Every mountain has a valley...
Cryptocurrency has been skyrocketing for a while, and is picking up even more speed as I am typing this. I am simply amazed at the momentum it has... BUT despite all the excitement soon it will fall. Markets always go up and down, it's the nature of the business - supply and demand. The cryptocurrency market is picking too much speed, too fast, when the acceleration goes up on a steep trajectory like this, then a crash is near. It may continue to still go up for a while, but at this point one thing is sure, couple of months at most, and it will fall. I am no expert, and I may be wrong, but I've seen crashes in the past, and they always happened at the might of the market, when everything was surging thru the roof, like in this case.
Also keep in mind that the governments and banks will fight cryptocurrency with everything they've got. No government wants decentralization of wealth because it means they loose CONTROL. Governments are the biggest threat to cryptocurrency, and will flip over backwards to slow it down.
As you can see from the chart above the curve is getting steeper and steeper for bitcoin, which is the main player in the arena. How much fuel does bitcoin has left, at this stage? My guess is a good as yours.
Don't get me wrong cryptocurrency is here to play a role in the future, but right now people might want to be cautious. Surely there are others who would agree with me and have seen these kind of movements in the past. What I am trying to say is, do not make plans on the current trend, at this point it would be very tricky to keep pumping money into cryptocurrency.
Of course the decision it's in your hands, whatever you decide to do be aware of all the possibilities. I think this is most important for those of you who are not ready to take a loss, but went into this as a result of the euphoria, thinking to get rich quick. If that is the case, then you should be watchful and ready to get your profit before it turns into a loss.
When investing, in my opinion, best is to play with a set amount of money that you are ready to loose. I am not saying to throw you money into the fire and think that they are gone, but do not fret if/when something goes south. Plan to win, but keep in mind that the wind can always change direction, so be ready when it does.
Well this is just me, I was immersed into this euphoria as well, but soon remembered that the market can be very capricious, and unless you are an expert in the field, knowing what and when to pull the right moves, you better be ready for whatever comes your way.
As far as I am concerned, whatever happens I'll take it. I am in for the long run, and if that means that the wind won't be blowing for a while, that's fine, I'll just have to paddle my way thru.
So, you may not want to quit your job yet, but make some money to invest them at the right time, and budget you income, do not spend foolishly on life's little pleasures, think about the future.
It may come a time when your investments will pay in spades, but until that happens, make due with what you have today.
The entire world is rapidly changing, right before our eyes, and not only in the finance industry. Not sure how the world will look like in say... 20 years from now, but I do fantasize about things that I would like to see, and most important of all freedom and living in communion with nature, that is my dream.
Published: 25 May 2017 by Marius
