Are you in the world of cryptocurrencies out of conviction, or out of fanaticism? It's a question I often ask myself, but it's something everyone should ask themselves sometime.
Those who are in the crypto world for Fanaticism
If you are for fanaticism, you are similar to those who are for fashion, in fact, they are two ends of the same coin. Crypto fans support crypto even if everything can collapse at any moment; and they do not do it based on arguments that they can sustain, they are simply like a political party with a defined political ideology. Quite simply, they will be with crypto no matter what happens at all.
Those who are fashionable in the world of cryptocurrencies are, on the contrary, more fleeting, but just as unreasonables as the fans. The difference is that they will be scared by any drop in the crypto market price and will flee at the first opportunity.
But they are just as unreasonables as the fanatics, because they cannot justify, nor do they intend to, their movements or positions in the market. That is to say, they do not have rational reasons for doing what they do, they simply do it for something visceral, or emotional, that does not need, from their point of view, any justification.
Why are you in the world of cryptocurrencies?
But if you are someone rational, you are not a cryptomaniac, but you know about investments, trading and fundamental and technical analysis, then you are convinced that you are doing the right thing.
So you are someone who understands the reason why you are in the world of cryptocurrencies. You know that they have future growth potential beyond your wildest dreams, and you understand that it will affect the life of the entire planet on all levels.
You understand, then, that cryptocurrencies are more important than the value or market price they are having at the moment and that the true value lies in the integrated projects that they have behind them. You understand that cryptocurrencies are infinitely more than an alternative means of payment, but as a means of payment, as their scalability increases, they will be increasingly used, due to their enormous advantages in terms of security and registration among others.
Diversification is important
Bitcoin is the proof that attests to everything I am mentioning here. Because you don't have to be a computer expert or a genius to know that Bitcoin is a revolutionary masterpiece of computer engineering and economics, and that thanks to its emergence, all other cryptos on the market exist; and that their current value market value is much lower than its real value.
In other words, Bitcoin is severely undervalued today, and because of that, most of the strong cryptocurrencies on the market are too. But someone who is not a fan, or someone prone to following trends, could see it and understand it, that is, someone rational could take advantage of the current moment to buy, not just one specific project (as a fan would), but many at the same time, since all the solid cryptocurrencies on the market are, as I already said, undervalued.
What I'm talking about here is that it's important to diversify your crypto investment portfolio, and there's no better time to do it than when everything is undervalued. The current market moment is like going to a clothing store and finding everything with great bargains.
Of course, it is not advisable to diversify too much, but it is convenient for us to have our capital reasonably distributed among several projects, and not to be in them out of fanaticism, but for valid reasons, such as knowing the projects and the teams behind them, and because we have solid reasons to believe that they will rise in the future.
So ask yourself if you are a rational person or are you in the crypto world for fanaticism or fashion. I know that I am in the world of cryptocurrencies for a reason, because I understand and I know their enormous growth potential and I know that they will rise in the future, and I also know that they are the future.
Please tell me your thoughts on everything I commented on in the post.