Original source: Miles Deutscher Zeneca
Compiled by: Odaily Planet Daily ( @OdailyChina )
Translator: Wenser ( @wenser 2010 )
Editors note: With the gradual weakening of the Trump effect and the gradual spread of the collateral effects of the worlds economic and political situation, mainstream cryptocurrencies including BTC have recently experienced a sharp decline. There is no shortage of voices in the market that the bull market is over and the bear market has arrived. The Meme coin market and the AI Agent concept token project, which have gradually lost their momentum recently, have once again awakened peoples fear of the bear market. The more we are in this moment, the more important confidence is. In view of this, Odaily Planet Daily will combine the experience posts of A 8-level bosses in the two major English areas to sort out the many lessons learned from the table for readers reference. I hope that when spring comes, every crypto industry practitioner will be able to see the moon after the clouds clear.
NFT whale, A8 big V Zeneca: Selling is always profitable, just take a screenshot and sell
I made eight figures in the last cycle. Here are a few things I learned:
1. Selling flights to earn money
It is usually better to sell early, even if you miss out on gains, than to hold on to your position for too long and go back and forth.
Thats because, eventually, almost everything will tend to zero.
So, even if you sell early and miss out on some profits, in the next few months or years, look back on this decision and you will be a genius!
2. Take screenshots and sell
If you take a profit screenshot of how much money you made, choose to sell it at that time.
Of course, you dont have to sell your entire position, but usually its a good time to reduce your position by at least 20-50%.
3. Ignore the noise
Most people have no idea what they are saying on Platform X and cryptocurrency related applications.
It is often the loudest, most confident voices that are the least knowledgeable; it is the quietest and most self-reflective voices that are the wisest.
4. Confidence cannot be borrowed
Obviously, you cant borrow buying confidence from others.
If you buy something because someone else bought it or told you it might take off, you will almost certainly get cut.
These people then put the blame on you, while you anxiously await their next tweet or YouTube video telling you what to do next.
5. Don’t care about what others think
Stop trying to impress people.
This is just general life advice, but it’s especially applicable in the world of cryptocurrency.
Its one thing to want to impress your friends and family, to get them to like you and pay attention to you.
Want to impress strangers online and get noticed? Dont be silly.
6. Bitcoin is the only true god
First there was Bitcoin, then there was everything else.
It took me a long time to really realize this.
Yes, altcoins occasionally outperform Bitcoin — sometimes for long periods of time — but basically, everything flows to Bitcoin over the long run.
Most people try to outperform Bitcoin by trading these altcoins; probably less than 5% actually achieve that.
Its like trying to outperform an SP 500 index fund. For most people, the best way to invest is to buy index funds directly.
7. Don’t be blinded by FOMO
The cryptocurrency industry has a way of twisting your mind in a way that is almost psychotic.
In the last cycle, many of us refused to sell a picture of a set of words (i.e., an NFT) for $50,000 because we thought “it’s undervalued.” So did many other smart people, including you.
The herd mentality is real, and it takes a lot of courage to go against the trend here, and you should try to do it.
8. Get in touch with the real world and don’t lose your sense of money
From this point on, try to broaden your horizons and spend some time with people outside the cryptocurrency industry.
1 SOL or 0.08 ETH might not seem like a lot of money (unit bias does exist), but think about how much money you can accumulate per day or year, and think about what you can do in real life with that money.
Furthermore, most people would be very excited about a 10% return on their investment in one year, and rightfully so.
In reality, this number is a good rate of return, but cryptocurrencies distort everything about return on investment.
9. Pay attention to the compound interest effect and seize the opportunities of certainty
The compound interest effect is incredibly powerful.
In fact, you don’t need to find a 100-fold growth. Usually, several 2-fold growths in a row are good enough. Even achieving compound interest growth at a rate of 10-50% per year is not easy (do the math, have you ever thought about how crazy high percentage compound interest will be after many years?) (Odaily Planet Daily Note: This means explosive growth similar to exponential growth).
Another way to put it is: “Most people overestimate what they can accomplish in a year and underestimate what they can accomplish in ten years.”
Miles, a crypto researcher who lost an A7 and made it back: Stop profit and stop loss in time, respect every penny
Here are 10 hard lessons I learned after paying millions of dollars in tuition.
There is no doubt that every cycle in cryptocurrency will push you to get better at emotion management.
2021 was a disaster year for me. I had a seven-figure fortune and lost almost everything.
In this cycle, my investment performance has become better. Although the drawdown is still beyond my expectations, I have retained most of the investment income. There is no way, in the field of cryptocurrency, you can never stop learning.
