Lately, Cryptos is getting a lot of hype. Most people are buying bitcoin and other cryptocurrencies. Previously, only tech people or business guys are getting into it.
People are entering a market without researching.
A lot of peoples are showing a profit from their investment or trade. 40% in one day. 1200% in an altcoin. $100/day of passive income. Compare to the traditional investment account (ASB - 6%, etc), there is a huge difference. What people didn't realize is the higher the profit, the higher the risk.
People didn't show how much they lose. Some people invest a lot of saving inside crypto.
I'm not an early adopter. I joined this space in 2018 and start buying cryptocurrency because I believe in decentralized currency. I'll list out my loss in the crypto space.
Bear market (2018)
In the bull market, I managed to sell my portfolio for a huge profit. I thought it was a bull market, I enter the market again intending to scalp some profit. Guess what, the market down 90%.
Am I gonna sell it? No. I believe with the decentralized.
One thing that I believe:
You didn't lose if you didn't sell yet.
Somehow, the amount that I hold in this market was growing rapidly this year.
I bought one NFT from Logan Paul for 1 ETH. At that time, it was $2000/ETH.
The price was down 90%, am I regret it? No. I bought them for fun. I'm just gonna hold it.
In the end, just invest with the amount that you can afford to lose. Before you're entering the market, decide how long are you going to hold it (short term, long term, day trader, etc), your desire profit, and stop loss.
Because of the previous loss, I have increased my skin in the game. I don't get too emotional whenever I saw a red market.