Cryptocurrency and The Reverse Psychology strategy

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CRYPTOCURRENCY AND REVERSE PSYCHOLOGY

Some people were unimpressed by Bitcoin's rise to $30,000 while others rejoiced at the news. That is, only moderately convinced; not overly excited. Despite the fact that it has helped them feel less "doom," it is not yet sufficient to make them feel "green."

People have learned the hard way that it's best not to get too excited about a positive sign in case the government pulls another shady stunt and sends the market reeling in fear, uncertainty, and doubt. The US senate has been going back and forth on whether to ban something or to regulate it.

The Senate, I believe, realises that taking the easy way out could end up costing them dearly.
Since there is no surefire way to prevent crypto's subsequent rise, why not take advantage of the market's uncertainty to fabricate yet another massive scandal? There has not been a steady upward trend as of late; any green is quickly followed by a red.

Although Bitcoin's surge from $30,000 to $38,000 demonstrated momentum, the price has since retraced slightly. What I mean to say is that we shouldn't be happy about small victories because we always know that more bad news is just around the corner.

I've noticed that many cryptocurrency traders employ reverse psychology strategies in response to current market conditions.

Many people publicly express their expectations for the future based on their experiences and observations, while secretly hoping for a different outcome.

Many early proponents of Bitcoin at $10,000 were clearly over their heads. But it was a strategy to keep their spirits up. They were unaware that any attempt at reverse psychology in crypto would only serve to spread fear, uncertainty, and doubt (FUD). especially by openly sharing their convictions with the world.

In a bear market, the best course of action is to prepare for the worst but hope for the best; however, we are currently experiencing more than just a bear market in crypto.

The SEC and the United States are trying to stop us in our tracks so they can pull the rug out from under us. Some people, it seems, can't help but imagine the worst and make preparations accordingly, all the while holding out hope that things won't turn out quite as bad.

Although this may come off as weak or crude, it has proven effective on numerous occasions. An unhealthy attitude in crypto is one that is either overly positive or negative. It's risky to lean even slightly in any direction, but the second is especially so.

Over-cynicism can lead to a case of FUD.

Under duress, withdraw all funds, sell at a loss, and invest in something safe. Finding a happy medium is ideal. Making up contradictory ideas across the board. Everyone has their own method of dealing with stress, but when times are tough, most of us opt to lay the groundwork for the worst-case scenario.

That's a good development. The effect of reverse psychology is always welcome, but we all know that it wouldn't be as bad as we think.

For instance, many people predicted that Bitcoin's price would rise to $8,000 or $10,000; these individuals are probably relieved to have been wrong. When it comes to SEC matters, many people have already prepared for the worst, as they do not believe the agency will take a lenient stance.

The Biden administration is notoriously anti-crypto, so we should brace for the worst and plan accordingly, all the while keeping our fingers crossed that they'll finally put an end to the witch hunts. Nonetheless, most of us are still constantly grinding, despite our negative attitude towards cryptocurrency.

How come?

The reason is that we all know better times are ahead, but we have a hard time admitting it aloud. It's because no one wants to ruin it by speaking ill of it. Since no one can put a firm date on these "better days," people are forced to build their bags in secret while pretending to do something else.

Some people at the SEC, for instance, are known to be crypto holders despite the agency's best efforts to undermine the credibility of cryptocurrencies through a relentless campaign of fear, uncertainty, and doubt (FUD).

Even if they believe in a different cause, they still can't back it financially. Using psychology backwards. We may be critical of a financial venture, perhaps because it has fallen short of our expectations, but that doesn't mean we'll never invest in it again.

Final Thoughts

One company can raise its profile in the marketplace by disparaging a rival's product, not because the target company produces inferior goods, but because its rival is afraid of losing market share to it.

The United States' primary goal is to discredit crypto. Their traditional financial system is much worse, but they keep trying to package it while taking a jab at crypto and de-packaging it at the same time. Without speaking a word, nearly everyone is contributing to the construction. All of this is an exercise in the use of psychological tricks on oneself.