chart needs a little spit shine... it's got that $RUG FEELING
they don't know it's an INVERSE RUG yet
good news is our community knows how to roll up their sleeves.. hardened by the aggr trenches
hawk tua and SPIT ON THAT RUG
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'wow, if the bull run is gonna be anything like 2021, everyone will make so much money.'
No.
Here's how people will lose money in a bull market:
(and what YOU should be aware of)
1. Buying high, selling low.
The initial stage is called the disbelief stage.
The disbelief stage is the initial macro higher high after 3 years of lower highs; every rally earlier got nuked.
It's not surprising that most will fade at the start of the bull market because they don't trust the sustainability of the pump; bear-ptsd.
It feels surreal, pumping for weeks, if not months. 'We should pull back now.'
Price leaves the disbelief stage and starts to accelerate into the previous all-time high; 'I will not buy the resistance here after this rally,'
Price breaks the all-time high and rallies another 20%, normies start to talk about Crypto again, and the headlines are bullish; they fomo in.
Unsatisfied with their non-life-changing gains, they will fall for the mainstream fomo and hold all the way down.
2. Comparing yourself to others.
The early buyers and the deep pockets will flash incredible profits on Twitter. You also want this; you feel like failing if you don't hit 5 or 6-figure trades daily.
Results:
-> Not taking profits later in the cycle.
-> Over-risking: being unable to hold a position longer than a day. Many trades closed for a slight loss to see them pump afterward.
-> Getting liquidated.
-> Chasing: Your position doesn't move, but this other shit coin does. Let me jump on it as well! Stop buying local tops.
3. Trendsetter vs copycats and cash grabs.
There's this new coin creating a new narrative/trend, and it's pumping hard. Within 1-2 weeks, there are 12 new tokens doing something similar.
Quickly created to pull out money from this new trend: cash grabs.
Most copycats will die.
4. Being scared to risk early.
In Crypto, you must take risks to profit, and you will often be wrong.
The problem is that most people only want to take risks late, and their only reason for taking the risks is that the prices are going up, often... a lot already.
If you are early:
- You have less downside.
- You only have a few buyers below you willing to dump on your entry prices.
- You have a ton of upside.
Yet, people won't be that interested here because prices still need to move.
If you are late:
- You have an insane amount of downside.
- You have many buyers below you, happy to sell in profit at your entry price.
- You have limited upside.
Yet, most people emotionally fomo in here.
Learn to not just take risks because of green candles.
Take risks because of a market structure change, a massive level reclaim, money moving into a new niche, or other reasons.
My golden rule: If something sounds stupid but straightforward, and money flows in, don't hesitate and don't overthink it.
5. Don't marry your bags.
I don't care if your coin cures cancers and made you millions; at some point, it's time to say goodbye and take the profit.
Don't become a community member; the bear market won't spare your coin.
6. Having no plan.
Have a plan to enter, ride, and exit. All stages will get the best of your emotions; if you don't have a clear plan upfront, these will take the best of you.
Trust the plan made by the person without emotions (you) and not the person (you) full of emotions later in the stage.
7. Trust a CEX with your money.
8. Buying bottoms and selling tops.
Don't try to buy the absolute bottom or sell the absolute top. Scale in and out.
9. Focussing on the lower time frames.
If you try to ride the bull market:
- Don't look at the lower time frames.
- Don't worry about tomorrow's prices.
- Don't try to play every 10% up or down.
10. Impatience.
People want to become rich tomorrow. The bull will take time, test your patience, and have a lot of down periods. Don't chase the outliner if you have confidence in your positions. They will leave the train station without you.
11. Copy Trading Twitter.
Following hundreds of different anons on Twitter and trying to copy them up or down will flip-flop you around without making a dime.
12. Trying to out-trade the markets.
Last bull, you've made a lot but lost most again in the bear. You learned to play around with TA and actively trade. You can't wait to use your new skill in the bull market.
How to make less than in your first bull?
-> Marking out all the resistance levels on the lower time frames,
-> Try to play every potential pullback you see.
-> Trying to out-trade the market. The bull pumps will outperform your 10-20% trades.
13. Thinking in absolutes.
Nobody knows what will happen. Thinking in absolutes will make you stubborn and unable to adapt to a shift in trend; this could mean not being able to get in but also not being able to get out.
14. Trying to make it all back in one trade.
If you have a significant loss and are frustrated, walk away for 24 hours. Don't oversize by 10x to make it all back on a random trade 5 minutes later.
15. Over-positioning.
You don't need to hold all 6000 daily created new coins. There will be many new shiny things, but keep it manageable.
Enjoy the ride, fam!
AUCTION: opens today (21 DEC) at 4:20pm (EST).
8,000 NodeMonkes inscriptions on bitcoin.
CLOSES: when sold out or price descends to zero.
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Details in this thread 👇🔽