It's not the market that moves, it's the heart that moves

It is not easy to survive in the investment, we often hear that other people make money. But the truth about investing is that only a few people always make money. It's a brutal game.

There are cycles in the economy, and there will be bulls and bears in the market. There is no market for all cows or all bears. This is true of any market. Everyone will have their own way to survive the investment, to find their own nature is the best plan, can not copy the path of others. Some people like to trade, some invest in basic projects, some invest across cycles, and each plays differently.

But one thing is important. In the long run, if you're an investor, the more you focus on prices, the worse you're likely to end up. There is a sense of omnipotence when one makes money easily through trading. Eventually, the market will redistribute the proceeds. Whether you can earn it and keep it, basically depends on your heart.

The act of investing or trading essentially reflects something inside a person, such as a balance of desire and restraint. It determines what people do, whether they buy, sell or hold. Every action is not accidental, there is a logic behind it, every thought is not independent, it is based on the judgment and decision of the individual on money, fundamentals, speculation, the market, desire and many other factors.

As Huineng said: People see the flags moving or the wind moving. In fact, the flags are not moving nor the wind is moving, but the heart is moving. In other words, it's not the market that moves, it's people's hearts.

The really good question is never: When will it start going up? How high can it go? Or when and how far can it fall? If you don't believe it is a trend, then it is best not to hold it, otherwise it will stir your heart at any time, will affect all the following operations, the final result is often a failure. A restless mind is a restless mind.

Why is there a good side to bear markets?

First, bear markets clean up bad investments. During the bull market, everyone raised too much money. Some projects just have a white paper and raise hundreds of millions of dollars. In the last few years, blockchain investment has been crazy, many projects will disappear. This is also a good thing, because the resources of the bad projects will be allocated to the good projects. According to Austrian business cycle theory, good companies and projects become even better as markets adjust. In other words, money will flow from bad projects to good ones. That's a good thing.

Second, bear markets can show what really matters. Under the pressure of a bear market, only the truly useful survive. We can figure out what's most important to people, because in a bear market people are careful about what they want. People no longer participate in 1C0's. People start to look at what they see, and they start to make more rational choices. People no longer worry about missing out. Smarter markets are a good thing, because a better allocation of capital can lead to a more prosperous future.

Third, bear markets can teach you to work smart and hard. In a bull market, jobs are plentiful. In a bear market, jobs are hard to find. This means that, as a candidate, one has to offer real value, and it also means working smart and hard. In a bear market, a person who does not provide real value is fired.

Finally, bear markets can develop themselves. A lot of people complain about how lucky Bitcoin's early adopters were. Long-term holders are not lucky, they have certainty. A lot of people bought bitcoin in 2011-2012, but a lot of people sold it because to them it was a toy, a game, a transaction. They don't know much about Bitcoin, and maybe they don't believe in it. Holding for a long time is not easy, especially in a bear market. When an asset falls by more than 80%, do you hold on to it? Easy in a bull market. It takes conviction to go through a bear market and hold on.

You have to make sure you don't squeeze out your position and live frugally. You have to plan your future carefully and try to stay true to your values. The bull market gives you space. Bear markets make you make some tough choices. If you can experience this, it's an opportunity to develop yourself.

Change of thinking

My father bought me my first investment book when I was a teenager because he saw how obsessed I was with learning how the world of capital worked. The books he bought me were "Financial Peace" by Dave Ramsey and "Rich Dad, Poor Dad" by Robert Kiyosaki.

What's interesting is that both books are equally about the author's view of the world. As far as I can remember, my good father did not read any of these books, but bought two of the best-selling finance books from Barnes and Nobel.

All of Ramsey's businesses are based on the belief of paying for everything in life in cash and paying down debts as soon as possible. Kiyosaki talks about creating companies and using loans that can help you grow your business faster.

But another important point Kiyosaki makes in his book, which I think is an investment guide, is that you should diversify your portfolio using several different commodities, because commodity markets usually ebb and flow, and when one market goes down the other side is going up. By diversifying your investments, you can increase returns and reduce the risk of your overall portfolio.

conclusion

Bear markets are a necessary part of any economy, especially after the overheated investment of the past few years. This leads to a reallocation of resources to projects that people really want. There has been too much deviation in the crypto space over the past few years and it needs to be realigned based on actual utility, not on promise.

Pulling off such a correction won't be easy, but it may be worth it if you can pull yourself out of a bear market. Because the next bull market is going to pay off.

