Quit Treating Your Favorite Cryptocurrency Like Your Favorite Sports Team
I forget where I first heard this mentioned, I think it was either Edward Snowden or Vitalik Buterin, but they essentially said it's silly and stupid to treat cryptocurrencies like your favorite sports team.
I completely agree and I see this being one of the bigger issues in crypto and one of the reasons why many people don't give crypto the respect it deserves.
You love your hometown sports team, that's great. Even when they are losing you are still a fan. You have some pride for your hometown team and some comradery with your fellow citizenss, that's cool.
That said when it comes to investments, emotion and fandom should be completely out of the picture. How many of you say rah rah go GE or yeah Ford til I die. Probably not many, an investment is as good as it's performance.
I think not only does this lead people ie the general populace not to take crypto seriously, but it's a poor way of investing. I caught myself doing this regarding NAV Coin. Now I wouldn't say I was a fanboy, I legitimately thought the coin was great, it's cheap to send, it's fast, it's anonymous and best of all it's userfriendly. I absolutely loved the NavPay app, and I thought it would go somewhere because of that.
Eventually I saw the writing on the wall and realized that at least at this point in time everyone wants the shiny new coin and while NAV is a great coin, it's been around a while and doesn't have that new coin shine and novelty that everyone was looking for. At a time when I should have liquidated my position and walked away with a small profit, I stuck to rooting for my favorite coin a bit too long and eventually just wound up taking a loss and selling off.
I see this attitude being really taken to the extreme where people actually root for their coin while it's going down. Say for example you buy a coin at $10 and it goes down to $6. I actually see people cheering at their own demise saying things like yeah this is fucking awesome, I can buy more even cheaper, if it goes to $3 even better I'll continue buying more.
Who roots for their own investment to go down in value? That is just dumb as hell and really highlights this cult like sports fan like mentaility that a lot of people have about crypto. If you want to be taken seriously, treat your investments like investments.
I think it’s human nature to live and die with your “team”. ‘Til death!
If you want to make $ in cryptocurrency, I think that attitude is dangerous as you say. I’m taking a long term approach to crypto right now. I want crypto to make me mortgage free in time. Living and dying with your crypto won’t do that. Selling your crypto close to the top will.
I laughed at this because it is pretty true with people out there. I felt like the teenie boppers got real bad about this. There were people defending Bitconnect so hard it was unreal. There was one lady who was trying to school me on what open source software was and shit on one of my videos.
I have been meaning to do a post on how to tell someone is over invested in a project. I know a lot of the n00bs are getting all bent out of shape when it seems like there is good news all the time but the coin doesn't go up. I understand where they are coming from but they are likely over invested in it mentally and monetarily.
Yeah that's kind of what caused me to take a step back from the cryptospace and Reddit where I had been pretty active. If you ask a question critical of a coin or talk about a challenge a project faces rather than addressing it or discussing it people tend to attack the person. When I see my investments going down I'm obviously not happy with that and to see other people cheering while we all lose money, themselves included is just dillisional.
That's actually one thign I really enjoyed about my local bitcoin meetup or crypto meetup is people were pretty level headed adn grounded. We would talk coins, people would say good stuff about it, as well as the bad stuff about it, etc.
I totally get being excited about a project especially if its a project that aims to do something big as opposed to just be a currency but I definitely think its important to take a step back and know when to throw in the towel and stop rooting for a coin that's not going anywhere
I agree with you on this one.
If anything, it's a wake-up call and time to check out the coin once again with your thinking cap on, and objectively, free from any emotional investment. The most risky type of investment in my opinion is emotional investment. It's important to not buy into the hype, but stick to our basic principles of investing, whatever they may be.
Yeah totally agree, sometimes when things go down in value its time to buy more and average your price down, but only after looking at the situation and maybe determining the reason for the fall is a poor one, your confident it will rebound, you know some of what the future holds for that project, but definitely not the blind this is my favorite coin im just gonna keep buying attitude
Thanks @rulesforrebels. As you noted bringing Emotion into the equation with any kind of investments including Crytpocurrency is really foolish
Yeah I also support my favorite coin doge. I hope it will go with a single dollar price.
Long term investors don't mind the price going down a bit and buying a new position. After all, it's long term.
I believe ppl should support the currencies they believe will be great for the future. I actually prefer supporting a currency that might change something in the world, than supporting lets say a football team, who are wasting millions sometimes for players that don't even give the example to the community and their own fans.
Ppl can support and enjoy anything they want without harming themselves or others in the process.
As we all know, investing in Crypto, is not the same as investing in anything else that has been here for more time.
Although i have to agree that supporting the way the picture is showing.... is too much hahaha!
Cheers, and have a nice day.
I disagree on the be rah rah with your cryptocurrency. Being emotionally involved in your investments to me is a recipe for bad investing.
Don't get me wrong I get what your saying, I can understand why someone supports a privacy coin if they value privacy and freedom, crypto is an exciting thing so to an extent I understand getting a bit more involved than with stocks. Heck even with stock some people get very rah rah Apple and a handful of other companies.
That said, again, I think its a recipe to poor decision making and I think its partly why people outside of crypto don't take us seriously.