Another rule chads: the market is irrational, but that's where opportunity lies.
If you've done your homework and truly believe in a project, use these dips to load up.
For example, my conviction and thesis on Pormie + seeing this dip makes me want to increase my position further. However I have substantial bags which were bought at 40-60k so my margin of safety is excellent right now. If I had no bags, i'd consider buying here.
Most people just follow the herd like sheep. But the real money is made by thinking for yourself and having the conviction to go against the crowd when the facts are on your side.
Learn this game inside out. Question everything. And when you find something you genuinely believe in, back it up without letting temporary noise shake you. That's how you win.
And always manage risk - anything can go to 0 in crypto....
If you've done your homework and truly believe in a project, use these dips to load up.
For example, my conviction and thesis on Pormie + seeing this dip makes me want to increase my position further. However I have substantial bags which were bought at 40-60k so my margin of safety is excellent right now. If I had no bags, i'd consider buying here.
Most people just follow the herd like sheep. But the real money is made by thinking for yourself and having the conviction to go against the crowd when the facts are on your side.
Learn this game inside out. Question everything. And when you find something you genuinely believe in, back it up without letting temporary noise shake you. That's how you win.
And always manage risk - anything can go to 0 in crypto....
🔥10💯3😍1
Hello Chads.
I'm your vessel in this game, sharing alpha for free. Not selling anything, just aiming for you to make money and live the life you want to. If your brain is so fried you can't spend a few minutes reading these messages, you deserve to lose and remain poor. The world is not crazy enough to reward undeserving people, and in the eyes of many, you will look undeserving.
That said, I want to talk about the most important aspect to win as an investor: Risk, more precisely managing risk.
To win as an investor and not get sucked into the crowd of degen jeets who will roundtrip their gains, FOMO during green candles or sell when there is blood on the streets even though the asset in question is destined for higher returns, you must have that knowledge advantage - which in reality helps you minimize risk.
You want projects at the end of the risk curve. What does this mean? When you deeply understand a project through research and feeling out the community, looking at the leadership team, understanding the potential of the product, you remove uncertainty.
People traditionally see big price drops as signaling high risk and vice versa. This, however, is far from the truth.
Warren Buffett says the traditional way of measuring risk taught in universities is flawed. It's not about a big price drop signaling high risk. True risk, according to Buffett and Munger, is a lack of knowledge advantage. Risk is not understanding the technology, industry, etc. That's the real risk - operating in a world you don't comprehend.
If you learn and understand a company or asset inside-out through rigorous research, who cares if it's down 90% or hasn't been "bought up" yet? You know the future potential, so you're taking an educated chance. As Benjamin Graham says, the market is a voting machine in the short term, but a weighing machine in the long run. And you are weighing up your thesis to be your golden ticket to mega gains if you did your homework correctly.
Real risk is your investment thesis being incorrect. The university-taught notion that a massive price drop automatically means high risk is misguided and outdated. It's a paradigm shift.
This is why we remain bullish on crypto. We understand bitcoin as a hedge against inflation, Ethereum and its burning supply, the potential of new projects which can change the way we see web3 gaming or the cultural significance of meme coins, and the casino dynamic around speculative assets. As we uncover these nuanced ideas, our conviction strengthens daily.
People ask why we keep holding. That's because they're stuck working jobs or remain dependent on a dying system while we're in the trenches preparing for our moon missions. Of course, they'll never grasp assets like crypto, or perhaps more closer to home, your specific thesis on a certain coin - they haven't done the hard work of understanding the fundamentals, communities, memes, and narratives driving this space.
If you rely on pure speculation and luck, your conviction will likely be so fragile that you'll panic sell at the first big red candle instead of buying more. Or you'll grow impatient, wondering why your asset hasn't "mooned" yet despite lacking a thorough understanding of its fundamentals.
We see prices responding in real-time, punishing forgotten projects with weak communities and outdated tech. But for the projects where we have a knowledge advantage, we stay committed because we deeply comprehend the potential.
In crypto, cultivating a knowledge advantage through arduous research is how you minimize risk over the long run. Stay curious, keep learning, and gain that edge.
If you read till the end, I believe you will win in this game.
I'm your vessel in this game, sharing alpha for free. Not selling anything, just aiming for you to make money and live the life you want to. If your brain is so fried you can't spend a few minutes reading these messages, you deserve to lose and remain poor. The world is not crazy enough to reward undeserving people, and in the eyes of many, you will look undeserving.
That said, I want to talk about the most important aspect to win as an investor: Risk, more precisely managing risk.
To win as an investor and not get sucked into the crowd of degen jeets who will roundtrip their gains, FOMO during green candles or sell when there is blood on the streets even though the asset in question is destined for higher returns, you must have that knowledge advantage - which in reality helps you minimize risk.
You want projects at the end of the risk curve. What does this mean? When you deeply understand a project through research and feeling out the community, looking at the leadership team, understanding the potential of the product, you remove uncertainty.
People traditionally see big price drops as signaling high risk and vice versa. This, however, is far from the truth.
Warren Buffett says the traditional way of measuring risk taught in universities is flawed. It's not about a big price drop signaling high risk. True risk, according to Buffett and Munger, is a lack of knowledge advantage. Risk is not understanding the technology, industry, etc. That's the real risk - operating in a world you don't comprehend.
If you learn and understand a company or asset inside-out through rigorous research, who cares if it's down 90% or hasn't been "bought up" yet? You know the future potential, so you're taking an educated chance. As Benjamin Graham says, the market is a voting machine in the short term, but a weighing machine in the long run. And you are weighing up your thesis to be your golden ticket to mega gains if you did your homework correctly.
Real risk is your investment thesis being incorrect. The university-taught notion that a massive price drop automatically means high risk is misguided and outdated. It's a paradigm shift.
This is why we remain bullish on crypto. We understand bitcoin as a hedge against inflation, Ethereum and its burning supply, the potential of new projects which can change the way we see web3 gaming or the cultural significance of meme coins, and the casino dynamic around speculative assets. As we uncover these nuanced ideas, our conviction strengthens daily.
People ask why we keep holding. That's because they're stuck working jobs or remain dependent on a dying system while we're in the trenches preparing for our moon missions. Of course, they'll never grasp assets like crypto, or perhaps more closer to home, your specific thesis on a certain coin - they haven't done the hard work of understanding the fundamentals, communities, memes, and narratives driving this space.
If you rely on pure speculation and luck, your conviction will likely be so fragile that you'll panic sell at the first big red candle instead of buying more. Or you'll grow impatient, wondering why your asset hasn't "mooned" yet despite lacking a thorough understanding of its fundamentals.
We see prices responding in real-time, punishing forgotten projects with weak communities and outdated tech. But for the projects where we have a knowledge advantage, we stay committed because we deeply comprehend the potential.
In crypto, cultivating a knowledge advantage through arduous research is how you minimize risk over the long run. Stay curious, keep learning, and gain that edge.
If you read till the end, I believe you will win in this game.
❤15👍12
Fellow investors,
I hope you had a rejuvenating weekend. As we embark on a new week, remember that true wealth encompasses not just financial prosperity but also physical and mental well-being. Neglecting your health and happiness would be a grave mistake, so I took a few days off to enjoy the final few days of May before the fun really begins.
I'm thrilled to share that I see an influx of volume returning to the markets, with this growing gradually and exponentially over the next few months. In the interim, I will create a wealth of invaluable insights and wisdom to share with you in bite-sized, digestible portions. If you haven't already, I highly recommend reviewing my previous messages to get an idea of the messaging to expect.
To ensure you have ample time to absorb and reflect on the knowledge imparted, I will be releasing 2-3 concise yet substantive posts each week. This measured approach will prevent any dilution of the value I aim to deliver – similar to how you attract a woman or win in business negotiations.
While my recent meme coin trades yielded substantial profits, true lasting wealth will be attained by adhering to the time-tested principles of buying low and selling high. During the 2022 bear market depths, I strategically accumulated assets poised to soar during the impending bull run, which I intend to offload later this year or early next.
