For every person claiming huge gains, another 10+ probably got wrecked. Don’t get sucked in

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For every person claiming huge gains, another 10+ probably got wrecked. Don’t get sucked in

We've all seen it. We've all felt it. I'm talking about the FOMO. Sucking you in like a 2 for 1 cocktail offer at your local bar.

The truth is for every person bragging about their HuGe GaInS, there's probably at least another 10 poor souls who blew up their portfolios. How many unsuccessful trades are these guys not showing you?

Recent examples include Doge and SAFEMOON (even typing it feels wrong ugh). People making life changing gains overnight, and your mind goes "hmm, why don't I just put a bit in?" and before you know it, a drop comes, anxiety floods your body and you panic sell, wiping out some (or even all if you're leveraged) of your portfolio. Sucks, right?

In reality, the best option for 90% of people is to buy and hold(Dollar cost averaging in), taking profits periodically (or DCAing out). Whether you're accumulating a coin you see value in for the long term (talking about the big boys here – BTC, ETH, ADA etc) or you're just looking to take advantage of the bull market, avoiding FOMO is crucial. Here's a few tips that I've picked up during my time here –

  1. Utilize/follow a range of resources and perspectives – We all love the daily, don't we? But it can be a bit of an echo chamber. Consider looking at other subreddits as well. For every WSB there's a personal finance subreddit who think that crypto is worse than terrorism. But even if you disagree with them, it's healthy to see the other side of the coin (no pun intended lol). And whilst we're at it, try and extend your research to other sites too (YT, Podcasts, Twitter, Coindesk, White papers, General news sites etc etc) Yes these places can be echo chambers too, but just try to follow a range of people (e.g. Benjamin Cowen on YT, macro guys like Raoul Pal on Twitter etc, not just Mo0nboi69). You want to be getting info from as many places as possible. Edit – Read the monthly skeptics thread as well found here
  2. Ask yourself why – Why are you investing in your chosen coin/project? What is the value proposition? What problem is it actually trying to solve? If the project sounds too good to be true then it probably is (*cough* anything with the word SAFE in *cough*).
  3. Ask the right questions – If you don't know about something, then please ask questions before investing, but ask the right questions. Don't just ask "Do you think this project is gonna moons soon" or "what low cap coin is gonna 10x in the next few weeks?", stupid questions get stupid answers.
  4. Learn the basics – If you are going to try trading, or just enjoy staring at charts (We all love doing it, right?) then consider learning the basics of charts. Basic patterns, tools etc, there are more than enough videos on YT explaining this. I'd recommend going for one that doesn't just focus on crypto as well, as there is a wider range out there.
  5. Don't overthink it and don't be greedy – We're ALL guilty of this. You're sitting at your fiat mining job, just daydreaming about your potential gains. "Well I'm already up 3x, BUT if I cash out now I might miss out on 10x and could afford x car or x holiday, so I won't sell". I know. It's a tough mental battle. But if you have a gains target that you hit, then try to stick to it. Or failing that, at least consider DCAing out (selling portions of your positions gradually rather than in one go). We all want that big moon shot, but when the gains come it can really play with your mind and emotions.

Well, that just my 2 sats. Should be worth noting that I'm no expert. I'm just another regular guy looking to escape the train wreck that is fiat currency, and become slightly more financially free.

Best of luck guys, I really hope you all hit your goals xo

Side note – I know this is nothing new, just wanted to share my thoughts as we've been getting a big inflow of new folk recently. If you want to accuse me of moon farming, then please just drop a downvote and move along:)

submitted by /u/jimmymarshall22
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