Wealth password learned from the cryptocurrency market

In the modern society where money is supreme, the pursuit of success is the right of everyone. Otherwise, there is no day and night to work hard to work overtime. What is the significance of staring at the K-line chart for day and night?

Under the demonstration of wealth effect, in the currency market as an investor, wealth freedom is the ultimate goal, and money is the only light that guides the way forward. The applause and flowers are so desirable, but unfortunately success can change people, and usually it is not to make people better, but worse. As Buffett said at the 2019 shareholders meeting, some people will not be happy when they are worthless, even if they have one million billion, they will not be happy.

Illusion of wealth

Success will make people feel illusory, thinking that they are smart enough to beat most people in the market, including my personal in the frenzied atmosphere of the big bull market in 2017, holding a lot of money, the fluctuations of the day are more than a million, on the street Walking with the wind, screaming at all beings, smug and self-satisfied that making money is a breeze, self-confident, and think that what type of currency can be earned, but good things turn bad, the cost of the first short-lived success is quite expensive, the bear market As the pace approached, all assets shrank as the market panicked, shrinking rapidly.

The mentality is as DOWN as the K-line falls to the bottom of the valley. Suspicion, confession and self-blame sentiment came to the fore, and the self-confidence and calmness of the bull market. After a few months of psychological battles, I gathered my mind, read a lot of books on investment, and calmed down to make my own experiences and lessons.

In the investment market, you must understand that the level of information and knowledge you know is limited. Don't be blind and arrogant. Don't assume that you will definitely not make mistakes, because no one can definitely know the future market trend, and even have At the time, when individuals are unwilling to change their positions, they will wish to think that they are right and that the market is wrong. If investors have no restrictions on holding or jiacang, or have not re-examined their judgment based on facts and argumentation, the investors did not figure out how they lost. Undoubtedly the most sad thing.

It seems that it is irrelevant. It can be said that it is very important in the investment process. After all, it is a lesson of blood and tears. When you have not earned the first pot of gold, it is helpful to see this article, although you will continue. Made a mistake.

Because when you are in the bull market, with more and more successes, such as the opportunity of ten times the currency of 100 times, it is entirely possible in the bull market. Constantly strengthen the reshaping of self-awareness, and even feel that they are masters of investment, and have more confidence in their own views and intuition, and the tolerance for risk is declining.

The most striking symptom is that self-doubt becomes less, and even no longer doubts that the self has rushed to make investment decisions, which means that they are less likely to consider the possibility of their own mistakes, and thus no longer worry about the risk of loss, so much that they I no longer insist that the buying price is cheap enough to ensure a sufficient margin of safety. I am personally stupid enough to be optimistic about the upward trend in the Ethereum 10000RMB. Later, everyone knows it. Ethereum is shattered with ICO. The biggest drop even exceeded 93%, and now it is stable at around RMB 1,000.

Since then I have learned an old saying from the investment community:

" Don't confuse your mind with the cow and the market ."

Pseudo-experience brought by the bull market

The blessings of the blessings, the blessings of good fortune, good luck and bad luck are also luck, and you have to bear.

In the bull market, when you are satisfied, you will basically not learn valuable things. When good luck comes, you will put all your achievements on your own ingenuity. As a result, you will not see it. The real reason for success, in fact, many people just earned money is just lucky, no other.

Every bull market actually gives investors two experiences:

First, making money is very easy. I once said that the original money-making is so simple, I swear that I will never say this brainless words again, never.

Second, there is no need to worry about risks. When I was at the peak of the bull market at the end of 2017, I voted for two private placements, and ended up with the finalization of zeroing.

The above two points are actually pseudo-experiences with extremely high risk factors.

Those who make money in the bull market, under the circumstance of a good atmosphere, take it for granted that the assets they choose will inevitably become a small opportunity to overcome the big winners in the market. Innocent to the point where they can’t be added, Imagine harvesting hundreds of times after crossing the bulls and bears. The joy of the coin.