One crucial lesson I've learned is the importance of front-running the narrative. Chasing green candles is akin to missing the train – you want to be positioned before the crowd catches on, when sentiment is at its most pessimistic. Assuming you've conducted thorough research, there are currently numerous high-quality cryptocurrencies trading at irrationally low prices. Seize these opportune moments to accumulate.
As I mentioned before, I expect a lot of attention and interest in the cryptocurrency holdings I currently own within the next 3 months. When that happens, I will start the second part of my investment plan - slowly selling those holdings over time.
I will use a strategy called dollar cost averaging to sell portions of my holdings at set price levels and/or percentage gains, rather than trying to sell everything at the perfect top of the market. This allows me to capture gains while reducing risk from market volatility. It is better to have time in the market than timing the market.
Patience and sticking to my rules for selling will be crucial, just as discipline was needed when originally buying these assets. I won't get tempted to sell everything early or change the plan based on short-term swings. Following the strategy calmly will lead to the best outcome.
Now, there is still time to accumulate certain coins which have great risk/reward so don't feel like it is too late to invest. Remember when I mentioned the importance to front-running the narrative? No-one is talking about crypto gaming.
Money follows attention, and gaming coins are poised to capture the spotlight imminently. This is your hint – capitalize on it wisely.
I hope you had a rejuvenating weekend. As we embark on a new week, remember that true wealth encompasses not just financial prosperity but also physical and mental well-being. Neglecting your health and happiness would be a grave mistake, so I took a few days off to enjoy the final few days of May before the fun really begins.
I'm thrilled to share that I see an influx of volume returning to the markets, with this growing gradually and exponentially over the next few months. In the interim, I will create a wealth of invaluable insights and wisdom to share with you in bite-sized, digestible portions. If you haven't already, I highly recommend reviewing my previous messages to get an idea of the messaging to expect.
To ensure you have ample time to absorb and reflect on the knowledge imparted, I will be releasing 2-3 concise yet substantive posts each week. This measured approach will prevent any dilution of the value I aim to deliver – similar to how you attract a woman or win in business negotiations.
While my recent meme coin trades yielded substantial profits, true lasting wealth will be attained by adhering to the time-tested principles of buying low and selling high. During the 2022 bear market depths, I strategically accumulated assets poised to soar during the impending bull run, which I intend to offload later this year or early next.
One crucial lesson I've learned is the importance of front-running the narrative. Chasing green candles is akin to missing the train – you want to be positioned before the crowd catches on, when sentiment is at its most pessimistic. Assuming you've conducted thorough research, there are currently numerous high-quality cryptocurrencies trading at irrationally low prices. Seize these opportune moments to accumulate.
As I mentioned before, I expect a lot of attention and interest in the cryptocurrency holdings I currently own within the next 3 months. When that happens, I will start the second part of my investment plan - slowly selling those holdings over time.
I will use a strategy called dollar cost averaging to sell portions of my holdings at set price levels and/or percentage gains, rather than trying to sell everything at the perfect top of the market. This allows me to capture gains while reducing risk from market volatility. It is better to have time in the market than timing the market.
Patience and sticking to my rules for selling will be crucial, just as discipline was needed when originally buying these assets. I won't get tempted to sell everything early or change the plan based on short-term swings. Following the strategy calmly will lead to the best outcome.
Now, there is still time to accumulate certain coins which have great risk/reward so don't feel like it is too late to invest. Remember when I mentioned the importance to front-running the narrative? No-one is talking about crypto gaming.
Money follows attention, and gaming coins are poised to capture the spotlight imminently. This is your hint – capitalize on it wisely.
❤12🔥3💯3
Greetings, fellow investors!
Apologies for my recent absence. I've been intensely focused on navigating the exhilarating realm of meme coin trading.
A few months ago, I made the pivotal decision to leave my job and immerse myself fully in the crypto sphere – a choice that has proven immensely rewarding. I'm now consistently generating daily profits that surpass my former monthly salary.
Meme coin trading is a whirlwind of volume and attention. With the right investing fundamentals - understanding market cycles, human emotions, value - applied to shorter timeframes, immense gains await.
One fundamental aspect I wish to emphasize is the pivotal role of knowledge advantage, this time through the lens of your network. It's often said that you are the product of your five closest companions, and this adage extends seamlessly into the digital realm. If your circle consists of emotionally volatile, financially destitute individuals who succumb to paltry 2x gains, you risk inheriting their broke, resentful mindset.
The same principle applies to the numerous groups you inhabit. If you find yourself amidst hundreds of strangers in chaotic group chats, where it's a constant player-versus-player battle and you become mere exit liquidity, you'll forever chase your tail, mired in brokenness.
The objective here is to surround yourself with high-caliber individuals – trustworthy, knowledgeable, mature, and consistently victorious. This energy will gravitate towards you. You can collaborate, strategize, and triumph as a cohesive tribe, eliminating the incessant noise and distractions that plague larger Telegram groups. This mirrors the rationale behind avoiding crypto knowledge from influencers with hundreds of thousands of followers on Instagram and TikTok. By missing the curve, you surrender your knowledge advantage, increasing your risk exposure and perpetuating a cycle of financial stagnation.
The moral of the story is this: surround yourself with top-tier individuals you can trust, cultivate your competencies, filter out the cacophony of irrelevant channels and noise, and maintain a laser-focused, precise approach to your goals. This is the path to victory – the path I've embraced, both in the short-term through trading meme coins on a fundamental basis and in the long-term through my crypto gaming hold bags accumulated since 2022.
FYI everyone is talking about meme coins. No one is talking about gaming coins. This is the next narrative…Use this information as you will.
If you've read this far, you are a winner, one step closer to conquering this game.
BasedOG
Apologies for my recent absence. I've been intensely focused on navigating the exhilarating realm of meme coin trading.
A few months ago, I made the pivotal decision to leave my job and immerse myself fully in the crypto sphere – a choice that has proven immensely rewarding. I'm now consistently generating daily profits that surpass my former monthly salary.
Meme coin trading is a whirlwind of volume and attention. With the right investing fundamentals - understanding market cycles, human emotions, value - applied to shorter timeframes, immense gains await.
One fundamental aspect I wish to emphasize is the pivotal role of knowledge advantage, this time through the lens of your network. It's often said that you are the product of your five closest companions, and this adage extends seamlessly into the digital realm. If your circle consists of emotionally volatile, financially destitute individuals who succumb to paltry 2x gains, you risk inheriting their broke, resentful mindset.
The same principle applies to the numerous groups you inhabit. If you find yourself amidst hundreds of strangers in chaotic group chats, where it's a constant player-versus-player battle and you become mere exit liquidity, you'll forever chase your tail, mired in brokenness.
The objective here is to surround yourself with high-caliber individuals – trustworthy, knowledgeable, mature, and consistently victorious. This energy will gravitate towards you. You can collaborate, strategize, and triumph as a cohesive tribe, eliminating the incessant noise and distractions that plague larger Telegram groups. This mirrors the rationale behind avoiding crypto knowledge from influencers with hundreds of thousands of followers on Instagram and TikTok. By missing the curve, you surrender your knowledge advantage, increasing your risk exposure and perpetuating a cycle of financial stagnation.
The moral of the story is this: surround yourself with top-tier individuals you can trust, cultivate your competencies, filter out the cacophony of irrelevant channels and noise, and maintain a laser-focused, precise approach to your goals. This is the path to victory – the path I've embraced, both in the short-term through trading meme coins on a fundamental basis and in the long-term through my crypto gaming hold bags accumulated since 2022.
FYI everyone is talking about meme coins. No one is talking about gaming coins. This is the next narrative…Use this information as you will.
If you've read this far, you are a winner, one step closer to conquering this game.
BasedOG
❤20👍4🐳3
In these turbulent times, belief is the main game. Just as living life by principles and virtues – embodying your very existence in these timeless ideals – you must also do so with crypto and your investments during emotional times like now. This is exactly what I am doing with my biggest crypto conviction picks, which are in crypto gaming.
