• Disclosure
  • Privacy Policy
  • DMCA Policy
  • CCPA
  • Medical Disclaimer
Monday, January 30, 2023
Johnson County News Online
  • Home
  • News
  • Business
  • Technology
    • Crytpocurrency
    • Gaming
    • Gadgets
  • Sports
  • Health
  • General
    • Business Services
  • Travel
  • Press Releases
  • Popular
No Result
View All Result
  • Home
  • News
  • Business
  • Technology
    • Crytpocurrency
    • Gaming
    • Gadgets
  • Sports
  • Health
  • General
    • Business Services
  • Travel
  • Press Releases
  • Popular
No Result
View All Result
No Result
View All Result
Home Technology Crytpocurrency

Put Away Your Tears: Crypto Is About More Than Prices – Yahoo Finance Australia

by NewsReporter
January 25, 2022
in Crytpocurrency
put-away-your-tears:-crypto-is-about-more-than-prices-–-yahoo-finance-australia
Share on FacebookShare on Twitter

Take off that McDonald’s hat, boyo, and return to the screen: Bitcoin is up 10%. Favorite altcoins of day traders ETH, LUNA and ATOM are also up and to the right. The trading lines are green, even if your total investment is in the red. This is not financial advice.

Today’s market bounce, which may or may not be of the dead cat variety, is just another data point in crypto’s historically volatile lifecycle. It’s this volatility that many investors are after when they enter the market, the same volatility that causes so much pain for unprepared, over-leveraged buyers.

This article is excerpted from The Node, CoinDesk’s daily roundup of the most pivotal stories in blockchain and crypto news. You can subscribe to get the full newsletter here.

Some will look at the past six weeks of crypto market spasms at wonder, “when should I buy in?” Crypto was once a $3 trillion asset class, and even ex-Goldman Sachs CEO Lloyd Blankfein said today this stuff is not going away. Others will declare, “I’m staying away forever, it’s irrational.”

There is likely a middle ground, a sound opinion to hold. I’m not an investment wiz, I’m a reporter who covers fake internet money, but I can say the only appropriate way to invest in crypto is to invest with conviction.

This seems obvious, but crypto’s structural attributes – tokens are unmediated, globally accessible 24/7 buying opportunities – make it so scams often appear to be the more attractive buys. If you could only time the market, you’ll be part of the pump rather than the dump.

So far, we’ve been talking around the idea of FOMO, the fear of missing out. When do you buy in? Should you, could you avoid FOMO forever? It’s the critical mechanism that drives so much of the modern economy – the admixture of desire inculcated by branding, speculation driven by envy and the human urge to have a good time.

There are a lot of hype machines in crypto, and a few projects that exist beyond the spectacle. Ponzinomics are baked into these techno-economic tools: the way to align incentives and attract the right kind of self-interested buyers to build communities. But cutting out the middleman and relying solely on behavioral economic mechanisms means just about all tokens are subject to hyper-capitalistic exploitation. Unfettered markets: a blessing and a curse.

Moreover, as an asset class, crypto lives and dies in almost heroic narrative arcs. When it goes down, it has a tendency to crash and burn. When it goes up, a gaggle of smart-money suits will write Twitter threads about how decentralized tech will disrupt everything from finance to vidya (games).

It’s hard to find the time to think critically about crypto-economics and product-market fit when commentators are so breathless, when the numbers are going gangbusters or driving into the dirt, but you must. You cannot time the markets, and you should know you’re often buying into an adverse environment where early adopters hold more than you could ever afford.

Be smart, read these:

  • Buying Your First Crypto? 10 Things You Should Know

  • Compounding and Saving in Bitcoin: The Power of a Dollar Cost Averaging

  • 4 Things to Do in a Crypto Bear Market

Right now, from what I can piece together, the Federal Reserve, the U.S. central bank, is pulling the ultimate put on the entire economy. It seems like many retail crypto investors are still holding, but they also haven’t been accumulating for the past couple of months. Whales, those bitcoin holders with at least 1,000 coins, by and large rotated their wealth in stablecoins.

What do you do with that information? It is too much to handle, too much to make sense of, at least for me. I don’t want to throw money into crypto even if it seems like a discount, only for the market to tank, and potentially never recover. But my savings account is also moth-eaten by inflation.

Risk is either volatility’s close cousin or alter ego depending on how you look at it. The term “beta” captures both without assigning a value judgment. Saying crypto is a high-beta asset class threads the needle between its systemic hazards and insane price fluctuations. But buying crypto’s beta could be more than a speculative bet, if you have conviction.

Crypto is not an investment for everyone, and you should never, ever risk more than you can afford to lose. Promise me you won’t. But there are a few projects that I have the misfortune of actually believing in. No crypto will ever, or should ever, be central to the majority of economic activity, but it can present viable solutions to real problems.

