Let me also share my experiences and some reflections in the crypto world.
Divided into four stages based on time.
First stage (2016-2017). Ignorance is fearless; making money until losing rationality.
I entered the crypto world in 2016, hitting the big bull market of 2017. With a capital of 100,000, I peaked over 10 million. Two coins left a deep impression on me: one is GXS, where I participated in a private offering with 2 BTC at a price of 6,000 each, and it opened at 3 million. The other is AntShares (later renamed NEO), where I bought 10,000 at 1 yuan each, which later soared over 1,000, making that coin worth over 10 million. I got carried away, feeling invincible, and thought about setting a small target to earn 100 million and then quit. Then... the story of a person full of desire, feeling invincible, who got thoroughly taught a lesson by the market.
Second stage (2018-2019). Reflect on oneself and start anew.
In 2018, the market entered a downward cycle. Watching my hands full of altcoins and a hopeless future, my mood plummeted, and I would scold myself daily. But the market won’t open a backdoor for you just because you’re in pain. So this stage is more about self-reflection and understanding the market. After some adjustment, I realized two things. First, no one is better than anyone else; we are all just ordinary people. The reason I made money in 2017 was not due to being great but simply because the market was too good, and I was lucky enough to be on the trend. To put it simply, I was just a pig on the hype train, and taking off was inevitable. The second point is about controlling capital. Small funds have their way of playing, while large funds have theirs. You can’t use small fund thinking to play with large funds; otherwise, the consequences will be dire. After understanding this, I tidied up my emotions and started reallocating my chips, clearing most of the altcoins and switching to BTC, ETH, and USDT.
Third stage (2020-2021). Reasonable allocation and timely profit-taking.
After going through a complete bull and bear cycle, the mindset becomes much calmer. Plus, the crypto world has entered a rising cycle again, so assets start to appreciate continuously. At this time, what I do more is profit-taking and constant reallocation. So relatively speaking, it's not as spectacular as in 2017. Maybe because I'm older, I feel that simplicity is the real deal.
Fourth stage (2022-?). Cultivate internal skills and believe in the future.
I have absolute faith in the future of the crypto world; surpassing previous highs is inevitable. Right now, we only need to do one thing: don’t exit the market, keep holding quality assets, and we will surely reap great rewards in the future.
Contributor two:
Reflecting on my emotional journey, I hope everyone can learn from my experiences.
I got into this circle during the bull market in 2017, and everyone referred to it as the 'crypto world.' Later, I realized that it was just the end of the 2017 bull market. At the beginning, I just wanted to understand it simply and try investing. I remember buying my first coin, Ontology (ONT), in March or April 2018, and it started rising the next day, peaking at 11 USD. I clearly remember investing 30,000, and I tasted the sweetness right away, feeling like an investment genius, as money came in too quickly. I even felt a bit guilty for only investing 30,000 at that time. During this period, trading and mining became popular. After hearing about FCOIN trading and mining, many people made money, and FOMO kicked in. I remember entering at 4 USD, which was a bit late, and it quickly rose to 6 or 7 USD before starting to fall. Then I got scared and ran away, making a little profit, and looking back, I realize I made the right choice. Later, many clones emerged. The one that left a deep impression was a project from CP. The CP exchange was going to launch trading and mining, and many people rushed in to crazily trade for fees, which would give them tokens at a set price. I also stayed up until 2 AM to trade, it was exhausting, so I went home to sleep. The next day, it opened directly at dozens of times the price. The new investors had never seen so much money and quickly sold, and it seemed to break through new highs! Later, there was another project whose name I can't recall that also aimed for trading and mining. Similarly, I traded many fees and waited for it to open, but the opening multiplier was not very high. Prepared to learn from the last experience, a friend suggested selling some to recover the cost. Fortunately, I did, as the price dropped all the way down to zero. The last pitfall project seemed to be BP, where the same plot unfolded. The difference was that the project team never opened. In the meantime, there were off-market trades. I entered a large investor group and got brainwashed. Off-market trades doubled my investments, but the final outcome was a direct loss; it dropped sharply. I left the blockchain scam, having barely made any money. The summary of my experience is: when a new hype emerges, as time passes, the bubble will burst faster, from continuous new highs to directly breaking open at the end. This round of games is the same!!! So, prepare for risk control, don’t believe in empty promises, and sell during rapid rises; don’t FOMO. Always aim to recover your cost first.