Belief is the sacred mantra, but it arises from rational analysis, not blind faith. Without rock-solid conviction, you cannot prevail. Technical indicators, listening to influencers and moon astrology are distractions; conviction built on fundamentals is your path. Have the tenacity to say "My thesis remains sound, the market is simply irrational. I will hold firm based on my research and reasons." Logic and analysis underpin your stance, but you cannot let emotions overwhelm that foundation. Balanced conviction integrating rational and emotional elements ensures you withstand this cycle's tests. Markets are voting machines short-term, but weigh fundamentals long-term. Assuming your thesis remains intact, all you need is patience and belief.
Our rallying cry echoes, "I know you will rise one day." The when and how may elude us, but we hold steadfast unless our fundamental thesis crumbles. This unshakable spirit is our lifeblood. Embrace the powerful mindset, especially when adversity strikes or prices plummet as we are seeing right now with many of our beloved alt coins.
Ultimately, you're betting on who will endure through the red candles. The bull market starts only when you slay the final bull, and I am seeing blood almost everywhere.
While the gaming narrative seems lifeless, I've re-deployed my meme coin profits into my high-conviction gaming picks - coins I've been accumulating since late 2022 and early 2023 based on deep analysis. The end of 2023 saw massive pumps, but now many altcoins, including previously pumped gaming coins, bleed out amidst the meme mania - back near pre-pump levels. This exemplifies how markets offer second chances to all but only those who are blessed with vision and conviction will take.
As the herd chases memes, each dip in the other altcoins is an opportunity to re-evaluate your investment theses with a judicious eye. If fundamentals hold, irrational pricing allows accumulating quality assets obscured by fear and euphoria. The market's cyclical irrationality is a gift - renewing your ability to load up on sound projects at attractive levels. Turning crisis into opportunity separates those building dynastic wealth from gamblers hopping trains.
Yes, I've profited handsomely from meme coins (approximately $200,000 now since late Feb) by being constantly active in this 'neo-2020 DeFi summer'; and I will continue to profit until the music stops. But the true wealth lies in long-term conviction picks.
As I've reminded you, the richest made their fortunes from investing, not trading. I'll make millions from holding quality crypto gaming tokens, not meme trades. Meme coins are a deadly game, and I'm reluctant to hold any for too long. A handful, however, reside in my hodl bags, but that's a tale for another time.
I have one crown jewel in my portfolio, a gaming coin that I call my "golden ticket." This is a conviction play that I'm extremely bullish on. Soon, I'll write an essay unveiling why I'm bullish on this gem through the lenses of market cycles, human behavioural economics, investor fundamentals, the burgeoning crypto gaming narrative, the coin itself and my own experiences. Stay tuned.
This is my supreme belief for this cycle. And in this crypto game, as well as in life, belief is the seed that blooms into victory.
BasedOG
Belief is the sacred mantra, but it arises from rational analysis, not blind faith. Without rock-solid conviction, you cannot prevail. Technical indicators, listening to influencers and moon astrology are distractions; conviction built on fundamentals is your path. Have the tenacity to say "My thesis remains sound, the market is simply irrational. I will hold firm based on my research and reasons." Logic and analysis underpin your stance, but you cannot let emotions overwhelm that foundation. Balanced conviction integrating rational and emotional elements ensures you withstand this cycle's tests. Markets are voting machines short-term, but weigh fundamentals long-term. Assuming your thesis remains intact, all you need is patience and belief.
Our rallying cry echoes, "I know you will rise one day." The when and how may elude us, but we hold steadfast unless our fundamental thesis crumbles. This unshakable spirit is our lifeblood. Embrace the powerful mindset, especially when adversity strikes or prices plummet as we are seeing right now with many of our beloved alt coins.
Ultimately, you're betting on who will endure through the red candles. The bull market starts only when you slay the final bull, and I am seeing blood almost everywhere.
While the gaming narrative seems lifeless, I've re-deployed my meme coin profits into my high-conviction gaming picks - coins I've been accumulating since late 2022 and early 2023 based on deep analysis. The end of 2023 saw massive pumps, but now many altcoins, including previously pumped gaming coins, bleed out amidst the meme mania - back near pre-pump levels. This exemplifies how markets offer second chances to all but only those who are blessed with vision and conviction will take.
As the herd chases memes, each dip in the other altcoins is an opportunity to re-evaluate your investment theses with a judicious eye. If fundamentals hold, irrational pricing allows accumulating quality assets obscured by fear and euphoria. The market's cyclical irrationality is a gift - renewing your ability to load up on sound projects at attractive levels. Turning crisis into opportunity separates those building dynastic wealth from gamblers hopping trains.
Yes, I've profited handsomely from meme coins (approximately $200,000 now since late Feb) by being constantly active in this 'neo-2020 DeFi summer'; and I will continue to profit until the music stops. But the true wealth lies in long-term conviction picks.
As I've reminded you, the richest made their fortunes from investing, not trading. I'll make millions from holding quality crypto gaming tokens, not meme trades. Meme coins are a deadly game, and I'm reluctant to hold any for too long. A handful, however, reside in my hodl bags, but that's a tale for another time.
I have one crown jewel in my portfolio, a gaming coin that I call my "golden ticket." This is a conviction play that I'm extremely bullish on. Soon, I'll write an essay unveiling why I'm bullish on this gem through the lenses of market cycles, human behavioural economics, investor fundamentals, the burgeoning crypto gaming narrative, the coin itself and my own experiences. Stay tuned.
This is my supreme belief for this cycle. And in this crypto game, as well as in life, belief is the seed that blooms into victory.
BasedOG
❤20👍1
Hello everyone,
I hope this message finds you well. I wanted to touch base and let you know that I'm still here and have been working hard behind the scenes on my business and spending time with family.
Starting tomorrow, I'll be resuming regular well-researched, high quality information with one post per week.
In upcoming posts, I'll be continuing my thoughts on investment philosophy, along with my thoughts on a few coins that I'm particularly bullish about. I'll explain my reasoning using an investor's perspective, providing you a method on how to think correctly, which will give you an edge against the market.
Thank you for your patience during my absence. I encourage you to reflect on the knowledge I've shared previously, as it will provide context for future discussions.
Stay tuned for more content, and please continue to spread the word about this channel!
Speak soon!
BasedOG
I hope this message finds you well. I wanted to touch base and let you know that I'm still here and have been working hard behind the scenes on my business and spending time with family.
Starting tomorrow, I'll be resuming regular well-researched, high quality information with one post per week.
In upcoming posts, I'll be continuing my thoughts on investment philosophy, along with my thoughts on a few coins that I'm particularly bullish about. I'll explain my reasoning using an investor's perspective, providing you a method on how to think correctly, which will give you an edge against the market.
Thank you for your patience during my absence. I encourage you to reflect on the knowledge I've shared previously, as it will provide context for future discussions.
Stay tuned for more content, and please continue to spread the word about this channel!
Speak soon!
BasedOG
❤19👍2
Crypto's a brutal game. At least 90% of you will get eaten alive if you're not prepared. But fear not – my posts are your blueprint for success in this digital jungle.
We're on a quest for the undiscovered – those glittering gems that'll skyrocket in value. But here's the catch: value in crypto comes from attention, product market fit, network effects, and community. Once a project is a household name, there's little room for explosive growth.
To win in this game, you need to dive deep into the trenches. Seek out those untouched, unspoken-of projects. When you stumble upon one with intrinsic value and potential, apply the sacred principles: risk management, conviction-building, and unwavering belief. This is your path to victory.
Look at Warren Buffet and Charlie Munger – they made high-conviction bets in obscure niches and emerged victorious. It's the same reason people were bullish on Ethereum and De-Fi in late 2019 and early 2020, and why I'm now bullish on crypto gaming now. Gaming coins are at bottom prices, yet they could be the first mass adoption niche for blockchain and crypto. We just need one unicorn to find the winning web3 gaming model, and I believe I've found it. In August-September when the second phase of the bull run begins, watch the narrative shift from meme coins to these overlooked gems.
Low market cap, low attention, high potential projects are goldmines. It's why Base succeeded, TON is promising, and gaming coins will moon.
But remember: risk management is your shield. When everyone's dancing, the music's about to stop. If the big players are already in or if the masses are foaming at the mouth, you're too late. That mindset will keep you poor. If you're betting on already-massive network effects, you're not the predator – you're the prey. Don't be the last fool holding the bag.