Decentralization is a powerful force. Some cryptos could rise to that level and become something akin to modern-day public goods infrastructure, meaning they’re accessible to all and under the sway of influence to none. Investing in crypto, for the long haul, is investing in that idea – that’s its beta. But you don’t actually need to own anything to, one day, hopefully benefit.

Related Posts

crypto-crunch:-the-latest-news-in-blockchain,-cryptocurrency,-and-nfts:-april-14-19,-2022-–-innovation-&-tech-today

Crypto Crunch: The Latest News In Blockchain, Cryptocurrency, And NFTs: April 14-19, 2022 – Innovation & Tech Today

by NewsReporter
April 14, 2022
0

Another exciting week in the world of cryptocurrency and NFTs has arrived! In this week’s Crypto Crunch, I talk about some of the most exciting news and developments sweeping across the industry and globe, including but not limited to: Robinhood Adds Four New Cryptos To Its Platform, UFC Bonus Payouts in Bitcoin, NFT...

be[in]crypto-video-news-show:-the-lightning-network-–-beincrypto

Be[In]Crypto Video News Show: The Lightning Network – BeInCrypto

by NewsReporter
April 14, 2022
0

In this episode of BeCrypto’s Video News Show, host Juliette Lima explains Bitcoin’s popular Layer-2 payment solution, the Lightning Network. While Bitcoin usage has increased dramatically, this has come with a subsequent uptick in transaction times and fees. At a lackluster seven transactions per second, Bitcoin’s network is effectively inefficient...

stablecoins-see-growth-with-crypto-market-stuck-in-‘bearish-lull’-–-cryptonews

Stablecoins See Growth With Crypto Market Stuck In ‘Bearish Lull’ – Cryptonews

by NewsReporter
April 13, 2022
0

Source: AdobeStock / AdriaVidalA “bearish lull” in the crypto market fuelled growth in stablecoins, with the market capitalization of the top five stablecoins growing by 13% in the first quarter, according to a new report from the coin tracking site CoinGecko.The growth in the market capitalization of stablecoins is notable...

justin-bieber,-gwyneth-paltrow-and-ashton-kutcher-are-among-dozens-of-celebrity-investors-piling-into-crypto-startup-moonpay-–-cnbc

Justin Bieber, Gwyneth Paltrow And Ashton Kutcher Are Among Dozens Of Celebrity Investors Piling Into Crypto Startup MoonPay – CNBC

by NewsReporter
April 13, 2022
0

MoonPay CEO and co-founder Ivan Soto-Wright speaking at the Bitcoin 2021 conference in Miami, Florida.Eva Marie Uzcategui | Bloomberg | Getty ImagesWhat do Justin Bieber, Gwyneth Paltrow, Snoop Dogg and Ashton Kutcher all have in common? Aside from being A-list celebrities, they're among more than 60 new investors in fintech...

Johnson County News Online

© 2021 Johnson County News Online

Navigate Site

  • Disclosure
  • Privacy Policy
  • DMCA Policy
  • CCPA
  • Medical Disclaimer

Follow Us

No Result
View All Result
  • Home
  • DMCA Policy
  • Medical Disclaimer
  • Privacy Policy
  • Disclosure
  • CCPA
  • Terms of Use

© 2021 Johnson County News Online

We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept All”, you consent to the use of ALL the cookies. However, you may visit "Cookie Settings" to provide a controlled consent.
Cookie SettingsAccept All
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. These cookies ensure basic functionalities and security features of the website, anonymously.
CookieDurationDescription
cookielawinfo-checkbox-analytics11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Analytics".
cookielawinfo-checkbox-functional11 monthsThe cookie is set by GDPR cookie consent to record the user consent for the cookies in the category "Functional".
cookielawinfo-checkbox-necessary11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookies is used to store the user consent for the cookies in the category "Necessary".
cookielawinfo-checkbox-others11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Other.
cookielawinfo-checkbox-performance11 monthsThis cookie is set by GDPR Cookie Consent plugin. The cookie is used to store the user consent for the cookies in the category "Performance".
viewed_cookie_policy11 monthsThe cookie is set by the GDPR Cookie Consent plugin and is used to store whether or not user has consented to the use of cookies. It does not store any personal data.
Functional
Functional cookies help to perform certain functionalities like sharing the content of the website on social media platforms, collect feedbacks, and other third-party features.
Performance
Performance cookies are used to understand and analyze the key performance indexes of the website which helps in delivering a better user experience for the visitors.
Analytics
Analytical cookies are used to understand how visitors interact with the website. These cookies help provide information on metrics the number of visitors, bounce rate, traffic source, etc.
Advertisement
Advertisement cookies are used to provide visitors with relevant ads and marketing campaigns. These cookies track visitors across websites and collect information to provide customized ads.
Others
Other uncategorized cookies are those that are being analyzed and have not been classified into a category as yet.
SAVE & ACCEPT