Don’t be a crypto cultist

If you have been involved with crypto for a while, you may have noticed that prices do not only go up. As a matter of fact, from 2021-today, the majority of all cryptos have experienced significant moves down.

However, it appears as though nobody likes to hear a dose of reality every once in awhile. Many participants of this sub appear to be very emotional, and in need of constant encouragement. In fact, many of the popular posts with high engagement and positive reception are similar to religious fanatics reciting encouraging passages to anxious simpletons.

“Just wait for a future pump” = Just wait for the savior to return and make your problems go away “The next bull market will be a huge return if you hold and believe” = We will all go to magical heavenville if we hold on and believe! You get the point.

Now very few of us want the crypto space to fail or perform poorly. However, there are many obstacles and forces actively trying to prevent success and adoption. It’s important to have a dose of reality when investing…especially in such a risky and volatile market.

For example, there is no reason everyone should DCA into random altcoins all the way down and hold no matter what. Why do you think that most retail investors lose a lot of money in the market? Because they don’t buy the 100th dip and Diamond hands?

Of course not. It’s because they don’t do any research, don’t have a plan, and blindly hold their favorite altcoin all the way down. In order to be successful, you have to pay attention, have a plan, and sell sometimes.

Be a smart investor, not a cultist. Just because a coin is down 90% doesn’t mean it has to go back to highs. Just because the SEC loses a case doesn’t mean whales are suddenly going to save your bags.

It’s a cruel market, where big players are constantly trying to take your money and use you as exit liquidity. In order to beat them, you have to think, make difficult choices, and always trade with a reasonable risk to reward.