The key? Be early. Understand Metcalfe's Law, see the upside potential and recognize that in crypto's parabolic world, the earliest adopters might be incentivized to crush newcomers if prices surge too quickly. The margin of safety is your lifeline.
Our mission is clear: unearth those hidden gems, then apply ironclad investor fundamentals with unwavering discipline. We buy deep-value, contrarian assets. We hold through the bloodbath of red candles, feeling we may be blessed again for the four-year cycle to work its magic.
That's my play with two specific coins: a Base meme coin and a promising gaming token. Details coming soon.
And Remember, if your thesis is correct, you will succeed with two essential qualities: conviction and patience; for patience makes kings out of slaves.
BasedOG
We're on a quest for the undiscovered – those glittering gems that'll skyrocket in value. But here's the catch: value in crypto comes from attention, product market fit, network effects, and community. Once a project is a household name, there's little room for explosive growth.
To win in this game, you need to dive deep into the trenches. Seek out those untouched, unspoken-of projects. When you stumble upon one with intrinsic value and potential, apply the sacred principles: risk management, conviction-building, and unwavering belief. This is your path to victory.
Look at Warren Buffet and Charlie Munger – they made high-conviction bets in obscure niches and emerged victorious. It's the same reason people were bullish on Ethereum and De-Fi in late 2019 and early 2020, and why I'm now bullish on crypto gaming now. Gaming coins are at bottom prices, yet they could be the first mass adoption niche for blockchain and crypto. We just need one unicorn to find the winning web3 gaming model, and I believe I've found it. In August-September when the second phase of the bull run begins, watch the narrative shift from meme coins to these overlooked gems.
Low market cap, low attention, high potential projects are goldmines. It's why Base succeeded, TON is promising, and gaming coins will moon.
But remember: risk management is your shield. When everyone's dancing, the music's about to stop. If the big players are already in or if the masses are foaming at the mouth, you're too late. That mindset will keep you poor. If you're betting on already-massive network effects, you're not the predator – you're the prey. Don't be the last fool holding the bag.
The key? Be early. Understand Metcalfe's Law, see the upside potential and recognize that in crypto's parabolic world, the earliest adopters might be incentivized to crush newcomers if prices surge too quickly. The margin of safety is your lifeline.
Our mission is clear: unearth those hidden gems, then apply ironclad investor fundamentals with unwavering discipline. We buy deep-value, contrarian assets. We hold through the bloodbath of red candles, feeling we may be blessed again for the four-year cycle to work its magic.
That's my play with two specific coins: a Base meme coin and a promising gaming token. Details coming soon.
And Remember, if your thesis is correct, you will succeed with two essential qualities: conviction and patience; for patience makes kings out of slaves.
BasedOG
❤9🔥4
I love the colour red. It symbolizes vitality, courage, and passion—but in the red financial markets today, all I see is blood, which often represents opportunity.
With Bitcoin hovering around $55,000 and Ethereum dipping below $3,000, market sentiment is rife with uncertainty. Investors fret about further declines, portfolio losses, and the elusive bull market. People lacking experience or a viable thesis are suffering right now. However, for those who've done their due diligence, this chatter is merely background noise.
These moments of market irrationality present golden opportunities to reinforce your investment thesis and capitalize on undervalued assets. Many claim they would have bought at the bottom, but fail to recognize when we're actually there. Can you sense the palpable fear in the air?
I relish these periods. They're the perfect time to act decisively while others hesitate. As Warren Buffett famously advised, "Be fearful when others are greedy, and greedy when others are fearful."
Remember, calculated risk-taking often goes hand in hand with luck. While past performance doesn't guarantee future results, those who maintain a long-term perspective may find the coming months particularly rewarding.
Stay focused, trust your research, and seize the opportunities that volatility presents. As you navigate this turbulent market, remember:
1) Conviction in the face of doubt: Others may initially label you as deluded for your contrarian stance.
2) Success breeds skepticism: Later, they might attribute your gains to mere luck.
3) Validation of strategy: These reactions often signal you're on the right path.
The ability to maintain your course despite skepticism is a hallmark of successful investors. While specific predictions are risky, maintaining a positive outlook can be beneficial. Keep your enthusiasm tempered with prudence, and let your well-researched decisions guide you through the market's ups and downs.
Remember, the market rewards patience and disciplined execution of a sound strategy. Stay vigilant, adapt as needed, but don't let short-term noise distract you from your long-term goals.
Most importantly, remember to be thankful to those who love you,
BasedOG
With Bitcoin hovering around $55,000 and Ethereum dipping below $3,000, market sentiment is rife with uncertainty. Investors fret about further declines, portfolio losses, and the elusive bull market. People lacking experience or a viable thesis are suffering right now. However, for those who've done their due diligence, this chatter is merely background noise.
These moments of market irrationality present golden opportunities to reinforce your investment thesis and capitalize on undervalued assets. Many claim they would have bought at the bottom, but fail to recognize when we're actually there. Can you sense the palpable fear in the air?
I relish these periods. They're the perfect time to act decisively while others hesitate. As Warren Buffett famously advised, "Be fearful when others are greedy, and greedy when others are fearful."
Remember, calculated risk-taking often goes hand in hand with luck. While past performance doesn't guarantee future results, those who maintain a long-term perspective may find the coming months particularly rewarding.
Stay focused, trust your research, and seize the opportunities that volatility presents. As you navigate this turbulent market, remember:
1) Conviction in the face of doubt: Others may initially label you as deluded for your contrarian stance.
2) Success breeds skepticism: Later, they might attribute your gains to mere luck.
3) Validation of strategy: These reactions often signal you're on the right path.
The ability to maintain your course despite skepticism is a hallmark of successful investors. While specific predictions are risky, maintaining a positive outlook can be beneficial. Keep your enthusiasm tempered with prudence, and let your well-researched decisions guide you through the market's ups and downs.
Remember, the market rewards patience and disciplined execution of a sound strategy. Stay vigilant, adapt as needed, but don't let short-term noise distract you from your long-term goals.
Most importantly, remember to be thankful to those who love you,
BasedOG
❤13💯9
(1/3)
Dear friends,
I apologise for my recent absence. I found myself falling into the trap of short-term crypto trading degeneracy, but have since regained clarity and perspective through time spent in the mountains of Switzerland and Northern Italy.
As the blood of fallen bulls runs thick in the streets, it is now more critical than ever to fortify your mind and sharpen your skills around investing and crypto. Those who rely on the fleeting euphoria of quick trades are akin to mercenaries with no allegiance – they may plunder a village or two, but when the tides of war turn, as they have now, they'll be the first to fall on the battlefield.
Yet, I believe there is reason for optimism. As the saying goes, the bull market doesn't start until you kill the final bull. When sentiment is at its lowest, that's often when the next stage of the bull market is about to begin. I suspect we'll see a major shift in sentiment and momentum as we head towards the end of August and start of September – a new dawn will break as the summer dies.
I'm in the trenches with you, my friends. I've navigated the treacherous waters of the crypto markets and learned some crucial lessons along the way:
1. Unshakeable belief and conviction are your life rafts in the roughest waters. Hold on tight to your vision.
2. Trading is for soy-boys: it lures many, but leads most to ruin. True riches are earned through long-term investing.
3. The bear market of 2022 was a painful but powerful teacher. It stripped away the hype and forced me to grapple with what really matters in crypto investing.
4. My investing bags are packed, and I expect the fruits of my labour to pay off in the coming months as sentiment shifts to be more risk-on, liquidity increases, new users enter the space and my thesis around crypto gaming becomes a reality.
In recent months, I found great success in momentum trading meme coins, making six-figure gains. But as thrilling as those short-term gains were, I realised I was falling into the same trap as so many others – mistaking a few lucky rolls of the dice for a sound long-term strategy. Now, with bearish sentiment and low trading volume, those same gains are impossible to replicate. More importantly, 99% of the coins that brought me success are now essentially worthless, hence the strategy was never to hold them for the long-term.
The truth is, constantly buying and selling is like trying to sprint a marathon. A few might make it to the finish line by chance, but most will collapse from exhaustion long before the race is over. Real wealth is built slowly and steadily, riding the 4-year waves from bear to bull and back again.
