How easy it is to get caught up in the euphoria of a crypto bull market. Money is appearing out of thin air and life couldn’t be better. “I’m a genius” you might think, full of certainty. Here lies the problem: bull markets don’t teach you anything, especially compared to the tough love of a bear market.
Your wallet is growing day by day. Magic internet money saves the day. Every morning you wake up to see your balance has grown, boy you are getting paid.
Bull markets make you an expert, right? You have made no mistakes. Everyone is coming to you for answers. You are a wizard. For first time bullmarket noobs, this is where ignorance gets the best of you.
We gain wisdom from mistakes, not greedy bull markets.
For the novice crypto enthusiast, bear markets are filled with fear, angst, and mistakes. This is where you will get rekt. This happens to everyone their first time at the crypto rodeo. The important lesson, should you pay no heed to this article, is that you learn from your mistakes. Otherwise, you eventually find yourself back at square one.
Here’s my authentic example.
The sweet smell of the 2013 crypto market peak attracted me to Bitcoin like a fly. This is when Bitcoin had peaked at $1,100. I won’t go into detail on how many Bitcoins I had, but I will say had I held, I never would have needed to work again.
The endless dark void that MtGox had imposed on the once tiny crypto ecosystem was effortless to slip into. It was end of days type stuff. Everyone’s trust in Bitcoin was utterly destroyed, bar a few. This is the make or break time period. Do you fall into the endless despair and sell at a loss? Or, do you wisely recognize the top because of past experience and sell at a profit? Sadly, during 2013 crypto bullmarket the former was my choice.
Bear markets are the best teachers.
As we approach the impending crypto bullmarket, I implore everyone to come up with a plan and stick to it. Keep a level head and don’t fall into the greed as so many have before you.