Don't be a slave to your emotions: 5 questions you must think through

  • To avoid emotional trading in the cryptocurrency market, investors should deeply consider five key questions about long-term strategy and market dynamics.
  • Long-term ETH holding: As Bitcoin becomes more institutionalized, ETH stands out as a leading asset for on-chain innovation. Holding ETH is crucial, especially with trends like Real-World Assets (RWA) moving onto blockchains, requiring faith through market fluctuations.
  • Altcoin value: While altcoins may seem worthless, their proliferation indicates demand. However, profiting from them has grown difficult, suggesting a need to adjust expectations rather than dismiss them entirely.
  • DeFi and NFT bull markets: Previous sustained bull markets for DeFi and NFTs have faded due to slow application growth post-infrastructure boom. Genuine "innovation" is essential for a true bull market, as liquidity becomes short-lived without it.
  • BN's industry impact: BN (likely Binance) has driven changes through events like the DeFi and NFT boom, Solana's MEME Season, and Bitcoin inscriptions. While successful business-wise, it should embrace "positive externalities" to benefit the broader ecosystem beyond its own interests.
  • Decentralization vs. corporate models: Corporate models now challenge decentralized, research-driven innovation due to their efficiency and resource advantages. However, projects like Uniswap and ENS emerged from decentralized roots, showing that synergy between both approaches is key for future growth.
  • Ultimately, there are no standard answers; investors must define their own beliefs to navigate market volatility and avoid emotional decisions.
Summary

If you don't want to become a slave to the emotions of the cryptocurrency secondary market, you must think clearly about these questions:

1) Is it worth holding ETH for the long term? With BTC becoming completely US-like, ETH has almost become the leading asset for on-chain innovation in the crypto world. So, in the upcoming RWA trend of everything going on the blockchain, if you don't even dare to hold ETH, what assets are worth holding?

Since you have faith, you must understand that faith needs time and fluctuations to be realized.

2) Is the value of altcoins actually zero? If it is zero, why are there more and more altcoins emerging? Naturally, demand determines supply. If it is not zero, why has making money by holding altcoins become extremely difficult?

Instead of fighting against counterfeits, it's more realistic to adjust our expectations of counterfeits.

3) Why has the once-familiar sustained bull market for DeFi and NFTs disappeared? Each wave of infrastructure boom ultimately awaits the explosive growth of the application market to take over. If this doesn't happen quickly enough, a long vacuum period will exist. This is the crux of the bottleneck encountered by technological innovation after MEME, and also the truth behind the increasingly short-lived liquidity.

Perhaps we have all misjudged this market; the bull market will never truly arrive until genuine "innovation" emerges.

4) What exactly has BN made to the industry? We have experienced the DeFi and NFT innovation boom in the Ethereum ecosystem, as well as Solana's MEME Season, and a period of Bitcoin inscription "pseudo-innovation" highlights. Of course, there was also the sudden rise of Hyperliquid. But since the liquidity war in the crypto space, which aimed to "make the bull market happen in BSC", everything has changed.

From a business perspective, BN has proven itself as a company, but as an industry leader, BN should learn a term: "positive externalities."

5) Can a corporate organizational model replace decentralization? The previous cycle was dominated by decentralized architectures, research-driven innovation, and community-based innovation. However, with attention and efficiency becoming the new catalysts, and with success stories led by commercial organizations, purely research-driven approaches are clearly no longer suitable for the new environment.

But don't forget that Uniswap, ENS, and others weren't conceived by venture capitalists; they were born in an era of "inefficiency but full of possibilities." Decentralized innovation research and business-oriented scalable resources and execution are never adversaries; synergy between the two is the future.

above.

There are no standard answers to these questions, but you must have your own.

Which cryptocurrencies should you hold that truly have value? Which communities should you join? What technological narratives should you follow? How can you navigate the ups and downs of the market with ease?

Behind these choices lies a test of your understanding of the essence of crypto. If you don't want to be enslaved by your emotions, you must first figure out what you truly believe in and what you are waiting for.

Share to:

Author: 链上观

This article represents the views of PANews columnist and does not represent PANews' position or legal liability.

The article and opinions do not constitute investment advice

Image source: 链上观. Please contact the author for removal if there is infringement.

Follow PANews official accounts, navigate bull and bear markets together
Recommended Reading
6 hour ago
7 hour ago
7 hour ago
10 hour ago
11 hour ago
12 hour ago

Popular Articles

Industry News
Market Trends
Curated Readings

Curated Series

App内阅读