10-year-old OG: Ten insights into the encryption market

Under the crazy Bull Market, it is especially important to seize the key moments and develop a good mentality. Don't chase the market, keep researching and be humble. This article is written by EO Hao, founder of FMG, and compiled by Foresight News. Looking back at the encryption market over the past 4 years, where are we in the Bull Market? (Background supplement: Shenyu analyzes the five difficulties of Bull Market trading: learn to "dumb buying" instead of escaping the top) Hello everyone, I am the founder of FMG, BTC recently broke through the $100,000 mark, I want to share with you the core Bull Market principles after several cycles. First, emotional value In the market, the most important asset is the emotional value you give yourself. Let yourself be full of energy and mental strength, sleep well, exercise well, be in a good mood, only compare with yourself, ride on the back of a cow. Second, recognize the big right and wrong Since 2023, the market has risen 6 times from the bottom. If you still struggle with fundamentals, unlocked volume, FDV data, instead of stepping into the game and embracing risk, this wave of opportunities will be completely lost. Third, the sad truth: volatility drop Due to the congestion of the get on board and gamma scalping strategy of robot trading, the volatility of this round of BTC has been greatly reduced. Everyone knows to grab chips and knows Short. The protection of profits should be withdrawn and wait for the opportunity. In such a game, it is really not as profitable as it used to be. That's why Meme has risen, and the market needs more volatility. We also believe that the moment of reversal of the odds will come and all kinds of zones will explode. Then the cycle will also end and there will be a break. Fourth, the use of leverage Leverage (contract, margin) for a short time, over-the-counter leverage can be used for a long time, MSTR is such a trader. With the big dump and storm rise in the Bull Market, we need a combination, strategy and risk control discipline to accomplish. Here's how we structure a portfolio: core assets + growth assets + cash positions + speculative assets. The first two must be held and not moved. I couldn't help but move the last small position, a speculative asset. 6. Recognize the risk-reward ratio and reduce anxiety Core assets are stable returns, growth assets are medium to high risk-returns, and speculative assets are extremely high risk-returns. If your fren says, "I bought a project 5 times higher," don't worry, he's just buying a low-quality speculative asset. Let me explain why. 7. Core assets: limited room for decline, rising about 2 times Core assets are assets recognized by the Ministry of Finance, listed companies, and financial institutions of some countries. Newbie who doesn't need to be too expert knows that this thing is good, and you can judge by just trying, the only name. Your goal is to hoard more and more core assets in the market. For core assets, don't have too high expectations, don't cling to 200,000 or 500,000, hold until the market sentiment to sell wildly. Just accept the price at that moment. Growth assets: 4-6 times, Yao Ming in the crowd Growth assets, not nationally recognized, but supported by certain hedge funds, CEX and Defi recognition, they have a larger Liquidity. Duan Yongping said a game, how to find Yao Ming in the crowd? Most people see 1 meter 9 ordinary people from a distance and think that he is Yao Ming, in fact, it is very simple, as soon as Yao Ming enters, the restaurant must be sensational. Growth assets often conform to the scope of public perception and do not require technical knowledge. They are the most famous thing for outsiders besides BTC. Ethereum, Solana, Doge, BNB, all count the Yao of the crowd. If there's something novel, the potential rise is not as high as theirs, or only a little higher, but Liquidity is far inferior to them, it's not as good as holding growth assets, and it's recommended to skip it. In crazy markets, growth assets tend to be enough to deliver 4-6x or more returns and are relatively stable. 9. Speculative assets: Be sure to pursue more than 10 times. Speculative assets, belonging to professional players. YC's Startup Bible says to deliver 10x more user experience. Speculative assets also need to create a yield of more than 10 times to be worthy of the risk you take. So when your fren shows off how many times he earns, you should see if this is an inferior speculation. PNUT 30 days rise more than 10 times 10. What is successful speculation? I will describe three types of characteristics of speculative assets, with these talents 10 or even 100 times. The first category, the dark horse of the strong Hengqiang. The top 50 of the Market Cap have often gone through many cycles, and it is not easy to recognize this Market Cap. A fast horse can't rise so big in a short time, but if you can squeeze into the top 50, hold on to him. Network effects, the strong are always strong. The second category is new species. New species are something we've never seen before. For example, AXS in the last cycle, actually let Filipinos play games to make money? For example, this AI meme, a conversational robot can actually become a digital asset? We need to have the same funds as scouts to lay out and learn from them. Get on board before you learn. The third category, partial doors and low valuations. Because there is enough unpopularity, there is enough underestimation, the squat is low, and the jump is high. Therefore, the undervaluation is often as scarce as pearls. When everyone is busy hyping hot themes, forget about them, one by one Favourable Information, will pull the entire side door track, small market cap is easy to To The Moon. Like POL, like CRV, like HNT, etc. Summary In general, speculative assets are very difficult. We invest and hold them with profit-protected money, leaving the rest to fate and time. Those who keep an eye on the absolute yield every month every day must not do this well. I think that the investor who can cut out profits from the investment of BTC and growth assets and insist on doing this is a responsible, disciplined, and systematic pursuit of Alpha to manage the money. FMG is one such investor. Bull Market, how did the crypto worldretail investor lose money? Inventory: What are the "old altcoins" that have reached new highs in this round of Bull Market? Bull Market Guide for Old Birds: The higher the leverage, the sooner you take profit, and the potential coins are close all positions at a time "10 Years Old OG: Ten Tips for Participating in the Encryption Market" This article was first published in BlockTempo "Dynamic Trends - The Most Influential Block Chain News Media".