I get the same questions and comments everyday during this period of the cycle:
"Is now a good time to buy?"
"What is happening?"
"Why is it crashing?"
"Should I sell?"
"I hear XYZ is the reason for this sell off!"
If you are asking and talking like the above examples you need to learn the boom/bust cycle that cryptocurrency has.
We are the veteran group here! We don't complain when coins drop 80% in less than a week! We BTFD!
What is BTFD? Buy The Fucking Dip! It is self explanatory, if you liked STEEM at $5 why don't you LOVE STEEM at $3.50? If you are chasing the next trend and hoping for a quick payout, you probably are loosing money!
The veterans of crypto don't ask "Should I sell?" during a crash! They know the time to sell (if they wanted to) has already passed and the HODL phase has begun! Selling during the HODL phase is what leads to huge panic and quick drops in prices which are then bought up by the same veterans who didn't during the crash!
So then when do I sell? Sell on the way UP after you have over 200% profit is my guideline and only take off your initial investment until you are at least 10x up. Once you have seen a really nice profit, take off another chunk! But do not panic sell the dips and do not FOMO buy the rallies! These are the classic N00b mistakes!
So you hear XYZ is the reason for the crash? Please do tell me more about how one single thing can determine the outcome of hundreds of billions of dollars and millions of people. The real truth is anytime you look at human emotions you have the same cycle, the economy/wallstreet calls it the "business cycle", a series of boom periods followed by bust periods.
In conclusion, the cycle is simple and it goes like this:
- Veterans see opportunity in a coin and begin buying (BTFD)
- Veterans begin to promote the coin and project while continuing to buy more
- Prices begin to skyrocket as FOMO (Fear Of Missing Out) sets in
- Veterans begin to sell off some of their coins as the market begins moving up too high too fast
- FUD spreads and fear sets in resulting in a loss of buyers. This is the top and when you see that beginning down swing
- The crash happens, n00bs ask why and begin selling BELOW where they purchased loosing money and most of the time never return. Begin the HODL stage!
- See step 1! Rinse, Wash, Repeat!
Happy Steeming!
BTFD.....hell yeah @bigdeej !
It is becoming closer to that time, I am eyeing some price ranges now I want to get more at!
Please elaborate :)
Since I wrote this article BTC and the rest of the crypto markets have already gone down another 10% in just 2 hours! I do not think we are at the bottom yet and I will be looking for when to BTFD. I think we are still in the pain! Begin to find entries now and buy downward.
You just said my mind. This is the time to buy and promote. SBD is picking up very soon and it is our time to make it BIG time.
100% true. You ONLY lose money when you sell!
Crypto WILL surge again. Hold tight - the volatility is expected with 100 million new crypto users. They now have accounts and will return.
I agree crypto is only getting bigger, this big correction is healthy and will shake out the weaker hands!
It's an adrenaline rush, 100% lol
The dips are so exhilarating, but they're NOTHING compared to the rallies. I haven't bought anything but steem since the end of December, so I'm still winning. Got an airdrop and earned some steem (which is now lost on an old account), so that helped a bit I suppose. But I'm still up on what I've actually put fiat into.
Exactly see phase 3 of the cycle above! FOMO! That is the point when the rally goes crazy!
I like phase 3. Phase 3 is profitable.
Yes I believe we see phase 3 again by may!
That's when everyone forgets that they predicted that Bitcoin would implode a few months earlier and they were totally right about it, right?
Growing.
Congratulations @bigdeej!
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