3/ -- WHAT'S HOT TOMORROW --
The herd buys what's hot now. A while ago it was defi, now it's gaming.
Crypto gaming is still new, it's only getting bigger. However, the hype is so high that bad games or games that are 5 years from release are worth 10x what they should be
4/ #Gamefi still has a long way to go and there is no reason not to get in on good gaming tokens. Even good new ones.
However, if you missed the massive moves on $SAND, $MANA etc you probably won't see the parabolic gains again.
You need to look for what's next.
5/ In my opinion, four sectors stand out.
1. Web3 2. Privacy 3. Adult entertainment 4. Gambling
I'll stay invested in gaming, but for parabolic returns I'll buy a small amount in each of these sectors. 3 and 4 are the highest risk, so 1 and 2 are the main focus.
6/ -- SPREADING RISK --
I see a lot of people approaching crypto with the mindset of going all in on two to three projects. Which may work fine for larger, established projects.
If, like me, you are investing in new sectors that you expect to breakout, it probably won't work.
7/ I didn't just happen to buy the best gaming cryptos at great prices. I bought a lot of projects. Many of my picks went sideways, down, and a few even rugged.
The good ones made up for the losses I suffered on the bad.
8/ Spreading risk over 20 projects instead of 2 will give you a greater chance of catching some huge wins and will mean the rugs and crabs hurt less.
My approach is to spread risk as much as is feasible. This is why I was able to catch $ILV, $SAND, $MANA, $AXS etc.
9/ -- BE FLEXIBLE --
I didn't invest only in gaming. I also invested in L2 blockchains because I expected parabolic moves. Some L2 cryptos moved, but it wasn't anything like gaming.
I could have married myself to the idea that L2 would rally and stayed in losing trades.
10/ Instead, I was flexible. I recognized that my thesis was wrong, I sold at a loss, and I reinvested the money into gaming.
You can't always be right, but you can make the right decisions when you are wrong.
Usually the right decision is admitting you are wrong.
11/ -- WHERE IS THE MONEY --
I invested in gaming because it's a market worth almost 200 billion and there are trillions of gamers in the world.
I looked at where the money was, I saw gaming moving into crypto, I figured if even a fraction of that money moves over it'll be huge.
12/ That's what I am doing with the sectors I listed above. An example from the privacy sector is the VPN market, worth $30-$40 billion and growing. I will be looking at VPNs that integrate blockchain tech and create a token $VPND is one. Privacy is why I like $ROSE.
13/ -- WHAT IF YOU'RE WRONG --
The best part of investing early is you do not need to invest a lot to make a lot. Small investments can turn into huge gains if something does a x200.
So worst case I lose a few thousand, best case I make a few hundred thousand or a mil.
14/ -- ANALYSIS --
Technical analysis is very useful for managing positions after they take off. However, for picking the best projects, fundamental analysis is key.
So brush up on tokenomics and reading white papers, you know, the fun stuff.
15/ -- PROFIT TAKING --
I will be taking profit aggressively, as always. The only way to not go to zero when the market gets bearish is to take profit. New projects like the ones I will be investing in might not survive a bear market. So taking profit is essential.
15/ -- TLDR --
Find the next breakout sector, invest early, spread your risk, be nimble and adapt, focus on fundamentals to find projects and take profit aggressively.
My top picks for breakout sectors are
1. Web3 2. Privacy 3. Adult entertainment 4. Gambling
16/ Don't just wait for me to share what I buy. DYOR and find good projects in these sectors. I will share mine when I enter them.
If a bear market comes, I will wait for it to bottom and buy projects that survive.
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1/ I don't care much about this latest dump because I've been methodically taking profit on almost all my investments.
I've talked about this before in other tweets, but in this I will show you real world example with $UOS.
2/ I love $UOS, I think it is an awesome project and I believe that it is a long term gem. I want to build up a large bag of UOS by buying the dips.
When people say "buy the dip" they never explain where the money comes from. Are you meant to have an unlimited supply?
3/ Buying the dip requires you to take profit at key levels and reinvest on dips. Many say, "what if no dip?". Well in that case you can't buy back in, and you won't make as much money as you would have had you held. However, there is almost always a dip, so odds are you get one.
1/ #Tokenomics are essential when researching a project. You can eliminate 50% of projects on tokenomics alone. In this tokenomics MEGA-THREAD I'll break down BEGINNER tokenomics. In this one, I'll break down vesting and presale investors.
Keep reading below.
2/ -CIRCULATING VS. TOTAL-
Most #cryptos will not release their total supply at launch. Supply will be released slowly over time. Bitcoin is an example of this. It has a total of 21m and a circulating supply of 18.89m.
3/ -TIME TO TOTAL (TTT)-
TTT is the time it will take for the total supply to be reached. If you see a new project with a total supply of 10m, a circulating supply on release of 500k, you know there are 9.5m tokens unreleased.
When will they release? This is important to know.
When I pick a good crypto I take profit religiously and reinvest the dips, or into other projects.
I research my ass off to find projects early. When I do get in late I scale in dips instead of ape.
I have a small team and we share research.
Success isn't always being right. It's about accepting when you're wrong and learning from it. It's also about working as hard as you can to achieve your goals.