Panic and fear are the emotions you don't want to feel every moment because of your investment. It really shouldn't be there in the first place because once investors develops fear, they end up panicking and this is where decision-making usually gets clouded.
It gets even worse if you are an investor that holds your stakes in Cryptocurrency.
Oh, my!
I'm going to be brutally honest with you; If you are going to panic every freaking time you see a downward trend in your portfolio, I suggest you think twice about investing in cryptocurrency. Seriously, don't do it!
So many people see cryptocurrency as a get-rich-quick space where you put money today and see it get doubled the next day.
It's funny how the same people can leave their fortune in a bank and painstakingly get a measly 'X' percentage of annual return every year. But once they put a penny in some overhyped shitcoin, they expect the numbers to fly up within the twinkle of an eye.
I'm pretty sure we all know that one dude or dudette who sees Crypto as a place to dive in short-term, get rich and cash out. Well, these are exactly the type of people that usually beat themselves up... over and over again... due to fear and unnecessary panicking whenever they hear that Bitcoin dropped by 0.0001%.
If you believe everything I've said so far to be true, now is the time to look at a way to change this fearful mindset.
Do it long term and don't panic!
Easy peasy lemon squeezy, right?
This should pretty much be the case in all investments (whether Crypto or not) except if you are diving into Ponzi Schemes. Investing with a long-term mindset helps you to focus more on the bigger picture especially when there is a long spell of Crypto dip.
Even when the investment seems to be doing pretty well, the lesson we've learned from the likes of Bitcoin is that going into it with a long-term plan makes a lot of difference.
So many people who sold their Bitcoin when it crossed the $1 threshold in 2011 must have been very excited to 'hit it big'. What would you say to someone that sold it all at that time? Imagine what they will feel as they saw it move from $1 to what we all see today.
Does it mean that long-term investors don't ever get to sell until what they are holding becomes as valuable as Bitcoin?
Nope! That's not what I'm implying!
People sell when the market is doing well. That's a normal thing for investors. The difference between a short-term investor and a long-term investor in such situations is that;
A short-term investor sells it all and smiles to the bank to cash out. Meanwhile, a long-term investor sells a fraction of his holding knowing fully well that there is so much room for value addition in the future.
Now, between a long-term investor and short-term investor, who do you think is most likely to 'sell them all' once they start seeing #CrytoCrash as a trend on... let's say Twitter?
I think the answer is clear.
That pretty much sums up the effect of investing in Crypto as a short-term holder. You make yourself feel vulnerable to fear and panic buying/selling.
Let's do this long-term. Okay?
Note: No element of what is written here should be mistaken for a financial advice.
Thanks For Not Missing Any Full-stop Or Comma.
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