12 LESSONS FOR BITCOIN BEGINNERS DURING THE CRASH🤕

in bitcoinsmeetup •  7 years ago 

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This past couple of weeks are definitely one for the books, the series of unfortunate events for Bitcoin came all crashing down one on top of the other.

  • the 200,000 Bulgarian Bitcoins that got sold to pay off 1/5th Bulgaria’s National Debt,
  • Investors shifting from Bitcoins to altcoins
  • BCash was accused of insider trading
  • A Korean exchange filed for bankruptcy after getting hacked
  • Litecoin founder Charlie Lee sold all his LTC holdings
  • Investors cashing out for Christmas
  • Holiday season trading slump

It was like the accumulation of jabs and right hook to slow bitcoin down and before Bitcoin can come to its senses there was thIS final haymaker by Charlie Lee to the entire crypto world that he is cashing out that knocked-out bitcoin back all the way to the 11,000 USD level.

So where are we now?
What’g going to happen next?
What should you do?

Disclaimer:
This is for educational and reading purposes only and should not be taken as an invesment advice. This is not a financial advice and I am no financial advisor. Consult your own financial advisor or do your own due diligence before making any forms of Bitcoin or cypto investment

First of all, wherever we are now should be the least of your concern at this point.

IT IS WHAT IT IS RIGHT NOW!

What’s really important now is taking the time to step back to reassess your position, learn from your mistakes and be smarter and wiser in the next round.

Let me share to you some personal lessons and philosophies I have learned through my years of investing with Bitcoins and the stock market and how I’ve been trying to master some of them until this time.

Lesson #1
WITHOUT KNOWLEDGE THERE’S NO CONVICTION
Those who sold off easily and got off the Bitcoin train are the people who did not research about the technology and its fundamental use cases. They simply bought out of hype and eventually sold quickly after taking a loss. If they only knew how fundamentally profound Bitcoin and blockchain is for humanity they would believe the technology more than the dips and crashes.

Lesson #2
ALWAYS BE READY, ANYTHING CAN HAPPEN
Those who did not prepare and equip themselves on how to convert temporarily to USDT through exchanges were the ones who were not able to stop their losses and capitalize on the dips to get more Bitcoins.

Lesson #3
STOP CHASING TAILS
Those who were not constantly reading news feeds about Bitcoin were late in reacting to the downtrend and when they eventually decided to try trading it on online exchanges they lost more Bitcoins by reacting late during the last dip and late again when converting back to Bitcoins during the recovery.

Lesson #4
MANAGE YOUR EMOTIONS
One thing that I really appreciate in all my years of investing in the stock market is that I learned to manage my emotions every time there are dips and crashes. Investing is no different with being an entrepreneur, for every problem and crisis there’s always an equal amount of opportunity that is available. When you are emotional, you only see the problem and not the gem of opportunity behind the crisis.

Lesson #5
NEVER INVOLVE PEOPLE THAT YOU CANNOT MANAGE
I have a simple philosophy in life, family and friends are more important than money. I learned this the hard way, no matter how much you briefed them of the possibility of losses you still can’t help but take ownership on some of the losses if your business plan goes south. You don’t want to be in a situation of paying back your family and friends just for you to save your face and your relationship.

Lesson #6
DON’T BE TOO GREEDY
This is a constant advice we tell each other in our team. Whether its trying to speculate for bigger gains short-term or trying to take advantage of dips, whenever we feel some of our team mates are taking it too far we just constantly remind each “DON’T BE TOO GREEDY”. Just take manageable and conservative gains every single time, the Bitcoin game is not a sprint, it’s a long-distance marathon that requires pacing and management of risk and resources.

Lesson #7
DON’T INVEST SOMETHING YOU NEED FOR THE SHORT-TERM
You should only invest money that you have no plan of using for more than a year or much better you have no plan of using at all. If you invest something that you need for the short-term then you don’t have the advantage of being patient, calm and relax during dips and crashes.

Lesson #8
INVEST ONLY AN AMOUNT YOU CAN AFFORD TO LOSE
This is a very common saying in investing but a lot of us tend to forget because of failure to follow Lesson #6 (don’t be too greedy). Every time you put money in Bitcoin, always have the mindset of buying something and you lost it already. Learn to detach yourself with the money you’ve invested because detachment is one of the secrets of just holding it steady during market crashes.

