All cryptocurrency investments are essentially 'Ponzi games.'
Previously, the ceiling for high-quality assets like Bitcoin was very high. No matter when you bought it, you could always break even in the next cycle.
The simplest way for ordinary people to make money is to buy BTC. I've always said this, especially since a 50% annual return is nothing to scoff at.
Today we won’t talk about BTC, but rather the real tricks of making money in the crypto world, involving any other cryptocurrency. I’ve talked too much about BTC, and you must be tired of it.
Let’s talk about something meaningful today.
I will make it clear to you: all cryptocurrencies are Ponzi schemes, but this scheme is influenced by two factors and three questions.
The first factor is the number of people, that is, the number of people playing this game.
The second factor is time, how long it can develop.
Here are the questions:
The first question is, how many people learned this information after you?
The second question is how many people want to buy the asset you bought but couldn't succeed due to barriers.
The third question is whether your understanding of this asset exceeds that of others.
We say making money relies on understanding; making money in cryptocurrency definitely requires understanding. Today, we won’t talk about luck.
Many people talk about understanding but have not clearly stated what that understanding is.
I clearly and unequivocally state today that if you understand these three questions, you can make this money; if you don't, you won't be able to earn this money. This is the rule of making money in the crypto world.
The first question pertains to information advantage. What level is your information at? If it’s external, such as publicly available information in various groups or media, it’s useless. It must be core information, and how many people knew about it before you? Did they buy in? If you know something very valuable that others don’t, I’m telling you, that’s a pile of trash you can also buy. Then, after this core information leaks, sell immediately.
The second question is about how many people are ready to take over, everyone wants it, but they can’t buy it. Such things must be valuable, not because of their inherent value, but because of this strong consensus. Everyone believes it’s a good thing. For example, buying BTC right now is very difficult for most outsiders. Many people indeed want to get a piece, but I often receive the question, 'I don’t know how to buy.' For you, it’s very simple, but for others, it’s indeed very hard. If at this time you discover such a good opportunity, and you know others will come to play but there are some barriers, then you should boldly proceed.
The third question is your understanding of the asset itself. For example, some people realize that Doge is significant, and Pepe is significant, as they are things Musk wants to promote. If you believe Doge can definitely become a payment currency for X, then with that understanding, you can buy in. Others may be uncertain, but you are certain. If you have insider information or dare to predict and bet, then you can make this money. In this process, you must pay special attention: many people won't understand or agree with you. But don’t care about what others say about whether this thing is good or not; it’s not important. Because you have a unique understanding, and you know you are right, that is enough. This is your courage. People without understanding can easily be influenced; if there's a sudden drop, they might immediately sell just because someone in the group says something negative.
If you understand all three questions or even one or two of them, you have gained insight, and your probability of making money naturally increases. Using this understanding to engage with every cryptocurrency is the correct logic, rather than relying on guesses or what others say is good or bad. For you, this is a test of understanding and also a trial ground for slaughtering amateurs, and you will feel fantastic about it.
I have already written the secret here. Anyone who makes money from this, excluding luck, must be in one of these three situations.
If something is good, but everyone says it’s good, and everyone buys it without barriers, then it definitely won’t increase in value.
BTC can rise simply because many people say it’s too expensive to buy; ETH is weak because most people are looking for ETH as an alternative to BTC. After all, it rose several times last time, and many people want to experience that again, but I know it won’t go as they wish.
