This is the future of crypto in 1 chart

If you believe in the future of a market or a sector or a particular stock or instrument, you should be happy when the price falls sharply, but when it rises a lot you should start feeling a little sad. This is of course the opposite of how most people feel. Investors are usually happy when the price explodes upwards, not when it collapses.

Maybe you have to be a little weird to be happy to buy at the bottom and happy to sell at the top, because while it’s a great way to make money, it’s just the opposite way around how the market moves. People must be most concerned with selling at the bottom and most concerned with buying at the top, otherwise the market would not be in these states in the first place. The peak is when everyone has bought and is collectively cheering for a stock or crypto. Unfortunately for them, everyone has bought who can, and the only way is down. The opposite is true at the bottom, where no one wants to buy a stock or crypto even if it is extremely cheap compared to its valuation even days in the past.

Of course, things that crash can break and cease to exist, and buying these “opportunities” will not make you rich, and stocks and cryptos that moon and moon over and over again can give you a good profit, but lack the big win because you came out too early. But if you can buy low and not sell low, you will do very well, so finding a low is one of the key tricks. That’s no mean feat, but my favorite way is to never be in a rush to buy a bottom. Whatever created a crater for a stock, let it pass. Better late to the recovery than trying to guess the bottom or try to anticipate a low. Here is a simple map:

Sometimes a market won’t make the “W”, but usually it will.

However, that’s not the chart you need to see, it’s this:

Crypto is in the same place as AmazonAMZN
was in the dotcom boom/crash. Many of the big names of the period simply went out of business. Just as so many tokens have mooned and collapsed and now big names on the institutional side as Celsius have flourished and died, the dotcom had a huge parade of “all-to-zero” stories. This is where we are with crypto right now, and it’s probably not over yet. The key to the future of crypto is winning the players down to who will be Amazon or AppleAAPL
of crypto, or for that matter Google or Facebook that came later.

It’s hard to guess right now because we haven’t gotten to the other side of this crash and we won’t until the crypto market loses its volatility. Only then will the coast be clear and the process of discovering the long term giants will be the game to play.

Survivors who have withstood the crucible of this crash are likely to be the titans of the next few decades, and it will be a long and incredibly profitable ride if you can put your finger on the definitive winners of this new cutting-edge financial category.

The time to accumulate will be here soon enough, and luckily there won’t be any intense rush to jump on the rocket before it takes off.