Lesson #9
BUY AND HOLD
I truly believe the person that wouldn’t lose a single Bitcoin after 10 years are the ones that just kept and hold their Bitcoins inside their wallets with private-keys safely stored for the long-term. Think about it, there are a lot of ways you can lose your Bitcoins.

  • You lost it by making bad trades
  • You lost it by constantly transferring from one wallet to another and making an error
  • You lost it because the exchange you are using have been hacked
  • You lost it because you sold it early out of fear
  • You lost it because you sold it for a quick small profit

Fast forward into the future, the Bitcoin you started with may have been long gone because instead of just being detached and calm you can’t help yourself in playing around with Bitcoins just to manage your anxiety or worse you are trying so hard to manage other people’s fear and anxiety so you keep trading Bitcoins back and forth to Pesos.

Lesson #10
BE READY TO LOSE 50% IF YOU WANT TO GAIN 1000%
Even though I started early with Bitcoins I am still not safe with recent Bitcoin dips because I still constantly invest every time I have spare money every month. The mindset I always have whenever I invest is that I am prepared to lose 50% right away because no one really knows how the market will turn out every single time. But you know, losing 50% is a small price to pay for the 1000% gains that we are all hoping for the future.

Lesson #11
BE BETTER FOR THE NEXT BATTLE
Choosing to ride the Bitcoin train is also choosing a life that is far from being peaceful and normal. Being in Bitcoin is like being at war constantly 24/7, you have to keep improving your investing and decision skills for every major loss and come out better and stronger every single time.

Lesson #12
ALL THE GOOD COMES WITH THE BAD
Don’t be naïve,

  • Do you actually believe that all the easy money that we are making with Bitcoins will continue to come forever?

  • Do you actually believe that getting your Millions with Bitcoins is just one straight line from where you started to where you will cash out?

  • Do you actually believe that getting in the end and being successful with Bitcoins will be simple and easy with no tough stories to tell?

  • Do you actually believe that the fast uptrends doesn’t have fast downtrends as well?
    Put everything in perspective! Don’t be naïve, all the good things comes with the bad and you should always be prepared for it.

Final thoughts,
The Bitcoin game should not be just about the pursuit of money. You should approach the game with a learning attitude first and making money as second. Investing is a game of self-discovery and self-mastery and even the master investors and traders who have been doing it all their lives are still students of this craft.

  • Learn to master your emotions in investing
  • Develop your personal financial philosophies
  • Find mentors online and offline
  • Keep practicing your investment skills and strategies
  • Be hungry for more knowledge
  • Learn from your mistakes and experiences
  • Stop panicking, there is more to life than money

You know the recent crash is actually very healthy for Bitcoins. Why? Because the bottom of the dip just showed at what price real HODLERs and long-term investors would believe to stand behind Bitcoins.

We started at 800 USD/ BTC at the start of 2017 and ended up at an all-time high of 19,000 USD/BTC before the end of the year and now after realizing the bottom of this recent crash it is good to know that Bitcoin has a fundamental value that people would stand behind at 11,000 USD level.

The 11,000 USD is a good sign for Bitcoin and the rest of the world because if we have 11,000 USD as a solid and battle-tested foundation for the start of the year then definitely bigger and more exponential growth awaits us for the rest of the year!

Before you make any form of investment or When you buy Bitcoins there are three things you should be careful about

  1. Be careful of scammers
  2. Buy Real Bitcoins only
  3. Buy through meetups
  4. Secure your bitcoins in real wallets with private keys

We cover all topics on our website:

  1. How to safely buy Real Bitcoins
  2. How to get Real Wallet for Bitcoins with Private Keys
  3. How to safely store bitcoins for the long-term
  4. How to sell for profit in the future

Disclaimer:
This is for educational and reading purposes only and should not be taken as an invesment advice. This is not a financial advice and I am no financial advisor. Consult your own financial advisor or do your own due diligence before making any forms of Bitcoin or cypto investment

If you feel this post is helpful please upvote this post and follow us for more helpful tips on how to get started with Bitcoins.
If you would like to check a unique Bitcoins service in the Philippines that offers a solid competitive rate and can guarantee you 100% safety and security on your transaction visit our website www.bitcoinsmeetup.com

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Coins mentioned in post:

CoinPrice (USD)📉 24h📉 7d
BTCBitcoin9798.190$-6.91%-10.22%
CANCanYaCoin0.677$-3.18%5.15%
LTCLitecoin207.513$-4.43%-8.04%
USDTTether1.001$-0.06%-0.35%