Many think getting rich means constantly flipping dozens of coins. But this is a player vs player (PvP) game, also known as trading, where you're banking on others losing. It's an unsustainable mindset that will drain your energy and finances, without building real skills.
Trading is often akin to relying on people's wagers at a slot machine for your income, where the odds are stacked against them. In this scenario, you are extracting value rather than creating it, much like a leech. In contrast, true investing is about generating value, similar to building a restaurant that serves delicious meals to satisfied customers. This approach is more fulfilling, as it stems from an abundance mentality - a mindset that has been proven to be the most effective way to build wealth. The world's top 100 richest individuals are primarily entrepreneurs or investors, both of whom facilitate value creation. None of them are primarily traders.
Dear friends,
I apologise for my recent absence. I found myself falling into the trap of short-term crypto trading degeneracy, but have since regained clarity and perspective through time spent in the mountains of Switzerland and Northern Italy.
As the blood of fallen bulls runs thick in the streets, it is now more critical than ever to fortify your mind and sharpen your skills around investing and crypto. Those who rely on the fleeting euphoria of quick trades are akin to mercenaries with no allegiance – they may plunder a village or two, but when the tides of war turn, as they have now, they'll be the first to fall on the battlefield.
Yet, I believe there is reason for optimism. As the saying goes, the bull market doesn't start until you kill the final bull. When sentiment is at its lowest, that's often when the next stage of the bull market is about to begin. I suspect we'll see a major shift in sentiment and momentum as we head towards the end of August and start of September – a new dawn will break as the summer dies.
I'm in the trenches with you, my friends. I've navigated the treacherous waters of the crypto markets and learned some crucial lessons along the way:
1. Unshakeable belief and conviction are your life rafts in the roughest waters. Hold on tight to your vision.
2. Trading is for soy-boys: it lures many, but leads most to ruin. True riches are earned through long-term investing.
3. The bear market of 2022 was a painful but powerful teacher. It stripped away the hype and forced me to grapple with what really matters in crypto investing.
4. My investing bags are packed, and I expect the fruits of my labour to pay off in the coming months as sentiment shifts to be more risk-on, liquidity increases, new users enter the space and my thesis around crypto gaming becomes a reality.
In recent months, I found great success in momentum trading meme coins, making six-figure gains. But as thrilling as those short-term gains were, I realised I was falling into the same trap as so many others – mistaking a few lucky rolls of the dice for a sound long-term strategy. Now, with bearish sentiment and low trading volume, those same gains are impossible to replicate. More importantly, 99% of the coins that brought me success are now essentially worthless, hence the strategy was never to hold them for the long-term.
The truth is, constantly buying and selling is like trying to sprint a marathon. A few might make it to the finish line by chance, but most will collapse from exhaustion long before the race is over. Real wealth is built slowly and steadily, riding the 4-year waves from bear to bull and back again.
Many think getting rich means constantly flipping dozens of coins. But this is a player vs player (PvP) game, also known as trading, where you're banking on others losing. It's an unsustainable mindset that will drain your energy and finances, without building real skills.
Trading is often akin to relying on people's wagers at a slot machine for your income, where the odds are stacked against them. In this scenario, you are extracting value rather than creating it, much like a leech. In contrast, true investing is about generating value, similar to building a restaurant that serves delicious meals to satisfied customers. This approach is more fulfilling, as it stems from an abundance mentality - a mindset that has been proven to be the most effective way to build wealth. The world's top 100 richest individuals are primarily entrepreneurs or investors, both of whom facilitate value creation. None of them are primarily traders.
👍4
(2/3)
Investing in valuable, productive projects and narratives expands the overall economic pie, benefiting all participants. In contrast, trading is akin to competing over scraps in a cutthroat arena. The former approach creates a warm, welcoming space where people can thrive, while the latter is a cramped, ruthless environment where victories tend to be fleeting. This trading-centric dynamic has been the predominant market environment (PVP) up until this point during the current crypto market cycle.
As we enter the next stage of the bull run, It's time to shift your mindset to think more like an investor rather than a trader. Instead of constantly seeking the next speculative "100x" shit-coin that will pump and dump, and to which you lack any competitive edge causing you to lose again, consider the broader macroeconomic environment and how you can position yourself to win. Key factors include rising global liquidity, continued expansion of the money supply, and increasing mainstream adoption of cryptocurrency. Use this relatively quieter market period to thoroughly research projects and narratives that you believe are well-positioned to thrive in the coming 3-9 months.
Look for industries with real use cases and strong potential for web3 mass adoption like crypto gaming. Or consider meme coins with strong communities, dedicated believers, compelling narratives, and low market caps (some examples of meme coins I am holding throughout the bull run are Normus and Misser - their contract addresses are written in the comments). Meme coins have been the standout performers of this cycle, and for good reason.
People are increasingly wary of high market cap, VC-backed projects with lofty fully diluted valuations. Instead, they're seeking the potential for 100-1000x returns by identifying and capturing promising tokens early, while their market caps are still low. The true power of meme coins lies not in any groundbreaking technology or alleged utility, but in the strength and sentiment of their communities. Like Bitcoin, these are pure speculation vehicles, deriving their value from the collective belief and enthusiasm of their holders.
Understanding the underlying philosophy and drivers behind the success of meme coins as a whole is the key to spotting the winners and anticipating the future narratives that will shape during the bull run (which I believe will include crypto-gaming). But remember, 99% of meme coin projects are rubbish. Most have the lifespan and nutritional value of a sugary candy – they'll rot your teeth and your portfolio.
The key is to apply rigorous investment principles to separate the rare gems from the abundance of fool's gold. Focus on projects with truly dedicated communities, compelling stories, and room for explosive growth. This way, you'll be well-positioned to ride the rising tides while avoiding the many sinkholes in this space.
So my friends, do not be lured by the seductive whispers of quick trading profits. As the legendary investor Warren Buffett warns, "Wall Street's business model is to keep you in the casino, taking croupier chips off the table." Those who dance to that tune are like soldiers who rush headlong into battle without strategy, seeking glory in a single skirmish. They may taste victory briefly, but they risk all for naught.
Take this time of relative calm to lay your foundation. Heed the words of Charlie Munger: "Spend each day trying to be a little wiser than you were when you woke up." Dive deep into research, continuously expand your knowledge, and invest with resolute conviction in projects you believe have the potential to shape the future or capture the attention of the masses; for money follows attention.
I've glimpsed the promised land, my friends. I've savoured the sweet nectar of 100x gains, felt my mind expand and my wealth surge. As my star has risen, so too have the marriage proposals – a tempting prospect, given the allure of taking up to four wives.
Investing in valuable, productive projects and narratives expands the overall economic pie, benefiting all participants. In contrast, trading is akin to competing over scraps in a cutthroat arena. The former approach creates a warm, welcoming space where people can thrive, while the latter is a cramped, ruthless environment where victories tend to be fleeting. This trading-centric dynamic has been the predominant market environment (PVP) up until this point during the current crypto market cycle.
As we enter the next stage of the bull run, It's time to shift your mindset to think more like an investor rather than a trader. Instead of constantly seeking the next speculative "100x" shit-coin that will pump and dump, and to which you lack any competitive edge causing you to lose again, consider the broader macroeconomic environment and how you can position yourself to win. Key factors include rising global liquidity, continued expansion of the money supply, and increasing mainstream adoption of cryptocurrency. Use this relatively quieter market period to thoroughly research projects and narratives that you believe are well-positioned to thrive in the coming 3-9 months.
Look for industries with real use cases and strong potential for web3 mass adoption like crypto gaming. Or consider meme coins with strong communities, dedicated believers, compelling narratives, and low market caps (some examples of meme coins I am holding throughout the bull run are Normus and Misser - their contract addresses are written in the comments). Meme coins have been the standout performers of this cycle, and for good reason.
People are increasingly wary of high market cap, VC-backed projects with lofty fully diluted valuations. Instead, they're seeking the potential for 100-1000x returns by identifying and capturing promising tokens early, while their market caps are still low. The true power of meme coins lies not in any groundbreaking technology or alleged utility, but in the strength and sentiment of their communities. Like Bitcoin, these are pure speculation vehicles, deriving their value from the collective belief and enthusiasm of their holders.