Time has quickly moved to 2020. Decentralized trading became popular. After learning about Pearl, I recharged and entered the market again. I correctly selected a few projects and quickly increased my assets in just about a month. Seeing this trend, based on past stock investment experience, I realized that to achieve higher returns in a limited time, I must increase my capital. The most convenient way I could think of was to borrow money. Later, when I saw some projects starting to cut people, I decisively exited. At this time, mainstream coins started to rise steadily. I thought it was expensive, and since I wasn't really interested in this mainstream coin, I just watched it rise! That was frustrating, but I knew the bubble would eventually burst. Until May 19 came, with Bitcoin at 33,000 and Ethereum at 1,900, I bought the dip. Then, following my previous investment principles, I accelerated my exit as it surged. Bitcoin reached 66,000 and Ethereum around 4,500, and I sold 80% of my holdings.
In the second half of 2021, the gaming hype also came. I immediately recognized it as a capital game, similar to trading and mining before, but it doesn’t affect making money. Just get into whatever game is available, but eventually, I realized it was about running away when people started getting cut! Value investing does not exist. Based on past experiences, I made about two million in total, though I missed many opportunities along the way. No one is perfect, and money can't be made by just me, right?
Summarizing experiences: 1. Mainstream coins should still be allocated at the right time; dollar-cost averaging in bear markets is essential, or it will be painful when they rise.
2. When the hype comes, just go for it. You need a pair of eyes to spot the hype.
3. To survive in the crypto world, find your way to make money; one day you will be able to earn.
The market is very cruel. Think about how to survive, because only by surviving do you have a chance. Start with big losses, then small losses, then small profits, and finally big profits. That is the correct process. Don't let fear scare you away at the beginning; otherwise, you'll really become a victim.
Contributor three:
Yesterday, I read many sharing articles from big names and really benefited a lot. Let me share my experience in the crypto world: 'How a rural mom from 1984 had two kids in four years and earned millions.'
Let me formally introduce myself. My name is Old Deng, a nickname given by everyone since my student days. I have gotten used to it over the years, and it feels friendly when called. I was born in 1984 in a rural area of Quzhou, Zhejiang, and I currently have two children, the elder being 6 years old and the younger just 7 months. I rarely chat in the group because my little one takes up most of my time. Last time, I attended the scientist meeting in Hangzhou with my elder child. Before I had children, I worked as a process engineer in a workshop producing Apple computers in Shanghai's Guangda Manufacturing City, and later switched to sales. Eventually, I returned home to start a business, selling clothes, running an extracurricular training class for elementary students, and finally renting props for wedding events and building stage trusses. In 2017, after getting pregnant, I exited the physical business and transitioned to investing, letting my brother continue. At that time, I wanted to spend more time accompanying and educating my children. But just being a housewife is not enough for me. I asked my child’s father if I could ask for money? No, a woman without money lacks confidence. I want financial freedom and to have my own confidence. However, I only had a few hundred thousand in cash at that time, and achieving financial freedom felt utterly clueless. I merely had a seed planted in my heart, waiting to sprout...
