Let's use the method of contradiction. If most people in the currency circle make money and a few people lose money, what will happen?
The market is a place for transactions to take place. The market itself will not generate profits. If you hold Bitcoin for a long time, the Bitcoin you hold will not produce profits.
The so-called speculation in currency to make money occurs in the process of you buying and I selling. It is nothing more than a part of the traders earning money from another part of the traders. It is a process of capital transfer. To put it bluntly, you can make money, that is, others have taken your orders at a high position. If you make money, someone must lose money.
Suppose there are ten participants in the currency circle, each with 10 yuan. If a few people make money, one of them earns 2 yuan from the other nine people, this person has 28 yuan, and the other nine people have 8 yuan, and the game can continue. If most people make money, nine of them earn 2 yuan from one person, and the nine people have 11 yuan. One person not only loses all, but also owes 8 yuan, and the game can't be played.
If a few people make money, the market is sustainable; if most people make money, the market will collapse.
It's the same as lottery. If most people can win, the lottery company can't continue to operate. Only when most people fail and a few people win, the lottery company can continue to operate.
Therefore, the currency market will try every means to make a few people make money and most people lose money.
How to become a minority of people who make money?
1. 80% of investors lose money, and 20% of investors make money. In this case, you are likely to lose money, and you don't have the professional quality of investment, then you are the pig of the currency circle, who else can be slaughtered if not you, investment is risky, and it is safer to give up.
2. 80% of investors' returns cannot outperform Bitcoin, and only 20% of investors can barely outperform Bitcoin. You are destined to outperform Bitcoin with a high probability. If you don't have a strong eye, don't chase hot coins. Just hold on to mainstream coins such as Bitcoin and Ethereum. In the end, you will find that you have outperformed most people around you.
3. 80% of people know nothing about tokens, and 20% have mastered the rules of the currency circle. Most people only know the letters of the coins and know nothing about blockchain technology. If you really want to make money, you should first enrich your brain and improve your cognition, which will directly affect your investment performance.
4. 80% of short-term investors, 20% of value investors. Except for short-term experts, frequent trading for most people is the best way to bankruptcy. If you don't understand, don't do it blindly. Don't always think about speculation. You are not that kind of material. Hold the value coins in your hands, wait for the bull market to come, and throw the pot to others at a high position.
The 80/20 rule is a universal law of nature and society. In the currency circle, a few people are destined to make money from the vast majority of people. This is an iron law. It confirms the "Matthew effect" and reveals a cold reality: unfairness is the objective law of human social development.
The 80/20 rule is an inescapable fate for individuals. We cannot change the law, but we can choose: accept 80% mediocrity or strive for 20% success.
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