Isn't it what every trader knows? “Buy the lows, sell the tops” is the key to success.
Yet, how often are we able to do this?
In 2013, did you buy BTC at $60 (or even cheaper) and sell it later at $1200? Or maybe in January 2016 you bought ETH at $2 and sold it at $20 right when "the DAO" was launched? Or are you the one who bought XMR few months ago at $2, just to sell it later at $15?
If the answer is "no", don't worry. The vast majority of us aren't able to make these kind of trades. 95% of traders and investors regularly make suboptimal decisions. Its quite painful to watch the missed investment chances and even more painful to take the losses.
Can we change this situtation? There are two answers.
The "Blue Pill"
You can take the "blue pill" and believe there is some easy and fast way to become a good trader/investor. Perhaps you join a "secret" group of people who will tell you exactly when you should buy or sell. Or maybe start using a ”proven technique" that has a good track record. Or maybe trade the news… good news means its a good time to buy, right? Or, why not become a hodler? The crypto asset will go up sooner or later, right?
Its true that keeping an eye on the news and applying some technical analysis techniques can give you a better feel for market movements in some cases. Trades based on these methods can sometimes be more accurate than guessing. But it doesn't always turn out that way...
The "Red Pill"
Or, you can take the "red pill" and find your way to financial crypto reality. In this reality, you will notice that ALL of your trading decisions are emotional, regardless of what your “logic” is telling you. This is true for everyone.
We believe that there is no easy and fast way to change deep-rooted emotional reactions to swings in the market. Emotions are there to keep us alive. Responses to signals of opportunity… and danger… are encoded in our basic biology. The mind may think it can rule the heart, but the heart will always influence the mind.
The Path from Here
What we CAN do, however, is to learn how to observe our emotions and use their power. This is the driving force behind Santiment. We think that by connecting with each others and distributing the results of our collective work in a decentralized way, we can build many exciting tools and components that help people tap into the power of sentiment. And sentiment in crypto markets specifically, is just the first frontier.
Its your decision which way you want to follow... blue, or red?