What to do with sudden large gains
Especially in this meme-frenzy, some people have sudden very lage gains and find it ´disorienting and overwhelming´ as someone mentioned in a dm to me.
1: take the gain. if it is still invested, it is no real gain yet. put it in usd on bank, usdt, or part in btc, then gains are realised imo
2: let ´the win´ sink in. do not start spending it immediately. you achieved something suddenly which not happens to many, and you actually took profit, so allow yourself some time to adjust to this life-changing event
3: go for long walks, exercise, relax, meditate, and do not touch the money for a while or worry about how to invest it etc. take a break from crazy crypto-twitter and screens. really let the win sink in.
4: do not start spreading the news that you are ´rich´ now. not in real life, not to your friend, not on CT. in time you can tell it to family of course, but better stay quiet about to the outside world. jealousy and hate will come your way if you start shouting it from the rooftops
5: once ´the win´ has settled down, you will realise you now have more material options in life, but that does not mean immediately more contentment, which can only be found inside, so do not neglect an inner practice if you have one just because you got money. Actually if you did make a lot suddenly, start an inner practice to calm yourself, it will help you deal better with the temptations of being rich
6: put apart a medical emergencies fund (always useful for family members and yourself), help out people close to you in need if that feels right for you, and get some quality ´perks´ of being wealthy: more residencies if possible, best health insurances, high quality eco-food, things like that.
7: start improving your material life slowly, do not go overboard on spending. Ask yourself what you are really passionate about, what would really improve your quality of life and creative satisfaction in life, and slowly spend some money towards this goal without losing yourself in ego-temptations
8: educate yourself on diversifying assets so you can maintain this sudden financial wealth long term, do not start putting it all back into risky crypto for example
9: congrats, you are now materially and financially wealthy, time to turn inside and become truly content as well if that was not the case yet
I always allocate my stocks according to the original allocation, not the current one. 🤓
My top 5 based on allocation:
$ADYEY
$TTD
$MELI
$CRWD
$NET
Together 31.5% of the portfolio
Based on current size:
$CRWD
$MELI
$ADYEY
$CSU.CA
$NET
Together 35.75% of the portfolio.
Short summary and thoughts on the current situation.
Yesterday gave us a glimpse of where the market wants to go post ETF approval. We had a good 10 minutes or so when the news came out and was still seen as legit vs when it was confirmed fake.
What happened:
#Bitcoin spiked up and retraced fully + more. It might just do a repeat of yesterday but with more sellers eager to sell the spike seeing what happened yesterday.
The Cointelegraph intern showed us a valuable lesson back when the fake ETF news hit. Back then, BTC pumped, retraced a good part but it made people realize how underexposed they were in case of an ETF hitting.
Cointelegraph Intern ETF Approval Pump: 10%
SEC Intern ETF approval Pump: 3% (And retracing before even confirmed fake).
SEC account having a considerably better reputation than any crypto news outlet + people were expecting the news to come out already which gave it more legitimacy. The Cointelegraph news was questioned from the first few seconds it came out which arguably muted the pump. I could imagine the SEC account tweeting that in October would have made $BTC pump well over 15-20%.
That's all the info that matters to me here.
Additionally, $ETH/BTC started rallying straight away which is also what we've been looking for. I think today we might get one more small spike down on ETH/BTC as BTC spikes up but after that I don't see much holding back the ETH/BTC ratio anymore. Especially if BTC cools off post ETF.
Overall, yesterday gave us a lot of insight on what people's initial reaction will be and I think that could be used to your benefit.
Feeling fomo is normal. There will be people showing huge PnLs and big gains.
Focus on yourself & your own portfolio & trading otherwise you will just get lost in all the emotions and noise.
There will be plenty of opportunities the next 2 years.
No need to rush it.
#Bitcoin Was done with the range and so was I.
We've had some deviations along the way but overall this range was respected rather well and caused for a nice continuation.
#Bitcoin Some whale on Binance's $BTC Spot pair has been pushing price up with big spot walls.
Seems like someone decided to fill some of them by market selling into some of those walls around 41.5-42K.
The walls below got pulled and placed higher.