Nothing works all the time
I was reading some social media posts about the equity market. People were complaining that they are losing almost everything because nothing is working for them, no strategy is getting applied to the current market, or the market is not behaving as it should be. That is correct, the market does not act as per our sentiments. There are like 1000s of people who think about the market condition, but only a few of them succeeds in knowing about the market.
PC: Pixabay.com
And that is true, No strategy, no theme, no factor will work all the time across any asset class be it Crypto, Equity, Real Estate or Gold. Sometimes there will be growth, sometimes you have to put in extra to just accumulate more. Sometimes active Mutual Funds will be on top and sometimes passive is the way to go forward.
So what should we as an investor do in this scenario? Simple just stick to the basics, i.e. continue investment and try to accumulate good stocks and coins and d not think about the market conditions. If you are getting stressed, get away from the market for a while because Health is Wealth too.
You might be thinking that your portfolio is the worst and then everyone out there is making money except you. That is absolutely wrong, we can try to handle the worst possible outcome from the past but that is not a guarantee, but what is the guarantee is that we should invest as per our risk appetite. If we are conservative it does not make sense to invest everything in equity then if the market drops, a considerable amount of your portfolio is gone.
So no strategy works for the returns but there are strategies which always work to limit the risk you are exposing yourself in the market. Like Hive is now $0.50 and HBD is $1. If you have a portfolio with 70% Hive and 30% HBD then even if the Hive or market goes 50% down you have that 30% Stable Income coins which generate 20% interest for you in the worst market condition. So yes something works if you play the game nicely. We all expect our favourite stocks and coins to give us 10X returns but it can fall 10X too, just that we should be prepared for that loss.
And also we should not forget that there are multiple solutions to the same problem and we should not hop from one solution to another. If we have chosen our solution and if doesn't work out it does not mean it is not the right solution, it is just that we have not implemented it in the right way.
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https://twitter.com/codingdefined/status/1528223792853839872
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Reblog it. 😉
#HBIT
Thanks :)
I agree, would be the smart strategy to split between HBD/HIVE - although, I've done something a bit riskier, been using all my HBD to buy HIVE - figuring, if it grows back to its $1 price in the next 12 months, it will be a very good investment punt to have made. Just need it to double.... ;)
Actually, it totally depends on the how you want to handle your portfolio, and its actually good to be different because that will make your portfolio stand out.
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I think you are right, we should look at things calmly and objectively and realize that not only things are going badly for us in the cryptocurrency market, but that the entire cryptocurrency market is falling (and everyone results affected for it) and the best we can do, on that sense, is remain calm and act as intelligently as we can.
And I also agree with what you mentioned that health is also wealth. Excellent publication of yours. Greetings.
Thanks for reading. Yes the market is falling and thus we now have to pause and think about our startegy.
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Risk appetite is different for everyone and being aware of it is super important.
Me personally limit society or family influencing my own risk appetite. Start taking small risks to build up my confidence and create a healthy network of people who embrace taking risks to solve the problems of our fellow human beings.
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Hey thanks for reading, its been quite some time since I last saw you. Is everything ok in Sri Lanka?
Golden Words
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Happy to be connected with you again.
I moved back to London a couple of months ago and crypto will be the solution for politically corrupt countries like Sri Lanka.
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People almost always expect too much too soon and are not mentally prepared for periods of poor performance. If you have educated yourself, identified a strategy that works more often than not and which fits with your personality, then over the long term you should do just fine.
That's absolutely true, it is just that we have to find out that strategy and everything should be smooth hopefully.
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