Why crypto cheerleaders are BAD, BAD, BAD news for crypto investors

It is the markets’ job to reallocate money from the ignorant to the intelligent, from the lazy to the hard working and studious; from the naive to the educated, and from the speculator to the investor.
— Barry Ritholtz

Something really distressing to me is the number of people following crypto cheerleaders …

An unbalanced view is a sure sign of one of two things …

  • They have no expertise - well-meaning maybe and caught up in all the hype
  • They know that this is the way to take advantage and they don’t care about you, ONLY about making money 
  • Or both
How did you go bankrupt?” Bill asked.
”Two ways,” Mike said. “Gradually and then suddenly.
— Ernest Hemingway - Sun Also Rises

There are three keys to making money in this market …

  1. Investing should be as exciting as watching paint dry. If it is exciting, it is entertainment … not serious investing.
  2. Follow the smart money
  3. Plan for the worst and hope for the best - Trees don’t grow to the sky. As much as we wish they would 

I know that is not exciting. But again … if it is exciting, I promise you are doing it wrong. And you will be the one who loses in the end. As Barry Ritholtz said, that is what markets do. That is their job.

Kim Snider