What they don't know is that every bull market opportunity cannot be replicated because the market is cyclical, not continuous. In fact, every bull market will inevitably lead to the arrival of the next bear market. Making a big profit in a bull market does not mean that you will always make money in the market. This kind of thinking can only be said to be a daydream.

People who lose money can be divided into two categories:

1, a class of people know nothing

2. Another class of people knows everything.

In the first category, it is easy to understand, slamming into the market and buying a certain currency without knowing anything. Novices generally do not buy Bitcoin. In their limited investment perception, the price of Bitcoin has been determined. Too high, the risk is relatively large, choose a price from a thousand currencies is relatively low, when they buy, even the total amount of the currency is not clear, and then pulled into the official group of various brainwashing, instilling Thoughts, let them think that the currency they bought will soon surpass the market value of Bitcoin. The evil consequences of various CXs are that some people say that they have any bad words in the currency they hold, and they have a high probability of swearing in the opposite direction.

What you may be curious about is that the second type of people know everything, why do they lose money? Because they are too dependent on the process experience, look down on the currency that comes up behind. For example, the currency circle has a scorn chain, the bitcoin holders look down on the Ethereum, the people holding the Ethereum look down on the EOS, and the people holding the Ethereum look down. TRX, the person holding the mainstream currency looks down on a complete scorn chain of people holding the altcoin. They each think that other coins bought by others are worthless, and the party is different. Because they know everything and know that they have no fear of the market in their cognitive world, thinking that they have crossed the bull market twice and twice, and the third time they will realize the financial freedom they dreamed of, in fact On the contrary, just because of their accumulated experience in the Shangbo bull market, they are filled with fear and greed. Once the bull market arrives early, during the retracement period, they will clear their positions and sing to the highest peak of the bull market. When not living in the highest position in the market, he surrendered to the market with a white flag, entered the quilt, and finally ended the end of the cut-off, while screaming for the bitcoin scam, while greatly annoying his own judgment on the market.

In fact, investment strategies in the market are very important, and trading sentiment is never controlled. Like flooding, we only have a deep understanding: "There is nothing in the market that is always effective, and there are no investment methods and investment rules that can always beat the market. ". In most of the currency market investments, they are effective at some stage of the cycle and often ineffective at other stages. And the success of the past itself has made future success less likely.

Successful attempts to replicate are often defeated.

Recognize reality

Some people have concluded that the law of the rotation of the currency is: bitcoin rises, then the mainstream currency rises, then the cottage flies, and finally rises together. In the past two months, the rebound market has been condolences. With Bitcoin doubling, many mainstream currencies are no longer rising, and some have also seen new lows, not to mention that most of the altcoins have experienced a short period of time. lowest price.

In human nature, it is not so thought that everyone is superstitious and always has something that is always effective. This is the case, so that they believe that effective things become ineffective.

Every important thing in the investment is counter-intuitive. On September 4, 2017, the seven ministries and commissions of China announced that they would stop the illegal fundraising activities of ico. All domestic exchanges were closed within a time limit. Most of them succumbed to authority and surrendered. Bitcoin and other cryptocurrencies have been sentenced to death, but counter-intuitive people don’t think so. They are madly bargaining in a month and finally earn huge amounts of wealth in the bull market. At the end of 2017, Bitcoin broke through the $20,000 mark. Most people think that Bitcoin is about to embark on a journey of one million dollars. A small number of people follow the rules of the market to cash out and avoid the tragedy of the 2018 massacre.

If a person wants to make big money, he will believe that he is the son of a natural election. In fact, it is not. The illusion is always formed along with the investment process. It breaks the illusion, recognizes the reality and treats the ruthless market with a humble attitude. It is this opportunity to make money.

You can think of it as an afterthought, and can't deny that there are such a small number of people, and we just want to see the trend of the market, and then we can retreat in the next wave of bull market.

However, the freedom of wealth is often a matter of a small number of people. The vast majority of people are only slowly getting rich is the right way.

(Author: Bitcoin Caesar)