Understanding the underlying philosophy and drivers behind the success of meme coins as a whole is the key to spotting the winners and anticipating the future narratives that will shape during the bull run (which I believe will include crypto-gaming). But remember, 99% of meme coin projects are rubbish. Most have the lifespan and nutritional value of a sugary candy – they'll rot your teeth and your portfolio.
The key is to apply rigorous investment principles to separate the rare gems from the abundance of fool's gold. Focus on projects with truly dedicated communities, compelling stories, and room for explosive growth. This way, you'll be well-positioned to ride the rising tides while avoiding the many sinkholes in this space.
So my friends, do not be lured by the seductive whispers of quick trading profits. As the legendary investor Warren Buffett warns, "Wall Street's business model is to keep you in the casino, taking croupier chips off the table." Those who dance to that tune are like soldiers who rush headlong into battle without strategy, seeking glory in a single skirmish. They may taste victory briefly, but they risk all for naught.
Take this time of relative calm to lay your foundation. Heed the words of Charlie Munger: "Spend each day trying to be a little wiser than you were when you woke up." Dive deep into research, continuously expand your knowledge, and invest with resolute conviction in projects you believe have the potential to shape the future or capture the attention of the masses; for money follows attention.
I've glimpsed the promised land, my friends. I've savoured the sweet nectar of 100x gains, felt my mind expand and my wealth surge. As my star has risen, so too have the marriage proposals – a tempting prospect, given the allure of taking up to four wives.
👍4
(3/3)
But for now, my gaze remains fixed on the ultimate prize: triumphant victory in the coming bull run. For the next 6-12 months, I am singularly focused on this great game, patiently awaiting the fruition of my investing thesis in the realm of crypto gaming but also riding the wave of meme coins.
On this odyssey, I've discovered that the path to true success is not lit by the fleeting flickers of short-term gains, but by the steady flame of unwavering conviction, fuelled by the wisdom of sound knowledge and the occasional spark of blessing and luck.
It is this beacon that shall illuminate your way through the darkest caverns of the bear market, guiding us steadily onwards until at last you emerge, radiant and triumphant, into the resplendent glory of the next 6-12 months.
You would be wise to walk this path, armed with the golden rules of investing. "Patience is bitter, but its fruit is sweet," as Aristotle observed. You must cultivate that patience, married with unshakeable belief in your chosen projects, for as Buffett promises, "In the short run, the market is a voting machine. But in the long run, it is a weighing machine."
The best is yet to come for those with the fire to stay the course.
To your success,
BasedOG
But for now, my gaze remains fixed on the ultimate prize: triumphant victory in the coming bull run. For the next 6-12 months, I am singularly focused on this great game, patiently awaiting the fruition of my investing thesis in the realm of crypto gaming but also riding the wave of meme coins.
On this odyssey, I've discovered that the path to true success is not lit by the fleeting flickers of short-term gains, but by the steady flame of unwavering conviction, fuelled by the wisdom of sound knowledge and the occasional spark of blessing and luck.
It is this beacon that shall illuminate your way through the darkest caverns of the bear market, guiding us steadily onwards until at last you emerge, radiant and triumphant, into the resplendent glory of the next 6-12 months.
You would be wise to walk this path, armed with the golden rules of investing. "Patience is bitter, but its fruit is sweet," as Aristotle observed. You must cultivate that patience, married with unshakeable belief in your chosen projects, for as Buffett promises, "In the short run, the market is a voting machine. But in the long run, it is a weighing machine."
The best is yet to come for those with the fire to stay the course.
To your success,
BasedOG
❤12💯4👍1
Who said investing was easy? That's precisely why 90% will lose in this game.
While the herd panics and flees, the smart investor sees opportunity. These chaotic times are when you double down—even triple down—on your winning positions.
Embrace the chaos; you're living through a real-time case study that will be studied - akin to how we look at the COVID dump of 2020.
In my next post, I'll delve into second-level thinking and how to capitalize on market inefficiencies to win. This is literally the period we are in right now.
Remember: If you're crying over your 'losses', perhaps the market is simply separating the soy-boys from the 4-star generals.
Rest well, friends.
BasedOG
While the herd panics and flees, the smart investor sees opportunity. These chaotic times are when you double down—even triple down—on your winning positions.
Embrace the chaos; you're living through a real-time case study that will be studied - akin to how we look at the COVID dump of 2020.
In my next post, I'll delve into second-level thinking and how to capitalize on market inefficiencies to win. This is literally the period we are in right now.
Remember: If you're crying over your 'losses', perhaps the market is simply separating the soy-boys from the 4-star generals.
Rest well, friends.
BasedOG
💯9😢3🤡3❤1
(1/3)
The Art of Second-Level Thinking in Crypto Investing
Investing is not a one-size-fits-all endeavour; it's an art requiring adaptation, intuition, and superior insight. To excel in this competitive landscape, one must outperform the market, i.e., other investors. This demands either exceptional luck or superior insight. As relying on luck is unwise, the key lies in cultivating a deeper, more nuanced understanding. One must think differently and gain an edge that sets them apart from the crowd. This is where second-level thinking comes into play.
Second-Level Thinking: The Competitive Edge
Second-level thinking is the cornerstone of successful investing, especially in new, volatile markets like crypto. Whilst first-level thinking is simplistic and reactionary, second-level thinking delves deeper, considering multiple factors and potential outcomes.
First-level thinking in crypto might sound like:
• "Bitcoin is rising; let's buy."
• "This youtuber said this coin would do 100x by next week; I’d be a fool not to invest!”
• "This altcoin has good technology; it's a sure winner."
• "The market is red; time to sell everything."
In contrast, second-level thinking in crypto involves:
• Analysing the range of possible outcomes and their probabilities
• Understanding current market sentiment and its effect on prices
• Identifying discrepancies between one's knowledge and the consensus
• Evaluating whether current prices reflect intrinsic value or market inefficiencies
• Considering how different scenarios might impact various crypto assets
To outperform in crypto, one's insights must surpass those of the average investor. This means:
• Recognising patterns or trends others haven't yet identified
• Understanding the underlying technology or narrative (e.g., crypto gaming or meme coin culture) and its potential impact
• Analysing the interplay between different factors in crypto like market cycles, global liquidity and mass adoption
• Being willing to take contrarian positions when analysis supports it (e.g., buying during market fear and selling during euphoria)
Whilst consensus thinking seeks simple formulae and easy answers, second-level thinking recognises that success in investing is anything but simple. To achieve extraordinary performance, one must make correct non-consensus forecasts, which are challenging to formulate and act upon. However, it is through these non-consensus views that one can truly differentiate themselves and their portfolio from the norm.
Crypto: A Playground for Second-Level Thinkers
The crypto space, as a relatively young and often misunderstood asset class, presents a brilliant ground for the application of second-level thinking. Unlike traditional, efficient mature markets such as bonds or foreign currency, where information is widely distributed and fierce institutional competition leads to marginal gains, the inefficiencies in crypto markets offer unique opportunities for the brave souls in this space.
These inefficiencies manifest in several key characteristics:
• Information asymmetry: Uneven distribution of news and developments, rewarding superior information gathering and analysis
• Mispricing: Assets frequently trading far from their intrinsic value, creating opportunities for smart investors
• Emotional volatility: Dramatic sentiment swings driven by fear and greed rather than fundamentals
• Complexity: The technical nature of blockchain creating a barrier to entry for many investors
For second-level thinkers, these inefficiencies are a goldmine. By applying deeper analysis and nuanced understanding, they can uncover opportunities overlooked or misunderstood by the majority.
The Art of Second-Level Thinking in Crypto Investing
Investing is not a one-size-fits-all endeavour; it's an art requiring adaptation, intuition, and superior insight. To excel in this competitive landscape, one must outperform the market, i.e., other investors. This demands either exceptional luck or superior insight. As relying on luck is unwise, the key lies in cultivating a deeper, more nuanced understanding. One must think differently and gain an edge that sets them apart from the crowd. This is where second-level thinking comes into play.
