Lessons from investing in “100x Coins”

In the comment area of ​​the article "Base Chain Degen's 1,000-fold Growth Road" on April 2, some readers left messages asking if I could recommend a few potential coins.

In my last Twitter exchange, I clearly responded to the audience about this expectation: I never recommend any coin except Bitcoin and Ethereum.

I have talked about the coins I have invested in, and I have also talked about the coins I have bought, but the purpose of sharing them is to share with you my thoughts and reasons for buying these coins, rather than recommending you to buy them.

I hope that everyone can summarize and organize their own set of ideas and methods from my experience and lessons.

Many times, even if a real "100-fold coin" is right in front of you, it is impossible for many people to get a 100-fold return from it.

Because everyone has different cognition and size, they will have different cognitions on the same coin at what price to buy and sell, which will lead to different behaviors and different results.

"My medicine is his poison" is exactly this truth.

In addition, I also wrote an article on May 8, 2023, "Why is there no clear 100x coin?" This article expresses my thoughts more comprehensively, and I recommend you to read it when you have time.

I have learned a lesson about 100x coins. Today I will share with you a regretful past experience of mine on LINK.

LINK (Chainlink) is an old coin during the 2017 1CO. In the bear market that began in 2018, it was lucky that it did not disappear silently like other once popular projects, but survived with difficulty, and occasionally some news would be spread in the market.

At that time, all the former ICO projects died or struggled. People were full of doubts about the future of the crypto ecosystem.

Although Ethereum is slightly better, no one can see a clear route for the future of Ethereum's ecosystem.

Some people occasionally mention some projects that were later called DeFi, such as MakerDAO, Kyber, etc., but at that time, they did not look like what they would later look like in terms of "appearance" or "figure".

At that time, because I was always very persistent in "all-chain" activities, I was particularly optimistic about the projects in the DAO track, but not very optimistic about DeFi. In addition to DAO, I looked around and felt that there might be hope, but I also guessed that the oracle might be worth buying?

So, I bought LINK with an indifferent and absent-minded attitude, and the price was probably between $0.4 and $0.5.

After buying it, I never paid attention to it again.

Around July 2020, LINK began a wave of explosive pulls, during which good news continued, pushing its price up to $8.

At this time, the significance and importance of the oracle track had become a "prominent subject", and its value was publicly recognized.

Despite this, I thought at that time that the price of LINK had risen so high in a short period of time that a huge bubble had appeared; coupled with the fact that the crypto market had not yet entered the bull market as a whole, I thought that when the overall market had not yet risen, it was obviously problematic for a single coin to rise so much.

So, I threw away LINK without hesitation.

Later, in the following bull market, LINK not only exceeded $8, but also rose to nearly $50.

After having this regret about LINK, I reviewed the coins that I actively bought in that round of bear market but later sold all of them before the bull market arrived, and found that basically as long as the project itself had no major problems, they would have a better performance in the bull market later, and basically would exceed the so-called "peak" they reached at the end of the bear market and the beginning of the bull market.

So at that time I decided to strictly restrain myself in this regard and learn this lesson in the next round of bear market: for the coins that I actively bought and were optimistic about, as long as the team had no major problems, no matter how much they rose before the bull market, I would ignore those small profits and bring them to the middle and late stages of the bull market to cash out.

In this round of bear market, except for ETHS, I did not control my hands and sold it because I subjectively believed that it rose too high, I never repeated this mistake for other coins.

Even for ETHS, after selling it, I found that I violated the discipline and regretted it very much. This also made me stick to this principle ever since.