Robert Testagrossa – Why Crypto May Not Be For You

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Currently we are seeing more newbies get investing in crypto than ever before, and this makes the market all that little bit more exciting. Unfortunately however this also makes the market a little more unpredictable, because these investors act in different ways. I heard crypto expert Robert Testagrossa liken this to a pool player playing someone who doesn’t know how to play. Although things should be easier, they are in reality harder given the unpredictable nature of how they will play their shots.

The truth is that whilst crypto offers a very good opportunity for many investors, both in the long and the short term, this is not a market for everyone. This is sadly what a lot of people have found out in recent years, and have lost money as a result. Here is why this is just not the best kind of market for many investors.

Faith in the Run

The key to making money from investments is to keep on taking profits whilst the going is good. What we see most professional investors do is take out around 10% of their investment from time to time. Unfortunately however there are many investors who fail to do this, and they end up thinking that a bull run will go on forever, which it won’t. The point of taking profits is to protect when the bear run comes, but many fail to grasp that.

FOMO Investors

The worst type of investors are those who buy and sell based on the fear of missing out, these people almost always lose their cash. What happens here is that they see the price begin to rocket and so they jump on and buy more, thinking it will keep going, which it rarely does. These people also see a price tanking and then decide to panic sell, instead of buying more which most full time investors do. The ideal scenario is to buy at the bottom and sell at the top, not the other way around.

Get Rich Quick

If we look at the way in which the crypto market shot up between December and March, there is no doubt that a lot of people would have gotten quite wealthy. The difference however is that most of these went in heavy to start with. Sadly this has prompted many more people to think that they can also get rich quick, and so they are pumping a lot of their cash into crypto. Those who will make the most money from cryptocurrency are those who are in it for the long haul. There is a very small percentage of people who will get lucky and pump their cash into a small alt coin which booms, but in the main this will only result in lost money. There is a slim chance of getting rich quick from crypto, unless you have millions to pump into it, in which case you would be rich already.

Be careful out there guys, this isn’t for everyone.

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