Crypto researcher Aylo shared some insights he gained from discussing cryptocurrency investments with friends on X today.
Aylo mentioned that one of his friends had previously amassed a significant fortune in cryptocurrencies but lost it during the last bear market. Now, this friend has once again regained enough funds to change his life through this current bull market. However, he must learn from his past mistakes and make different choices. Here are some of Aylo’s realizations during their discussions:
I don’t know how long this bull market will last. I estimate that we are currently in the 60-70% phase of the bull market.
However, it is an undeniable fact that no one can predict the future. We should humbly acknowledge that there are too many variables and unknowns in the future. But if you are someone who currently holds a significant amount of cryptocurrencies and can achieve a life-changing amount by cashing out or rebalancing your assets into low-risk ones, then you may be in a position where you will only experience net losses.
Let me explain further.
Once you have enough money to eliminate all or most of your worries, more money generally has little impact on your overall happiness.
If you are extremely materialistic, you may have a different perspective. But for most people, more wealth is just more wealth and does not have a multiplier effect on their goals, well-being, or happiness.
Therefore, if you find yourself having enough money to change your life, I would consider holding a significant amount of cryptocurrencies to only result in losses for you. Additional gains will have little impact on your overall well-being or happiness.
Once you are financially free, you can always come back and enjoy speculation. Ensuring a form of financial freedom is the biggest upgrade you can make in your life, preparing you for infinite possibilities in the future.
Greed and arrogance are the only factors that prevent people from taking their winnings and walking away from the market.
There is also a recurring belief that “this is the last chance, there will never be another opportunity for excess returns in the future.” This irrational fear and logic also drive people to continue holding when they already have “unrealized gains” that can change their lives. Most people cannot overcome the imagination of missing out on future profits, which is why we see most participants in cryptocurrencies consistently losing funds that could have changed their lives.
In the cryptocurrency community, telling people to “sell early” is an acceptable and correct decision, even if it is an unpopular topic. I have great respect for anyone who can stick to their plan, remain unaffected by external influences, and let go of what most people believe will definitely bring returns in the near future.
Just a casual conversation, perhaps these thoughts could be helpful to you now or in the future.