It's not the market that moves, it's the heart that moves

It is not easy to survive in the investment, we often hear that other people make money. But the truth about investing is that only a few people always make money. It's a brutal game.

There are cycles in the economy, and there will be bulls and bears in the market. There is no market for all cows or all bears. This is true of any market. Everyone will have their own way to survive the investment, to find their own nature is the best plan, can not copy the path of others. Some people like to trade, some invest in basic projects, some invest across cycles, and each plays differently.

But one thing is important. In the long run, if you're an investor, the more you focus on prices, the worse you're likely to end up. There is a sense of omnipotence when one makes money easily through trading. Eventually, the market will redistribute the proceeds. Whether you can earn it and keep it, basically depends on your heart.

The act of investing or trading essentially reflects something inside a person, such as a balance of desire and restraint. It determines what people do, whether they buy, sell or hold. Every action is not accidental, there is a logic behind it, every thought is not independent, it is based on the judgment and decision of the individual on money, fundamentals, speculation, the market, desire and many other factors.

As Huineng said: People see the flags moving or the wind moving. In fact, the flags are not moving nor the wind is moving, but the heart is moving. In other words, it's not the market that moves, it's people's hearts.

The really good question is never: When will it start going up? How high can it go? Or when and how far can it fall? If you don't believe it is a trend, then it is best not to hold it, otherwise it will stir your heart at any time, will affect all the following operations, the final result is often a failure. A restless mind is a restless mind.

Why is there a good side to bear markets?

First, bear markets clean up bad investments. During the bull market, everyone raised too much money. Some projects just have a white paper and raise hundreds of millions of dollars. In the last few years, blockchain investment has been crazy, many projects will disappear. This is also a good thing, because the resources of the bad projects will be allocated to the good projects. According to Austrian business cycle theory, good companies and projects become even better as markets adjust. In other words, money will flow from bad projects to good ones. That's a good thing.

Second, bear markets can show what really matters. Under the pressure of a bear market, only the truly useful survive. We can figure out what's most important to people, because in a bear market people are careful about what they want. People no longer participate in 1C0's. People start to look at what they see, and they start to make more rational choices. People no longer worry about missing out. Smarter markets are a good thing, because a better allocation of capital can lead to a more prosperous future.

Third, bear markets can teach you to work smart and hard. In a bull market, jobs are plentiful. In a bear market, jobs are hard to find. This means that, as a candidate, one has to offer real value, and it also means working smart and hard. In a bear market, a person who does not provide real value is fired.

Finally, bear markets can develop themselves. A lot of people complain about how lucky Bitcoin's early adopters were. Long-term holders are not lucky, they have certainty. A lot of people bought bitcoin in 2011-2012, but a lot of people sold it because to them it was a toy, a game, a transaction. They don't know much about Bitcoin, and maybe they don't believe in it. Holding for a long time is not easy, especially in a bear market. When an asset falls by more than 80%, do you hold on to it? Easy in a bull market. It takes conviction to go through a bear market and hold on.

You have to make sure you don't squeeze out your position and live frugally. You have to plan your future carefully and try to stay true to your values. The bull market gives you space. Bear markets make you make some tough choices. If you can experience this, it's an opportunity to develop yourself.

Change of thinking

My father bought me my first investment book when I was a teenager because he saw how obsessed I was with learning how the world of capital worked. The books he bought me were "Financial Peace" by Dave Ramsey and "Rich Dad, Poor Dad" by Robert Kiyosaki.

What's interesting is that both books are equally about the author's view of the world. As far as I can remember, my good father did not read any of these books, but bought two of the best-selling finance books from Barnes and Nobel.

All of Ramsey's businesses are based on the belief of paying for everything in life in cash and paying down debts as soon as possible. Kiyosaki talks about creating companies and using loans that can help you grow your business faster.

But another important point Kiyosaki makes in his book, which I think is an investment guide, is that you should diversify your portfolio using several different commodities, because commodity markets usually ebb and flow, and when one market goes down the other side is going up. By diversifying your investments, you can increase returns and reduce the risk of your overall portfolio.

conclusion

Bear markets are a necessary part of any economy, especially after the overheated investment of the past few years. This leads to a reallocation of resources to projects that people really want. There has been too much deviation in the crypto space over the past few years and it needs to be realigned based on actual utility, not on promise.

Pulling off such a correction won't be easy, but it may be worth it if you can pull yourself out of a bear market. Because the next bull market is going to pay off.