I don't understand perpetual chase for 100x-es (or more). I mean, I do, it stems either from a gambler's attitude rather than a long-term investment plan, or, maybe, the fear that the dance will suddenly stop and you will be the one left without a chair.
Let's explain a bit, especially the second part. Every period of great changes comes with its share of opportunities. The earlier you are, the more you have, but also much higher risks. Regarding the crypto space, it is inevitably moving toward maturing, but that is a process, not something that will happen over night. People might think it's their last chances to strike gold in the crypto space before it will become much more difficult without an already solid base. Maybe they are right, I won't dispute this prediction.
Where I probably disagree is on the mindset. If you start from the premise that you need to strike gold now or soon or it's game over, the sheer pressure you put on yourself to succeed on the short-term (even years) is enormous. This can be a good thing if you make all the right choices at the right time, but what if you don't? What if the pressure makes you take all the wrong decisions?
What I believe is a better mindset is to choose wisely, don't diversify more than your attention span, and build gradually in projects you want to be the most involved with.
The constant chase of 100x-es often doesn't do good to the respective projects in their early stage either, often leading to pump-and-dumps, instead of long-term investments to solidify them.
If the project itself is made for the sole purpose of speculation (meme coins), their entire reason of being revolves around these pump-and-dumps. If we are talking about serious projects, which might have a bright future, dumps might bury them before long-term investors find them.
Traders are an important part of the markets because they give it liquidity, unlike long-term investors. In a way, chasers of 100x-es have an important role too, because they often pop the bubble before it gets too big. If there would be only long-term investors, we would live in an ever-growing market and the bubble would keep getting bigger and bigger.
The interesting part is that, at some point, every long-term investor can decide to take profits when the context is right or the profit threshold they had is reached. The reverse is sometimes true also, chasers of 100x can decide to keep some tokens long-term, even if they are not forced to (by locking mechanisms, for example). Sometimes they keep them over their projected profit taking level (100x or whatever), and sometimes they win big while other times they lose. A sort of all or nothing.
Even if the roles can reverse, the reason for holding the coins/tokens remains fundamentally different. The mindsets are different. A long term holder will not knowingly jeopardize a project's well-being for short-term profits sake, while a 100x chaser probably wouldn't care.
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Posted Using InLeo Alpha