Second-Level Thinking: The Competitive Edge
Second-level thinking is the cornerstone of successful investing, especially in new, volatile markets like crypto. Whilst first-level thinking is simplistic and reactionary, second-level thinking delves deeper, considering multiple factors and potential outcomes.
First-level thinking in crypto might sound like:
• "Bitcoin is rising; let's buy."
• "This youtuber said this coin would do 100x by next week; I’d be a fool not to invest!”
• "This altcoin has good technology; it's a sure winner."
• "The market is red; time to sell everything."
In contrast, second-level thinking in crypto involves:
• Analysing the range of possible outcomes and their probabilities
• Understanding current market sentiment and its effect on prices
• Identifying discrepancies between one's knowledge and the consensus
• Evaluating whether current prices reflect intrinsic value or market inefficiencies
• Considering how different scenarios might impact various crypto assets
To outperform in crypto, one's insights must surpass those of the average investor. This means:
• Recognising patterns or trends others haven't yet identified
• Understanding the underlying technology or narrative (e.g., crypto gaming or meme coin culture) and its potential impact
• Analysing the interplay between different factors in crypto like market cycles, global liquidity and mass adoption
• Being willing to take contrarian positions when analysis supports it (e.g., buying during market fear and selling during euphoria)
Whilst consensus thinking seeks simple formulae and easy answers, second-level thinking recognises that success in investing is anything but simple. To achieve extraordinary performance, one must make correct non-consensus forecasts, which are challenging to formulate and act upon. However, it is through these non-consensus views that one can truly differentiate themselves and their portfolio from the norm.
Crypto: A Playground for Second-Level Thinkers
The crypto space, as a relatively young and often misunderstood asset class, presents a brilliant ground for the application of second-level thinking. Unlike traditional, efficient mature markets such as bonds or foreign currency, where information is widely distributed and fierce institutional competition leads to marginal gains, the inefficiencies in crypto markets offer unique opportunities for the brave souls in this space.
These inefficiencies manifest in several key characteristics:
• Information asymmetry: Uneven distribution of news and developments, rewarding superior information gathering and analysis
• Mispricing: Assets frequently trading far from their intrinsic value, creating opportunities for smart investors
• Emotional volatility: Dramatic sentiment swings driven by fear and greed rather than fundamentals
• Complexity: The technical nature of blockchain creating a barrier to entry for many investors
For second-level thinkers, these inefficiencies are a goldmine. By applying deeper analysis and nuanced understanding, they can uncover opportunities overlooked or misunderstood by the majority.
💯5👍2
(2/3)
However, market inefficiency alone doesn't guarantee success. Effective crypto investing requires:
• Emotional management in the face of volatility
• Readiness to seize opportunities when others hesitate
• Applying correct investment principles like risk management
• Continuous validation and refinement of insights
• Awareness of potential black swan events
• Building conviction through thorough research
• and more!
The recent crypto market downturn illustrates this perfectly. While many soy boys panicked, declaring the bull run over and crypto "dead", smart investors recognised an opportunity. The rapid sentiment shift - from predictions of Bitcoin reaching $200,000 to declarations of its demise within days - exemplifies the market's inefficiencies.
It's in these moments of extreme sentiment and mispricing that real winners emerge. By maintaining composure, leveraging deeper insights, and acting decisively, second-level thinkers can capitalise on the very inefficiencies that cause others to falter. This is where fortunes are made in the crypto space.
Applying Second-Level Thinking to Crypto Investing
To navigate the inefficient crypto market effectively, one can apply second-level thinking through the following strategies:
• Look beyond the hype: Evaluate projects' long-term viability and potential impact, rather than chasing trending coins
• Analyse market sentiment: Identify contrarian opportunities by understanding when the market is overly bearish or bullish
• Understand market dynamics: Develop a comprehensive grasp of market cycles, your position within them, and broader economic factors influencing crypto. Apply risk management strategies like dollar-cost averaging (DCA), understand your margin of safety and cultivate good habits like patience
• Evaluate network effects: Assess developer activity, user adoption, and ecosystem growth to gauge a project's potential for success
• Understand the technology and narrative: Delve into the technical aspects of projects to identify genuine innovation and problem-solving potential
• Think in probabilities: Consider multiple scenarios and their likelihood, adjusting portfolios accordingly instead of making binary predictions
The Window of Opportunity
However, it's important to recognise that the current inefficiencies in crypto, or at least to the magnitudes we have since since it's birth, represent a limited-time opportunity. As the market matures, it will inevitably become more efficient, with information spreading more evenly, professional analysts and institutions entering the space and with more people mastering the game, giving the rise to more smart investors in crypto. This trend is already visible in the diminishing gains of Bitcoin since its inception and the reduced returns of top altcoins during market cycle peaks.
While the potential for outsized returns through second-level thinking may diminish over time, those who master this approach currently hold a significant advantage. Compared to other markets, crypto still offers the highest yields for those willing to invest the necessary intellectual effort.
However, market inefficiency alone doesn't guarantee success. Effective crypto investing requires:
• Emotional management in the face of volatility
• Readiness to seize opportunities when others hesitate
• Applying correct investment principles like risk management
• Continuous validation and refinement of insights
• Awareness of potential black swan events
• Building conviction through thorough research
• and more!
The recent crypto market downturn illustrates this perfectly. While many soy boys panicked, declaring the bull run over and crypto "dead", smart investors recognised an opportunity. The rapid sentiment shift - from predictions of Bitcoin reaching $200,000 to declarations of its demise within days - exemplifies the market's inefficiencies.
It's in these moments of extreme sentiment and mispricing that real winners emerge. By maintaining composure, leveraging deeper insights, and acting decisively, second-level thinkers can capitalise on the very inefficiencies that cause others to falter. This is where fortunes are made in the crypto space.
Applying Second-Level Thinking to Crypto Investing
To navigate the inefficient crypto market effectively, one can apply second-level thinking through the following strategies:
• Look beyond the hype: Evaluate projects' long-term viability and potential impact, rather than chasing trending coins
• Analyse market sentiment: Identify contrarian opportunities by understanding when the market is overly bearish or bullish
• Understand market dynamics: Develop a comprehensive grasp of market cycles, your position within them, and broader economic factors influencing crypto. Apply risk management strategies like dollar-cost averaging (DCA), understand your margin of safety and cultivate good habits like patience
• Evaluate network effects: Assess developer activity, user adoption, and ecosystem growth to gauge a project's potential for success
• Understand the technology and narrative: Delve into the technical aspects of projects to identify genuine innovation and problem-solving potential
• Think in probabilities: Consider multiple scenarios and their likelihood, adjusting portfolios accordingly instead of making binary predictions
The Window of Opportunity
However, it's important to recognise that the current inefficiencies in crypto, or at least to the magnitudes we have since since it's birth, represent a limited-time opportunity. As the market matures, it will inevitably become more efficient, with information spreading more evenly, professional analysts and institutions entering the space and with more people mastering the game, giving the rise to more smart investors in crypto. This trend is already visible in the diminishing gains of Bitcoin since its inception and the reduced returns of top altcoins during market cycle peaks.
While the potential for outsized returns through second-level thinking may diminish over time, those who master this approach currently hold a significant advantage. Compared to other markets, crypto still offers the highest yields for those willing to invest the necessary intellectual effort.
❤6👍3
(3/3)
Conclusion
In crypto, second-level thinking is not just an advantage – it's a necessity for those aiming to outperform the market. The competition is weak, the game can be understood easily and the gains massive when we compare to other markets. By developing a deeper understanding of the technology and narratives, market dynamics, correct investment principles, and potential future scenarios, investors can skilfully navigate the crypto market's inefficiencies to uncover unique opportunities - you can either learn through my posts or become broke and humbled the hard way.
Success in crypto investing isn't merely about being right; it's about being more right than the consensus. It demands the courage to act on one's convictions, especially when they diverge from popular opinion. By honing second-level thinking skills and applying them to the inefficient crypto market, investors position themselves to capitalise on opportunities others might overlook. Of course there are no guarantees you will win, but embodying these skills and principles increases your chances ten-fold.
