Not only people but also me have a misconception about crypto which is it's the most profitable way to earn money.
Than I've started to dealing with crypto for the last 10 months and now I've realized how wrong I am.
When I was a novice player in the crypto world I saw my elders were investing in crypto.
Though they were mostly investing in popular cryptos like BTC, ETH, Dogecoin etc. I've heard lots of successful profitable stories of crypto from them.
So I thought it is super easy to make some profit from crypto. Than almost 10 months ago,I engaged myself with the crypto world.
I've learned every little details about crypto and how volatile the crypto market is.Volatility is the thing that sometimes give me heart attacks.
Like I've gone to sleep having 15 USD worth of crypto and after waking up in the market I've found out I've only 13 USD.
Sometimes the opposite thing also happens when the price goes up. But the fact is you can't give 100 percent assurance that the prices will not drop.
Now let's bust a misconception about crypto, shall we? Yes, there is some chance crypto can make you rich overnight.
Or you can make some profit from crypto overnight. I've said you've some chance.On the other hand,there is still some chance you are going to lose your investment overnight. Instead of making profit, you may lose some of your investment.
If you believe your 5 USD worth of BCH will become 10 USD overnight you are very wrong.
Honestly, when I was a novice player I used to believe the same thing.On the contrary, I become way too much anxious when there was price drop even if it was only 1 percent.
Our misconception about crypto is it can make someone rich overnight or give you some profit overnight.
It's not true because of market volatility.If there is 50 percent of chance of making profit, there is also 50 percent chance of losing your investment.
Frankly speaking, we should make this volatility clear to the people who wants to join crypto world.
We should make sure they know if there is 50 percent chance of losing money, there is still 50 percent chance of getting profit. You just need to hold your breath and wait for the market to come back.
As I've said when I was a novice player, a little price drop would make me anxious. I, too was a faint hearted person.
In the past 24 hours BCH has lost 9.97 percent price which is worth of 43 USD.
In the last 7 days BCH lost 18 percent of it's price which is worth of 83 USD.
And in the last 30 days BCH lost almost 30 percent of it's price which is worth of 166 USD.
If you have no idea about the volatility and a faint hearted person seeing the above prices will make you more anxious. But I've experience so I know what is going to happen next.
But in the last one year BCH price increased upto 76 percent which is worth of 169 USD.
I'm talking about BCH mainly because that's my primary coin. Volatility is applicable not only of BCH but also for other coins.
Now let's bust another misconception here.
I've shared BCH price insights my bitcoin.com wallet. In the last one month BCH price continuously dropped.But in comparison with the last year it's price increased upto 166 USD. You've to hold your amount for a long time.
Really there is no chance of making profit overnight. After investing in crypto,if you are an anxious person, you'll have to forget that you've invested crypto.This will give you much more relief and mental peace when the prices are dropping dramatically.
Now let me show you an interesting thing which I've seen yesterday in my Payeer wallet.
Look at the BCH buy and sell orders. There were 550 BCH buying orders and only 59 BCH selling orders in contrast.
That means people are taking this price drop chance as a buying time or investing time. More people are interested in buying BCH.Only a few amount of people are selling of their BCH.
I think they are the anxious players who are selling their BCH at this price drop.It's quite obvious that they are not making any profit rather they are losing their capital.
They are selling of their BCH just they don't want to lose any more money.That's why I've said earlier BCH or any type of crypto is not for the faint hearted people.
Just like those 550 BCH buying orders,we have the experience of this type of price drop.That's why we are not panicking because we know how things can really bounce back.
Interesting thing is when you are thinking of losing your capital, people are taking it as a chance of buying some BCH. As the prices have dropped so they can buy more with less money.
Now I want to show you some statistical data from 2017 to 2021.As I've said BCH is my primary coin so these data will be based on BCH.
In the past 4 years BCH hit all time high 4 times.After hitting a record high amount,BCH price drops tremendously.
BCH all time high price was almost 3900 USD and after it's price drop, BCH price also increased tremendously.
To see more about the BCH pricing chart: https://coinmarketcap.com/currencies/bitcoin-cash/
10 months ago when started dealing with BCH it's price was around 250/260 USD.Few months earlier it crossed 1200 USD.
But now the price is dwelling around 390 USD. Ha ha ha nobody knows what the price is going to be in the next morning.
That's why I've busted two misconception and that's why I've said crypto is not for the faint hearted people.
*Based on my 10 months of crypto experience