I utilize my time with the children to join various learning platforms and communities, continually learning and investing in my skills. They say to achieve financial freedom, one must cultivate financial literacy and learn finance. This term was really quite novel for me; our schools, parents, and society never taught us how to acquire financial literacy. Later, in September 2018, I joined a financial community through a teacher's public account. It was here I came into contact with the crypto world. I found myself in a group for dollar-cost averaging EOS and overseas funds. I’m glad I didn’t enter the crypto world through trading. I remember the exchange we used for buying tokens was called OTCBTC, which was ranked about 20th on the non-small number ranking. I bought EOS daily for at least 100 RMB in dollar-cost averaging. The teacher analyzed how technically strong EOS was, claiming that each token would be worth 1,000 USDT in the future; if we dollar-cost averaged 10,000 tokens, we would be financially free with 10 million. Starting from the 60s, we dollar-cost averaged down. I heard that the seniors who joined earlier said their ADA dollar-cost averaged down by 50%. I hurriedly bought the dip, but unexpectedly, I bought it halfway down. I realized this whole new field required more than just blindly dollar-cost averaging EOS and ADA; I began frantically searching for communities to learn about it on public accounts. In 2019, there was a big drop, with Bitcoin falling to over 3,000 USD, but at that time, I didn’t dare to buy more, only investing tens of thousands. I spread my investments across several tokens. I kept thinking, could it drop even lower? Should I wait a bit longer? Waiting led me to 8,000 USD, and then I just kept buying, fearing missing out. It was truly the case of wanting it to drop more, surrounded by bad news. Then came a big bullish candle, with countless troops rushing to meet it. In 2019, I kept buying and buying in the secondary market and ended up purchasing over 40 different tokens. That was far too many! Later, I managed my positions, dividing them into three sectors: 1. Mainstream coins (Bitcoin, Ethereum, EOS, Ripple, BSV, etc.). 2. Platform coins (I only bought three major platform coins, with a relatively low cost for BNB). 3. Value altcoins (Anonymity coins, public chain coins, etc. were included here). I organized my positions into a 5-3-2 structure. In the end, I still had over a dozen tokens. The biggest regret was clearing out Dogecoin. Let me mention the token that impressed me the most, Polkadot. I knew about its ICO but didn’t know how to participate. Later, in the secondary market, I waited for it to plummet before getting in, only to watch it rise from around 0.5 to about 2.7 before I bought some. I totally missed out on DeFi in 2020; I have no idea what I was doing at that time.
In May 2021, when Bitcoin reached over 58,000, I sold half my holdings because my little one was about to be born! The late stages of pregnancy were exhausting (heart problems and breathing difficulties), and I didn’t want to check the market. I sold over 3 million in USDT, withdrawing 150,000 to 200,000 daily for over ten days. Using various WeChat, Alipay, and bank cards, I immediately transferred funds after each withdrawal. After my little one was born, I hurried to buy an investment property in Taizhou. Anyway, I was timid and worried about freezing funds. After my little one was born in August 2021, I came into contact with NFTs and learned about GameFi and the metaverse. In the beginning, I often set alarms at midnight to grab NFTs, only to miss out and affect my sleep. Later, I completely avoided projects starting after 11 PM due to limited energy. Of course, selectively participating allowed me to seize a few opportunities, earning tens of thousands in both NFTs and GameFi. However, some profits were also tied up. I attribute my ability to make money to my timidity; I usually sell half when profits multiply. The rest I keep for the long term to see if any surprises will happen. So I have some NFTs and tokens from various projects but have forgotten about them. Lastly, let me share some of my experiences in the secondary market.
1. Whenever someone is aggressively buying the dip, it’s probably not the bottom. When there is a fierce battle between bulls and bears, it’s likely that the bottom hasn’t been reached, and you can wait to see. 2. If the market's decline is due to policy, then whether the policy is starting to relax or if it’s just the beginning of tightening needs to be considered; the future may be even harsher. If another shoe drops, it’s best to wait until it lands before thinking about buying the dip. A few pieces of advice for novices:
1. A common mistake for novices is thinking Bitcoin is too expensive and opting for other coins. But expensive and cheap are relative; a $40,000 Bitcoin is not expensive; it may rise to $80,000 or $100,000, while a $10 altcoin is expensive because it may drop to 1 cent. So always look to the future. 2. You should think that under any circumstances, you will almost never be forced to sell coins; only then might you hold for 5 to 10 years and enjoy the value gains brought by this cycle. In the investment field, sometimes diligent people don’t necessarily make money. Being a diamond hand is a good thing. 3. Always keep some dry powder because Bitcoin often retraces by 30% to 50%. 4. Private keys must be written down by hand in a notebook, not stored on computers, phones, cloud storage, or other electronic devices! They can be easily lost.
Contributor four:
I entered the market at the end of 2017. The super bull market of ICOs made me finally enter the crypto world.
Previously, I exceeded stocks and forex, deeply researched candlesticks and indicators, and discovered a new world in the crypto space.
