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Crypto for dummies in
Greed is detrimental.
Like many, I’ve been watching the cryptocurrency world, particularly Bitcoin, with a mix of curiosity and skepticism for years. For a long time, it felt like gambling, something I steered clear of. Then, a while ago, I decided to dip my toes in, but with a firm commitment to investing, not gambling. The key difference, as I see it, lies in managing expectations and ego. A gambler believes they can predict the market, boasting about their supposed ability to time the perfect entry and exit. An investor, on the other hand, acknowledges the inherent risks and focuses on long-term growth. They accept that intuition plays a role, but that decisions should be grounded in a sound, if partially subjective, strategy.
This post explores how to develop code that supports a disciplined investment policy, moving beyond the thrill of the gamble to a more calculated approach, doc here.
After selecting a cryptocurrency, I establish a target growth expectation — perhaps doubling, tripling, or quadrupling its value. This highlights the difference between a gambler and an investor. A gambler waits for that specific target to be achieved. An investor, understanding the risk of unmet expectations, acts differently. I incorporate a margin of safety, especially on the upside (the focus here for simplicity). In this post, I’ll share…
