, do not follow to all those out there (youtubers, influencers, news agencys, twitter gurus and the like) who’s only goal is to get richer from YOU. Listen, take it all in, but see them for what they are.
End rant.
"I will tell you how to become rich. Close the doors. Be fearful when others are greedy. Be greedy when others are fearful." - Warren Buffett
Your cynical asshat, the Crypto Runt.