1. It’s better to sell early than late
I have never regretted selling a coin at a loss, but I always regret not selling it in time to lock in profits.
Rather than selling too late and getting little in the end, it is better to take profits gradually.
2. Take profit when it’s time to do so
There have been many times when I chose to convert my profits into stablecoins, only to be caught in the vortex of chasing the next investment game.
However, when I convert it to fiat currency or other real world investments, the money may not be able to move temporarily (e.g. for security reasons).
I think it also depends on each persons personality.
I have ADHD, so the more I can introduce to prevent impulsive decision making and allow myself to think, the better it will be for me.
3. Complacency kills
There was a time when I fooled myself into thinking I was making money, but in reality I was making too little.
Yeah, I took another $100,000 off the table today - Look at me, Mom! Im making money!
In fact, I still hold millions of altcoins with only paper gains.
I always find myself looking at the portfolio value as a comfort level rather than the actual stablecoin weighting of that portfolio - which is a more important metric in terms of preserving wealth.
Without a doubt, the biggest killer in the crypto space is complacency.
Ignoring warning signs = complacency;
Not making a profit = complacency;
Slow to respond to new information = complacency;
Poor planning = complacency;
99% of mistakes in the market can be attributed to some form of complacency.
4. Respect every penny
I read this tweet the other day and was deeply touched. (Note from Odaily Planet Daily: Overseas big V Loopify previously posted that people really don’t understand how valuable it is to have a $1 million cash reserve. Even with a successful career, it still takes a long time to earn it. If you become a top figure in your field and earn $400,000 a year, it may take 5 years to accumulate; if you can earn $200,000 a year, it will take about 10 years to do it).
For those of us in the cryptocurrency industry, sometimes we completely lose sight of the value for money.
For example, I made $1.7 million on a trade last December and now I wish I had half as much as I did back then.
At that time, I felt that money was not important because people are easily affected by this state of excitement.
Always stay sober (even in crazy moments) and cherish every penny, because one day you will value such money more.
5. Compound interest accumulates slowly
Most mistakes in the markets fundamentally stem from the pursuit of quick (and “easy”) rewards.
But long-term accumulated wealth actually comes from compound returns that continue to be earned over time.
You should treat each trade as a gamble where the goal is to increase your overall stack (just like in poker).
6. Don’t be fooled by price or profit targets
The market doesnt care about your arbitrary target price, whether its a specific dollar value or a multiple. Chasing a target is a sure win.
If at some point you do reach your target price, sell it. Dont get greedy and dont change your profit target.
At the very least, use fewer chips to pursue new target prices and protect your trading principles.
7. Set stop loss indicator
I made a lot of progress in this area towards the end of last year. But there were still periods (particularly in March 2024) where I was still not doing well, and more effective stops could have saved a lot of pain. It could be as simple as setting a predetermined HTF (high time frame, i.e. the time frame with longer trading time) support level/moving average and reducing the position when the structure breaks; it could also be more advanced, such as identifying LTF (low time frame, i.e. the time frame with shorter trading time) losing momentum and adding back into the position as the market rises.
This usually works well in a trending market, but at least have some form of stop loss indicator in place rather than waiting for your position to go to zero.
8. Don’t borrow confidence from others
Every time I’ve bought crypto based on someone else’s opinion (rather than my own judgement), it’s been disappointing.
Consult other people’s ideas – but verify them independently and form your own opinions and beliefs.
Otherwise, you’ll end up holding coins that you have no real conviction about or no idea what to do when that conviction is tested.
9. Don’t hold any altcoins for long
Altcoin “investing” is a bit of a mystery.
Your default mindset should be that every time you buy, you are trading altcoins against the U.S. dollar. (Note from Odaily Planet Daily: Always pay attention to the exchange rate changes between altcoins and the U.S. dollar to determine their possible price trends.)
I like this way of thinking because it formalizes the need to have a clear take profit/stop loss plan. A lot of people can be lazy in this regard.
“Investing” is not an excuse for poor risk management. Today a trade can take 3 days, 3 weeks, 3 months, 6 months, and in some cases even 12 months.
But please note that this is just trading, your ultimate goal is to accumulate more BTC or other capital.
10. Don’t use leverage for the sake of taking risks
I have only had 2 sleepless nights this cycle, and both of those times happened when I was trading a lot of leveraged contracts.
Use leverage only to manage risk (such as hedging), not to take on more risk.
If you want to hold for a long time, spot is relatively more suitable.