The profit-making effect in the crypto world is indeed strong, especially in a bull market. As a friend said, making money in crypto is one of the easiest ways to earn.
However, in a bear market, the market is basically stagnant due to a lack of liquidity, so during this time, dollar-cost averaging and controlling hands is crucial.
After entering the crypto world, my initial funds were relatively small, just over a hundred thousand. Because the growth of mainstream coins was limited, I mainly chose altcoins. I invested in projects like BOS and PVT, which went to zero. A major problem was that after focusing on a project for a long time, one could fall into a faith trap, subjectively magnifying the strengths and ignoring the weaknesses, which can sometimes be fatal. For example, after the Huobi gene retreated from the BOS project, I should have paid attention to this important signal, but my faith in the EOS main chain and the technical strength of BOS led me to diamond hands when I shouldn’t have.
PVT is the token of the pivot content platform. After a pump on Huobi, it crashed to zero. It's also due to the diamond hands of faith in the project, resulting in over 90% losses on holdings.
Both times I went to zero were due to all-in bets, losing tens of thousands.
So faith is a dangerous thing. If misplaced, it can cause great harm.
So the first experience is to choose projects and see if the project genes are strong, such as whether they have Binance support, etc.; otherwise, never attach faith.
After entering the crypto world, many projects have gained huge profits, such as ampl, mx, etc. However, in the end, they all didn’t succeed, mainly due to incorrect profit-taking strategies.
Generally, projects consolidate for a long time, but when they rise, it’s just one to two weeks, a short time. However, during the rise, I never had a profit-taking strategy thought out in advance. After selling, if it goes up, I regret it. I think after waiting so long, selling after such a rise feels like a loss. So I often end up on a roller coaster.
Second experience: Profit-taking strategies need to be prepared beforehand. When the rise comes, stop making decisions and exit according to the plan.
Many people have taken roller coasters, mostly because they couldn't control their greed during rises. This can only be solved by thinking ahead about a profit-taking strategy and implementing it decisively.
Looking back during the decline, I realized how significant previous profit-taking operations were.
While working on the Baby coin, I successfully implemented the previous profit-taking plan, resulting in significant returns.
Let's talk about the issue of capital size.
I personally lean towards small funds, such as within 500,000 RMB, finding one to two reliable projects to invest heavily in. Of course, the prerequisite is trustworthy projects. This is an opportunity that the crypto world provides for us ordinary people to leap, which is not available in the outside world. So we must cherish such opportunities.
For large funds, such as those over 10 million RMB, it’s still necessary to rely on cycles to make money. Such large amounts are not suitable for entering early-stage altcoin projects. It’s difficult to enter and exit.
Big funds should use dollar-cost averaging in mainstream projects during the bear market; when the next cycle comes, they can achieve a leap in assets through the bull market.
So the third experience is that small funds take big risks, while large funds rely on transitioning between bull and bear markets. I am currently practicing the latter half of this.
Currently, most of my positions are in stablecoins, and I have invested a small position in AssangeDAO's JUSTICE coin.
Today, I also wrote a long article on AssangeDAO's in-depth analysis that everyone can check out.
My personal view is that encountering a project with good genes, especially when there are temporary disagreements in community consensus, is a good buying point.
AssangeDAO will have its first round of voting in a couple of days. Once key issues are resolved, consensus will be reestablished, positively impacting the coin price.
Currently, the price of 0.0015 is 50% of the donation price.
Every project has uncertainties, so try to avoid going all in and think carefully before heavy investments. That's why I invested in Justice with a small position.
When encountering reliable good projects, you have to hold them. For instance, I held Baby for 7 months, and the lowest position I bought increased 70 times. The process was tortuous, but if you can hold, the rewards are still huge.
Going all in and heavy positions are relatively hard to hold. With small positions, it’s easier to hold. In the end, reaching tens of millions or even billions still relies on holding. This is the fourth experience.
Stay nostalgic, use precise strategies for analysis, and select projects with big data to ensure you remain undefeated. The market is never short of opportunities; the question is whether you can seize them. By following experienced people, we can earn more!
Keep an eye on: ETH DOGE BNB!