It’s like you’ve seen the movie. You know how it goes.
And yet you pull the trigger, because you’re afraid of missing out, or you think this time is different.
Late last year a friend of mine who had made 10x in crypto in 2021 tweeted about what coins he was recommending for 2022. Having no exposure to the space, I saw his tweet and thought it was about time for me to get involved.
Almost immediately after I bought the altcoins in early January, the market started to unravel. Within a few weeks, my altcoin portfolio was cut in half and there seemed to be no end in sight.
Down another 5%. Then another 10%. Then another 5%. It was getting ridiculous. To stop the bleeding, I exited my positions in late February. When all was said and done, I had lost 70% in less than 6 weeks.
Looking back now it seems so obvious that valuations of speculative cryptocurrencies and high-growth tech stocks would collapse. The prices made no sense and we all knew they made no sense.