I often see people lamenting that if they had bought Bitcoin earlier, they would have become rich. This hides several key misconceptions. In hindsight, opportunities seem abundant, but beforehand, there are risks everywhere.
In the investment market, never use known results to retroactively infer past decisions based on outcomes you know now! Standing in 2010, Bitcoin was an experimental virtual currency known to almost no one. There were no mature exchanges, and trading was extremely cumbersome at the time. There were risks of high technical failures, policy crackdowns, and being hacked to zero. Its value was highly unstable, potentially worth 1 yuan today and worthless tomorrow.
Going to zero was one of the very realistic possibilities at that time, even one with a higher probability. Historically, countless similar technological innovations or monetary experiments have ultimately disappeared without a trace. The survival and explosive growth of Bitcoin is the result of numerous coincidental factors, not a certainty.
The symbiosis of risk and reward. Behind the potential for extremely high returns is inevitably extremely high risk. Bitcoin exhibited this extreme risk-reward characteristic of either going to zero or becoming wealthy in its early days.
You only see the path to wealth and overlook the possibility of going to zero or other failure paths. Investment decisions are made based on the information and understanding available at the time, assessing various future possibilities and their probabilities. In hindsight, only one possibility became reality, but that does not mean the decision to buy at that time was obvious or risk-free.
You cannot go back to seize the opportunity of Bitcoin, but you can apply these principles now to seek your own, controllable risk opportunities amid future uncertainties. True investment wisdom lies in understanding risk, respecting the market, and continuously improving your cognitive and decision-making abilities.
If you currently feel helpless or confused while trading in the cryptocurrency space, I hope my sharing can provide you with some inspiration and help! Follow me so you don’t get lost; Lao Zhao will let you get ahead of others and create an information gap!
