Friday, September 29, 2023


> Hi guys Since joining this crypto market, everyone must have had at least a few “swings” of some coins, but because they have no experience, they don’t know how to handle it? “Top swing” is experienced by everyone, even experienced people can’t avoid it. In this article, I will show the reason and some ways to handle it when we miss the project !! **I/ WHY ARE WE ‘HOWING’ ?** **1, Overview** “Swinging to the top” is the act of buying financial market assets such as stocks/crypto at high prices, with Expect the price to go even higher to get a profit. Afterward…? No then! Financially, swinging to the top is not beneficial for any investor, and no one wants to swing to the top when investing. However, everything has 2 sides, “swing the top” also has its benefits: * The peak swing makes us really need to review ourselves and choose the right direction for us. * No more fantasizing about the crypto market that everyone who invests will be profitable. **2, Common reasons** Any profession needs knowledge, without knowledge, it will be difficult like not knowing where to start,… leading to a number of problems: * Buy by KOLs, groups and communities to share the rafters and then all in. Any bets follow without finding out. Take Profit or Stop Loss is also for others to decide. My job is to enter the order and not think about it. * Buy according to spiritual factors such as beautiful logo, good project name, good vision, good destiny, … * Buy according to advertising words such as technology, technology, future abc, xyz, … Knowledge is the core of all problems, if you don’t have knowledge, you won’t be able to do anything :)) However, don’t think that having knowledge will not “swing to the top”, still swing normally (*but having knowledge will limit it*). If you have invested, you will definitely lose, but how to invest so that the amount of loss < the amount of winning. Because we have knowledge, but there are many cases that we cannot control, such as "black swans", suddenly being bankrupted by the floor, ... those are things that we cannot control. What we control is ourselves so let's learn more and practice risk management. Even the best people or large investment funds have lost money with the market when investing in the past year, for the position of individual investors like us, the "peak swing" is inevitable. **II/ HOW TO HANDLING WHEN THE SUPPLY** **1, Assess the loss and accept it.** Accepting the loss is the most difficult thing for investors. When we lose, we will be engulfed in negative emotions. Some people even come to the project team to curse. There are gentler groups, ignore it and "throw it up" in the hope of uptrend to shore. But the truth is that most projects will not return to their old peak in the next cycle. Therefore, we must have some of the following positive and correct psychology: * Accept that we have lost on this investment. Consider it an indispensable thing if you have participated in financial investment * Do not rush to sell without careful analysis * Understand that toxic projects are not useful. That doesn't help our accounts grow again and it just feels like we're taking the trash home. * Try to keep a positive mentality to find a way to handle the loss Next, it is to assess the loss tolerance of the account, is it within the limit? Evaluate how long we hold as set out in the trading plan and continue to analyze the next step. **2, Re-evaluate the project and the market situation** Many people, after swinging to the top, ignore the loss and expect it to return to shore. If the price swing is not too bad, it can still come to the shore, but most people swing to the top because of FOMO and as I mentioned above **99%** altcoins k back to the old season top and not due to other factors. Outsiders and "professionals" they do NOT consider losses like that. So we need to do our own research and answer some questions below: * What is the general situation of the market? Will the market continue to rise or continue to fall? It is imperative to make your own projections to have the next plans. * Is the project under development? What has the project updated recently? How is the influence? * What area is the project in? Will this segment be able to return cash flow in the future? What motivates the project to increase prices in the future? * What stage is the project's Tokenomics at? Will there be any selling in the future? * Conduct onchain track to see how the parties move? **3, Plan next and forecast** After considering and analyzing the above factors, we can make appropriate decisions such as: * Stop loss entirely because the project has failed price increase. * Sell a part to continue observing the project. * Continue to hold because the project only decreases according to the overall market decline and it is still in the hold plan * Continue to hold and DCA at the prices we forecast. When it comes to making a decision you have to act decisively and not think too much. You may be wondering, what if you sell it and then increase it again?... Even so, restructuring the portfolio is a must and avoiding capital accumulation. In investing, you must use logical thinking rather than making decisions based on emotions as above. **4, Cause Analysis and Lessons Learned** Here we will need to consider and analyze what is the real reason for our loss. Losing is not scary, what's scary is not knowing why you lose money. Don't make the same mistake over and over again. Here are some reasons and lessons learned: **4.1, By listening to KOLs, the community calls the bet** ⇒ Invest in yourself, learn, make your own bets. Need to evaluate and review the KOLs and communities you are following to be selective. **4.2, Due to unexpected incidents, black swans,... uncontrollable.** ⇒ Always have a risk management plan, never all in on a project. **4.3, FOMO of the news, this and that, etc.** ⇒ Practice managing your emotions and becoming more disciplined. **4.4, Lack of knowledge in a certain area** ⇒ Supplement the knowledge you need to know. Plan and schedule your studies. **4.5, Too rushed to buy** ⇒ Get in the habit of analyzing carefully, finding reasonable entry points instead of being FOMO by technology, potential,... ***CONCLUSION:*** “Swinging to the top” in the crypto market is a very common thing. Everyone has been through it. The important thing is how to cope and what to learn from those times. Don't let a moment go by without learning anything

Source: Collector



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