I know I have introduced various concepts worthy of deeper exploration in due time, it's crucial to remember that even the best strategies can falter when confronted with market realities. As Mike Tyson said, "Everyone has a plan until they get punched in the face." In the volatile world of crypto investing, emotional control often differentiates success from failure. The ability to maintain composure and make rational decisions under pressure is paramount, as unchecked emotions can derail even the most meticulously crafted plans.
My next discussion will delve into this critical aspect of investing psychology, exploring practical techniques for maintaining equilibrium and making sound decisions in this mad but wonderful world of crypto.
Tell your family you love them,
BasedOG
Conclusion
In crypto, second-level thinking is not just an advantage – it's a necessity for those aiming to outperform the market. The competition is weak, the game can be understood easily and the gains massive when we compare to other markets. By developing a deeper understanding of the technology and narratives, market dynamics, correct investment principles, and potential future scenarios, investors can skilfully navigate the crypto market's inefficiencies to uncover unique opportunities - you can either learn through my posts or become broke and humbled the hard way.
Success in crypto investing isn't merely about being right; it's about being more right than the consensus. It demands the courage to act on one's convictions, especially when they diverge from popular opinion. By honing second-level thinking skills and applying them to the inefficient crypto market, investors position themselves to capitalise on opportunities others might overlook. Of course there are no guarantees you will win, but embodying these skills and principles increases your chances ten-fold.
I know I have introduced various concepts worthy of deeper exploration in due time, it's crucial to remember that even the best strategies can falter when confronted with market realities. As Mike Tyson said, "Everyone has a plan until they get punched in the face." In the volatile world of crypto investing, emotional control often differentiates success from failure. The ability to maintain composure and make rational decisions under pressure is paramount, as unchecked emotions can derail even the most meticulously crafted plans.
My next discussion will delve into this critical aspect of investing psychology, exploring practical techniques for maintaining equilibrium and making sound decisions in this mad but wonderful world of crypto.
Tell your family you love them,
BasedOG
👍10❤5💯2
Too many soy boys are crying about the current market conditions, but they're missing the bigger picture. The bull market isn't over; it's just waiting for the weak hands to sell. Many of these young crypto nerds simply don't understand how to win in this game. You need to remember what Albert Einstein said: compound interest is the 8th wonder of the world. In crypto, we can access this power through long-term holding.
Short-term trading might seem exciting, but it misses out on the real gains. Here's how compound interest works in crypto: While you hold, fiat currencies are getting weaker. Central banks print about 7% more money each year - that's 0.58% per month. Crypto is volatile, of course, but it has a long-term upward trajectory. If you let this work in your favor, the whole market starts to follow a logarithmic growth path. That's how you access true wealth creation.
If you only focus on short-term trading, you're missing out on this powerful effect. You never know when whale money will enter the market, causing significant price jumps. By holding long-term i.e. playing the market cycle, you give yourself the power to withstand the pain of red days markets and black swan events, assuming you've invested in quality assets.
Remember, money is debasing over time, we can clearly see this as the global liquidity index continues to rise, causing more of an impact to inflation than other elements; but it takes years for this effect to kick into overdrive. It isn't linear; it's volatile. When governments print money, they're not doing it for the sake of it. They're trying to cover demand gaps in the economy. Even during the COVID crisis, we had an 18% GDP gap, so they printed 30% - an excess of 12%. It's better to be safe than sorry in their view.
In the short term, there might be a small GDP gap of 0.2%, but they never get it exactly right. It's impossible to get it perfect. People don't spend newly printed money right away; they tend to hoard it before they deploy it. The economic cycles move along over time, affecting different subsets of people, with insiders holding onto their assets. This is known as the Cantillon effect.
However, when you understand market cycles, you'll see that when institutional money enters crypto, it often happens all at once, leading to "risk-on" periods and huge god-like candles. We're long overdue for a crypto pump, but now you can see how this ultimately works in your favor if you're patient.
We live our lives day-to-day, but when you look at long-term charts, you'll see that the crypto market is trending upwards, global liquidity is increasing, and the value of fiat currencies like the USD is declining. Meanwhile, my diamond balls are getting shinier by the day, and if you are reading this, I’m assuming yours will do.
As long as you've done your homework on what you're holding, you must have the courage to hold and believe. The aim of the game is to have unwavering belief in the long-term potential of crypto. Stay strong, hold on, and watch your investments grow over time.
Call your parents and say you love them,
BasedOG
Short-term trading might seem exciting, but it misses out on the real gains. Here's how compound interest works in crypto: While you hold, fiat currencies are getting weaker. Central banks print about 7% more money each year - that's 0.58% per month. Crypto is volatile, of course, but it has a long-term upward trajectory. If you let this work in your favor, the whole market starts to follow a logarithmic growth path. That's how you access true wealth creation.
If you only focus on short-term trading, you're missing out on this powerful effect. You never know when whale money will enter the market, causing significant price jumps. By holding long-term i.e. playing the market cycle, you give yourself the power to withstand the pain of red days markets and black swan events, assuming you've invested in quality assets.
Remember, money is debasing over time, we can clearly see this as the global liquidity index continues to rise, causing more of an impact to inflation than other elements; but it takes years for this effect to kick into overdrive. It isn't linear; it's volatile. When governments print money, they're not doing it for the sake of it. They're trying to cover demand gaps in the economy. Even during the COVID crisis, we had an 18% GDP gap, so they printed 30% - an excess of 12%. It's better to be safe than sorry in their view.
In the short term, there might be a small GDP gap of 0.2%, but they never get it exactly right. It's impossible to get it perfect. People don't spend newly printed money right away; they tend to hoard it before they deploy it. The economic cycles move along over time, affecting different subsets of people, with insiders holding onto their assets. This is known as the Cantillon effect.
However, when you understand market cycles, you'll see that when institutional money enters crypto, it often happens all at once, leading to "risk-on" periods and huge god-like candles. We're long overdue for a crypto pump, but now you can see how this ultimately works in your favor if you're patient.
We live our lives day-to-day, but when you look at long-term charts, you'll see that the crypto market is trending upwards, global liquidity is increasing, and the value of fiat currencies like the USD is declining. Meanwhile, my diamond balls are getting shinier by the day, and if you are reading this, I’m assuming yours will do.
As long as you've done your homework on what you're holding, you must have the courage to hold and believe. The aim of the game is to have unwavering belief in the long-term potential of crypto. Stay strong, hold on, and watch your investments grow over time.
Call your parents and say you love them,
BasedOG
❤3💯3🔥2🌭1
True wealth goes beyond mere financial gain.
The worst form of poverty is not just a lack of money, but a lack of moral principles and integrity. Just as a life driven solely by base desires lacks purpose, investing without sound, timeless principles around market cycles, value, risk management, human emotions and narratives will keep you broke.
Your principles are the bedrock upon which genuine wealth is built – not just in finance, but across all realms of life.
These principles foster true self-sufficiency, enabling you to navigate both markets and life's challenges with steadfast resolve. Rather than being swayed by external fluctuations or emotional impulses, you respond based on your core tenets, recognizing and seizing opportunities as they arise. This principle-driven self-sufficiency – the ability to think independently and act with conviction – is the essence of true wealth.
It grants you the freedom to chart your own course, whether in investing or your life decisions, unshackled from the capricious winds of public opinion or market sentiment.
Don't forget to say good morning to your boss,
BasedOG
The worst form of poverty is not just a lack of money, but a lack of moral principles and integrity. Just as a life driven solely by base desires lacks purpose, investing without sound, timeless principles around market cycles, value, risk management, human emotions and narratives will keep you broke.
Your principles are the bedrock upon which genuine wealth is built – not just in finance, but across all realms of life.
These principles foster true self-sufficiency, enabling you to navigate both markets and life's challenges with steadfast resolve. Rather than being swayed by external fluctuations or emotional impulses, you respond based on your core tenets, recognizing and seizing opportunities as they arise. This principle-driven self-sufficiency – the ability to think independently and act with conviction – is the essence of true wealth.
It grants you the freedom to chart your own course, whether in investing or your life decisions, unshackled from the capricious winds of public opinion or market sentiment.
Don't forget to say good morning to your boss,
BasedOG
❤9🔥4👀3💯1