Investing Is About Getting Rich Slowly Over a Long Time

in #bitcoin7 years ago

Almost all cryptocurrencies for the last two days have pretty much tanked in value. I have been calling for some sort of correction in the entire scene for a month or so now and this is probably what we are looking at. With the amount of just pure speculation and dumb money getting thrown around everywhere, it was only a matter of time. New investors are scared and every little bit of news influences their actions and behaviors. This is why I personally cashed out about half of what I had around 17-18 thousand because that piece of mind is much more important to me at the moment.

I know that if I was still holding everything I had in crypto, I would be on the edge of my seat pissed off and upset. Ive weathered through the biggest storms in crypto, ive been here since 2012, but it still doesnt mean that you wont get upset. I wasnt happy when it fell from 1000 to 200 in a 2 year bear market and it seemed like the end of days, but these things happen. Expecting that your investment is going to grow by 1000% every year is just completely unrealistic. Investing overall is about getting rich slowly and over a period of years.

Even if we take bitcoin out of this equation completely and strictly look at the stock market, the growth over a 30 year period is about 9%-10% a year on the market as a whole. 9%-10% a year compounded is still pretty amazing compared to bitcoin. You may not get your 100% gains in a week, but you almost never have a 20% loss in a day either. Obviously there are exceptions, but as a whole they are spaced out much more than in crypto. The key to winning in the stock market is not picking individual stocks and trading them, but rather just indexing the whole market and simply waiting and weathering the storm.

You continuously contribute money each paycheck and simply live your life and many people need to learn bitcoin and cryptocurrency isnt much different. I have always said if you cant afford to hold bitcoin for 5 or so years, dont bother investing in it. It is an investment that is better off purchased, put in a closet and gone back to in a few years. However, the communities make these different currencies addictive and the volatility has them checking their portfolio prices every 10 minutes. Not to mention most people here havent had time to earn money, lose money, ect. Many are very young and think this is the norm and everyone is going to get rich. That is not going to happen.

Right now, the people purchasing bitcoin and other crypto are those who can afford to wait and are already wealthy. This is why in the end the distribution will probably be very similar to what we have with the USD. Those who are patient are rewarded handsomely and those who get scared and try to trade the market in an unpredictable time, will lose their ass. There is still a chance that everything fails as well, nothing is guaranteed. Dont put in more than you can afford to lose and know that whatever you do put in, you should expect nothing from it. This is going to be a lesson for many that just entered the space and even those who have been in for a long time. Step away from the computer for a while, stop checking your portfolio, go do literally anything else. No point in upsetting yourself with something you cant change.

-Calaber24p

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I think it is wise to hold a good portion of your portfolio long term, and only trade a small amount.

I also like to spread the long term balances between 3-4 coins.

Holding some long term in steempower is great, because it builds your Steemit influence :)

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Not only coins though, every type of asset, traditional and new is a good idea.

I think the whole "getting rich" mindset is harming cryptocurrencies.
I got into crypto not because of that, but because it is honestly amazing technology and I see a future where it is used everywhere. Profit is just a side effect to me. It is obviously nice, but if you get in just for profit, you will likely lose money in the end.

Im not talking only about crypto, but I would agree. Im mostly talking about getting rich through traditional means. If you can save $10 a day for an entire year to put into a roth ira, you can retire very well off just from compounding returns and reinvestment in the market.

There is nothing wrong about taking any profits. You did the right thing.
Its almost perfect time to start adding to portfolio. We should buy only cryptos we realy belive in.
Avoid cryptos such a BCC. It was a fraud. Steemit community should get together and inform everyone if there is a similar case such as BCC! We all should protect each other. There are so many cryptos with huge potentials and there are bad apples as well!
Great post!
Wish you the best!
Resteemed!

I agree that it is time to start adding to your portfolio. If you weren't blessed like me to sell the night before the drop as I wrote in The Beginning of the Correction then HODL through. Cryptocurrencies are still young and it's a long term play. But if you have cash laying around, now is the time to buy back in. The very same charts in the first post are now showing that things have settled and as a result, I am fully back in the market with a number of projects I believe in. I encourage everyone to buy because the correction is done.

I have peace of mind that I didnt have before which is worth it for me. Im willing to take small returns for a lifetime on the portion I pulled out than potentially becoming very wealthy on keeping it in crypto.

The mindset of hitting it fast and quick by emotionally crypto-trading is usually almost followed by an equally fast and quick crash much like a supercar accelerating at breakneck speeds it's bound to lose control eventually. Better to bid your time and take action when the Market is less volatile.

Indeed it's investing is a long term process. Expecting to get rich within a month or so is ridiculous. Obviously, as crypto currencies are getting very popular lately, there are so many new investors and once they see such a downfall in prices, theg get scared as if it's the end of cryptos. All the panic makes all those investors sell and lose their investments. I think there'a nothing to worry about, because prices go up and down all the time.

Yeah people need to realize its a lifestyle like being healthy and exercising. There isnt a point where you should stop and blow all your money.

Well said, especially the last paragraph. This will hit hard for the newcomers who were hoping to make a quick buck. But people need to remember the reason we want cryptocurrency to succeed... to have a decentralized system we can all be a part of.

I'm holding a few different coins but it's hard to forget about them and let them grow, i got to stay disciplined which is something i quite frankly lack.

One of the hardest things is stopping yourself selling/spending your own coins. You have to put your coins/private key on a cold wallet on a usb stick, lock said stick inside a chest, take the key to your mom that lives like 10 miles away and only then, your investment is actually safe from yourself. Our feelings are our own worst enemies. Best regards Dr DMD

Great post. Hold and buy when there is a blood on the street.

Thank you for the stock market and to tell us about the crypto, I think that to achieve anything, first you have to take the risk.

This post is great, could be a motivation for us,,, continued success as friend @calaber24p

I think,, you are right.. resteem for you

Nobody ever lost money by taking the profit!
👍
Resteemed!

Very bad news..😭

thanks for the update news about bitcoin
i have encourage about money investing
so carry on alwyes following to you

My rule is simple. Sell when high, buy when low. And buy with only 10% of your income. That has saved me from forever !! What do u think 😎😏

keep posting like this

thanks for information

well we are on the long mission this small fall is the sign of getting to a high upward trends we should wait for a long spike soon that is all i believe for now

There should be a coin that looks out if others coins arent a scam xD

At least i check now once a day🤣🤣
I've found out that 1 btc invested in 1 coin had it doubled in a month..i cashed out the 1 btc after that.

Excellent Sir. A lot of people confuse investing with gambling thinking it is a "get rich quick scheme". Propelled by greed and without an in depth knowledge about the coin end up buying sh*t coins and end up as casualties to the volatility of the market. Thanks for the insight sir