My price estimate for Banana 🍌 Gun, which I made when this currency was priced at $30, is quite close to being fulfilled. I estimated, based on its narrative, everything behind it and its potential, that by the end of the year it would be worth $80. I saw today that it has already reached $71 and is currently, in correction, at $66. Everything I do, you can do too, simply by studying. But what is a study? Imagine that at a 19th-century cadaver dissection table you have a human specimen and the basic tools to cut tissues, including bones. The study of human anatomy is based on cutting a human being and separating each part of it. But that is anatomy. Then comes the functioning. So you need not a cadaver, but living human beings, to know how they function, for example, the kidneys. The kidneys filter blood and we store urine for 24 hours and in this way we will have certainty about how much blood the kidney filtered in a day. Then you study the contents of that urine and you will be able to see the formed elements that are expelled. On the other hand, there are the electrolytes (ions and cations). If it is a healthy individual, there cannot be erythrocytes, because a functional kidney does not eliminate red blood cells, nor glucose. Since the human being is also a mind, the study includes the behavior of that human being. This way you can conclude if the individual has a disorder or simply follows a pattern of personalities that science has defined for each of us. You will then be facing an introverted or extroverted individual, just to cite the less complex.
Now you can understand the way a currency is studied, which is more than a one-dollar bill or a twenty-cent nickel piece. Cryptocurrencies must be studied in their anatomy, so we will call it the anatomy of cryptocurrency. For this you must dissect it, separate it into parts, and see if it corresponds to a cryptocurrency that is within normality or has anatomical variations. Regarding its functioning, it is important to understand what type of ecosystems it operates in, how it interacts with other currencies, what communication channels it uses, and how it is exchanged in the market, its age, measures (number of circulating coins and coins that are frozen and when they will be released, capital). Regarding its behavior, it is important to know with which other currencies it has a responsible relationship, who its creators are, since when and for what it was created, the background of its creators, the source of funding, what bank and which institutions support it. Every responsible currency has a roadmap that it must publish by obligation. The other thing is that to be accepted in the financial world, it must meet certain requirements. It is essential to read the white paper; every currency has one. But what is it and what is the white paper for? The white paper of cryptocurrencies is a technical document that details a cryptocurrency or blockchain project. In this document, aspects such as the underlying technology, the purpose and vision of the project, the functioning of the system, the consensus model, the distribution of tokens, among other relevant aspects, are usually explained.
The white paper is essential to understand the value proposition of a cryptocurrency or blockchain project, as well as to assess its viability and long-term potential. A responsible investor with their money will not put a dollar into a cryptocurrency if they do not first study its white paper, simply because this is a key piece that provides detailed information about the currency. Investing without reading the white paper is like investing our money in a business that we have no idea about what it is. Would you put money into a business you don't know what it's about?
Finally, psychology plays one of the most significant roles in the present and future of a currency. Its adoption will depend on the perception the market has of that currency. You can see how exchanges briefly label some currencies as popular, especially when they are trendy, but this does not mean that it is a good currency. Some newly listed memes are popular for a short time and then are removed from the popular currencies.
I would like to note in this article that the entire cryptocurrency market is emotional. Currently, BITCOIN is capitalizing every minute simply because the masses, the people, the institutions foresee a more and more expensive BITCOIN and all who can buy it. This is the reason why the SRI indicates that bitcoin is overbought. This is generated by the fear that investors feel of being left out of the business, and this generates a bullish run that, of course, is not infinite. But that is another topic. This article is about how to have the certainty that your money is going to a safe business, and when that money is invested, you must know your rate of return, that is, how much money you will earn for each dollar invested in the short, medium, and long term. These three time periods are determined by the currency. It will indicate to you, after studying it, when the money will return and in what amount.
For example, I studied RADIUM (RAY) or ray very closely. I started buying it in August. Its resilience, its tolerance to drops caught my attention, so I dedicated myself to learn about it. It was very difficult times; currencies fell, some to historical lows. So I listed those that best tolerated the drops and built a portfolio. Besides RAY, I chose MASK NETWORK. The latter was too resilient even when bitcoin was at $54,000.
Finally, you must know, and I suppose many already know, that currencies have a high mortality rate, and studying them will allow you to make a forecast of how long they will live and if, on the contrary, they will have a long life. Later, I will write about some techniques that will allow you to make money. For example, you should know that almost every currency put under observation starts to rise in price. That is understandable. If someone told you in school 🎒 'if you fail again, you will be expelled from school,' what is the response you will generally have? Well, you will make a great effort to recover your grades and improve your performance. It is so simple to know; it is a rule that applies to everything in life. If you feel threatened by your poor academic performance and you really care about school, you will study more hours, reduce leisure time, improve your appearance, participate more often in class, and all this will allow you to pass and stay in school to obtain your basic diploma. Those who did not know this should review their situation in the market.
Have catharsis, do not lose your money, unless you have extra and are only here to gamble. Good for you. But those who want to earn some money, study the behavior of the market and each currency. But, above all, study yourselves: what kind of personality you have, your tolerance for losses, failure, frustrations, your ability to wait for the right moment, what we call 'the sense of opportunity,' things that can be learned. You must know that fear is good most of the time because it protects us, and you must know that greed is much more powerful than fear. Watch the movie 'Inside Out.' It is good to know the emotions that control us, because they make us. Those who control them will succeed in everything they undertake throughout their life.
A strong hug, invisible friends.
Jorge Ferrer
Bachelor's Degree in Business Administration
