I have been in a reflective state of mind the last few weeks. The cryptocurrency market moves incredibly quickly, and it can be very easy to get caught up in it, or lose sight of your own goals and progress. During times of FUD of attacks against bitcoin and crypto in general, taking time to take a step back and "zoom out" becomes even more important. Yes bitcoin is currently down about 34% from it's all-time high that was set earlier in the year. But it is also important to remember that just last year the price of bitcoin dropped all the way down to about $3,500. It has done a 10x in that amount of time. Last year if someone would have asked you if you would be happy with a BTC price of over $41k, we would all jump at the chance and be thrilled about it. During times of market pull-backs, it is always important to keep perspective.
As I was saying; I have been in a reflective state of mind. Thinking about how I originally got into cryptocurrency to finally "make it" financially. I was in debt, had little savings, and frankly had a poor way of thinking financially. It seemed that I was destined for a life where I would be unable to escape the daily 9 to 5 rat race. That I would always be battling debt and just struggling to get ahead. But then years ago I found bitcoin and crypto. It infected my brain like a virus. I was no longer able to see the world how I had seen it before. I had gone deep down the bitcoin rabbit hole, and been red pilled.
I then started putting money into bitcoin and ethereum. At the time bitcoin was in a real turtle-type market, meaning that it would go up and down, but generally stayed in the same range. Actually, the price was trending downwards most of the time. I felt complete confidence in bitcoin, especially with the thousands of hours I had dedicated to learning about it, but my portfolio was not increasing. This of course was in relation to its value in-terms of dollars. It is important to note that the amount of actual bitcoin and ethereum I owned continued to increase.
And then I became obsessed with passive income. I had read countless books written by the rich and they all sweared on the importance on building passive income streams. "The poor work for money, but the rich have their money work for them." This is line from the book, Rich Dad Poor Dad, that really had an affect on me. At the time crypto lending businesses and staking were just beginning and I decided to explore those opportunities. Remember, this was during the bear market and crypto valuations were still quite low. I began lending out a large amount of bitcoin and ethereum and began receiving interest payments. But I was only receiving what I would consider a pretty small amount of dollars for the interest. But I didn't quit, and continued striving to build my passive income to a larger amount. After all, as the famous phrase goes, "Rome wasn't build in a day." It does take time, and a lot of patience to make this happen. And so I continued on.
Quite some time passed and as so often has happened in bitcoin; there were some incredible price dips. Others were selling, but I literally went all-in. Some people would consider that to be irresponsible, but I saw it as a once-in-a-lifetime opportunity. These are the times that I really built up my portfolio to what it is today. And then more time passed.
Towards the end of the year 2020, when the next bull market was just beginning that is when everything began to change. Keep in mind, up until then, my dollar value growth had been quite stagnant. And then it grew, and it did so quickly. It grew to a point that would change my financial situation forever. Not only did that grow, but that original small passive income stream had now become something very significant. If I wanted to, I could pay off all of my debt, or invest into other assets, buy a home, or have a very nice nest egg for the future. Although, because I am still quite young, it wouldn't be enough for me to retire and live out my dreams quite yet.
But that leads me to my next point. If this bull run has bitcoin and ethereum going to the prices that many experts are predicting, or anywhere near it for that matter. I will have finally "made it!" Giving me the opportunity to retire if I do so wish, but more importantly, giving me options. The key thing to remember is that bitcoin and crypto are still incredibly young, it is very exciting to thing about where the market might be in 5, 10 and 15 years from.
So why did I write this? I didn't write this to show off or to boast about my situation. But I wanted to show you that if you are persistent; making it in this market is very possible. I'm sure that many of you are just like me when I began. Remember, I started off with nothing. Here are my tips or advice for you. Build a solid crypto portfolio in bitcoin and ethereum. You wouldn't build a house on a cardboard foundation, and you should build your crypto portfolio on weak foundation as well. Next, continue to invest at regular intervals. Find side hustles to be able to invest more money into the market. I sold a lot of my things laying around the house. Use crypto lending and staking to compound your assets. Have cash on the side so that you can take advantage of large price dips. And finally, continue to do this for years. That is all you have to do to get rich in this market.
So how about you? How is your progress going? How close are you to officially "making it?" Whats your bitcoin end-of-year price prediction?
As always, thank you for reading!
Slow and steady wins the race, and I think your article touches on something that a lot of people miss. It's not necessarily always about the dollars and cents, but how MUCH of an investment you have, that when it increases in value becomes more valuable on the whole rather than on the parts.
A small example of this can be expressed like this. A few weeks ago I transferred $100 to Celsius in BCH from Coinbase to earn some interest on it, and I think it was something like 0.14 BCH. I did another one the other day at a lower dollar amount per coin, but $100, and it moved 0.20 BCH.
So, in that sense, the $100 is just an immediate figure. I added more coins on the 2nd round than the 1st one.
If that makes any sense.