After years of exploring the crypto market, there are things I once imagined could only be learned by hands-on experience, but you can completely grasp them in these few short minutes.
1. Bitcoin is limited in number, and will become scarcer one day
There is no change in the number of 21 million Bitcoins in existence. This begs the question: why does Bitcoin continue to increase in value despite the volatility of the market? Partly because there is a limited number, and 8% of current Bitcoin holders will continue to hold them. If you realize the true value of Bitcoin as a scarce asset, you will have a clearer view of your investment decisions.
2. Focus on capital and risk management rather than technical analysis
Technical analysis (TA) is a useful tool, but it is not a life-saving factor. What really determines success or failure in the investment journey is the ability to manage capital and risk. To overcome fear, FOMO (fear of missing out), or FUD (fear, uncertainty and doubt), you need a solid financial plan. Instead of trying to find quick money opportunities, build discipline in risk management.
3. Earn Passive Income with Cryptocurrencies
Cryptocurrencies offer many ways to earn money without constantly trading. You can earn interest from staking, lending, or participating in reputable DeFi projects. By earning more from your crypto holdings, you reduce your trading risk while creating a steady stream of income.
4. Think long term instead of making quick money
Despite an average annual growth of over 100% over the past 15 years, not everyone has made sustainable profits. The reason is that many people still get stuck in the “make money fast” mindset and forget that understanding and committing to crypto also takes time and effort. If you can’t spend at least 4 hours a day researching and monitoring the market, focus on BTC and ETH – allocate 70% to BTC and 30% to ETH for the best protection.
5. Self-study and self-responsibility
Most importantly: Don’t rely too much on other people’s advice. Your money, your decisions. Learning and gaining experience is the only way to truly build a solid foundation in this market. This will not only help you make informed decisions but also avoid falling for market scams.
6. The ultimate goal is a meaningful life
Cryptocurrency can be a means to an end, but it is not the end. Ask yourself: will cryptocurrency help me live a better life? If the answer is yes, go for it; if not, re-evaluate your strategy.
7. Cryptocurrency - From Technology to Macroeconomics
Cryptocurrencies were originally developed as a technology, but today they are no longer simply “digital assets” but part of the global financial market. Macroeconomic factors, monetary policy, inflation, all affect the value of cryptocurrencies. So, equip yourself with a little knowledge of the traditional market to better understand the factors that affect your assets.
Conclusion: Seize the opportunity before it's too late
Once the masses jump into Bitcoin, the opportunity may not be there anymore. Don’t wait for the market to become mainstream. Take action, invest wisely, build a meaningful strategy, and shape your future.