It's better to be a living lettuce hand than a dead diamond hand. Discipline is not stubbornness. It's knowing when to stay... and when to leave.
There is a story often repeated in lectures, self-help books, and even in the financial market: if you put a frog in boiling water, it jumps out immediately; but if you place it in cold water and heat it slowly, it stays until it dies without realizing the danger.
This statement is biologically false. In reality, amphibians have reflexes and temperature sensors that make them react when the water gets too hot. In other words: a real frog doesn’t die peacefully, it tries to escape.
What survived was not biology, but the metaphor. It serves to illustrate how gradual changes can deceive us — in politics, in economics, or in investments. But taking the metaphor as a model of behavior is dangerous.
In the financial market, acting like the "metaphorical frog" means becoming complacent with gradual losses, ignoring signs of deterioration, or believing that "it will get better soon." This passivity is costly: those who do not react in time lose their wealth.
The right way is to behave like the real frog: recognize the increase in risk, feel the change in temperature, and jump out before it boils. This means cutting losses, adjusting positions, and reacting quickly in the face of negative trends.
The myth teaches us exactly the opposite of what biology shows. In the market, those who survive will not be the ones who wait passively in hot water; those who will survive are the ones who have the reflex and courage to jump at the right time. $ETH
There is a story often repeated in lectures, self-help books, and even in the financial market: if you put a frog in boiling water, it jumps out immediately; but if you place it in cold water and heat it slowly, it stays until it dies without realizing the danger.
This statement is biologically false. In reality, amphibians have reflexes and temperature sensors that make them react when the water gets too hot. In other words: a real frog doesn’t die peacefully, it tries to escape.
What survived was not biology, but the metaphor. It serves to illustrate how gradual changes can deceive us — in politics, in economics, or in investments. But taking the metaphor as a model of behavior is dangerous.
In the financial market, acting like the "metaphorical frog" means becoming complacent with gradual losses, ignoring signs of deterioration, or believing that "it will get better soon." This passivity is costly: those who do not react in time lose their wealth.
The right way is to behave like the real frog: recognize the increase in risk, feel the change in temperature, and jump out before it boils. This means cutting losses, adjusting positions, and reacting quickly in the face of negative trends.
The myth teaches us exactly the opposite of what biology shows. In the market, those who survive will not be the ones who wait passively in hot water; those who will survive are the ones who have the reflex and courage to jump at the right time. $ETH
Disclaimer: Includes third-party opinions. No financial advice. May include sponsored content. See T&Cs.
Jager
Alpha
0.00000000096608
+19.14%
