Thread by @MiddleChildPabk

Had a close friend just hit the 7 figure club 🙏❤️🍻

He asked me for some tips & perspective on hitting higher portfolio targets

Not financial advice
Results may vary

I see posts about coins & charts, but rarely about the phycology of getting & staying rich

Thread 🧵👇

Rough draft and testing the waters and didn't proofread for any errors 😅🙏🤝

Thought I'd just throw it out for any interested as a response I shared with my friend

A few thoughts...

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One is his questions was, "How hard was it to go from 7 figures to 8 figures?"

First $100k is difficult, moreso because it's a huge mental barrier, because most people don't make that in a year

First $1M seems like the big goal, and is extremely difficult. Mostly because you start doing stupid things to mess it up. It's hard to keep your first $1M. You get cocky and celebrate. Then the market does what it does best and you give a lot back.

You get your head back on straight and regain that level. You hit $2M much faster.

Then there's a grind to $5M. It's a weird spot between maximizing profits and preserving capital, in fear of losing your millionaire status.

Your net worth swings get bigger even tho % wise, things are similar. It gets to your head. Having your first 7 figure loss across your portfolio hurts and it's easy to make things worse from there. Discipline and strategy are key in these moments.

Have a network of support to help at these times (mentally).

And I'd say it was easier to go from $5M to $10M, than it was to go from $100k to $1M, or from $1M to $5M.

The more you have, the easier it is to make more money. BUT, it gets harder to keep it. You can't keep 7 figures in small cap / low liquidity coins. They are too volatile and you can't cash out without nuking the price and 50% of your gains in the position you have.

You do get to throw smaller chunks at more opportunities, increasing your chances at hitting big winners, while losers and rugs don't effect you as much. Say throw $10k-$50k into everything trending and play the "odds".

Much of your portfolio shifts to preserving capital. A good portion in stables to to wait for easy, mid/large cap (with liquidity) bottom range entries for 50-100% trades.

Compounding while taking less risk, but trading with larger position sizes $500k-$1M, going to short term mid 6 figure profits per trade. You get more strict about these positions and funds. You cut losses fast and look for new entries or opportunities.

You still play with 10-25% of your portfolio in small caps and anything trending or new. You let this side of you basically "start over", and start the process of making millions with this portion of your portfolio.

Things can happen fast. Up or down. You can go from a few million to 8 figures in a month, but you can also lose 8 figures in a month if you're not careful.

A weird thing that tends to happen, is associated to phycology. "Good looking" numbers.

When a coin runs from $0.17 to $1.00, we see huge sells at $1.00, because that's when the majority plan to take profits.

Likewise, when we hit our personal goals with even numbers, that's when we are most vulnerable. $100k, $500k, $1,000,000, $5,000,000, $10,000,000, etc etc. Be very cautions at these levels, it's exciting, but you can lose it fast before you have time to celebrate.

Visualize it, make a plan for when you reach those levels. Think of Indiana Jones reaching for the holy grail. Sometimes we think things will just keep going well, right on to our next portfolio targets.

Sometimes it's ok to pause, reassess and stop reaching. The market will always be here with new opportunities. It's ok to take profits and come back.

A thing to remember, always be able to stay in the game. You will make many mistakes and lose lots of money playing the game. Try not to make the same mistake more than once. If you've made money once, you can do it again.

So don't beat yourself up to much when you get best up and feel defeated. We've all been there. The ones that never give up, come back stronger and make even more after that.

I'm sure there are other successful crypto investors with their own stories, perspective, strategy & tips.

There's no, "one" right way to make and keep wealth.

There's so many ways to play the game.

It's not a competition between you and anyone else. Just you vs you.

Behind every successful investor/trader I know, is a past full of mistakes, regret, tears, pain, depression, anger, lessons learned, making & losing huge money along the way, to get to where they're at today.

The experiences on the path to success are similar for all who play the game.

Not everyone will win or see similar results, but those who are able to stay in the game, avoid repeating the same mistakes, learn, adapt & evolve, have the best chance to see huge personal growth.

🍻

*psychology

Autocorrect trolling me on my main topic 😂