Ok, so here’s what itches my brain. Say you have a $1,000 and go all-in on every trade in a bull market.
If you make 100% on a trade, then you 2x and have $2,000.
If you make 200% on a trade, then you 3x and have $3,000.
If you make 300% on a trade, then you 4x and have $4,000.
But if you make 100% on one trade and 100% on another trade, you also have $4,000 and 4x.
Cool, cool. Now we all aim for a 10x but that’s “only” 900%, still a nice $10,000 😉
Ok, ok, but we degens live through bear markets too, going down 90% is no biggy. Or is it?
If you lose 90% on a 10x, you’re back at square one with $1,000.
If you lose 90% on a 4x, you just lost $600 on your $1,000 initial and have to work up from $400. Which is a big deal, cause you’re now way more handicapped.
You need a 10x to just get back to that last 4x at $4,000.
And we all know crypto bear is nowhere as nice as –90% down. It hits you with –99% before you know what happened. Down here, you are rekt and in need of a 100x to recover.
We’re on the verge of a bull market. On the way to the top, you’ll do anything. But how will you get your life back when you get there? Protect your profits along the way. Stay hungry, stay foolish, stay degen. But! stay focused. DYOR. NFA. YOLO.