How to regain confidence and start over on the battlefield of encryption after being defeated?

When the account number rises one day, you will suddenly realize: investing in this 'game' has already become part of life.

Written by: ian

Compile: Luffy, Foresight News

Lately, I have heard many regrettable stories from investors: significant profit setbacks, even losing everything. But don't lose hope, since you have made profits before, you can do it again. I have had similar experiences, so I want to share some thoughts on how to bounce back.

Treat trading as a game

Do you still remember the first time you stepped into the fantasy world of 'Elden Ring' and suffered more than ten times from the embarrassment of being abused by the 'Kite' Tree Sentinel before figuring it out? Do you still remember the feeling when you finally reached the Platinum rank after being stuck in the Bronze rank for several months?

After experiencing countless 'rug pull' scams, you finally got your first 5x return on a Memecoin. After toiling for several months, you received your first generous airdrop. These moments are filled with dopamine rush and a sense of achievement!

Temporary farewell to the hustle and bustle, return to life

At this moment, if you are feeling down due to investment losses, why not press the pause button first. Get back to real life, spend more time with family and friends. Maintain a regular schedule, eat healthily, exercise vigorously, and let your body and mind rejuvenate and regain vitality. Consider these seemingly unrelated daily routines as side tasks to enhance yourself. Just like in a game, by completing side tasks well, the main character's attributes will greatly increase, allowing you to deal with main challenges more calmly.

Be aware that the market never lacks opportunities, as long as you stay sharp and prepared, you can seize them again. But the premise is that you have a healthy body and a clear mind.

Return to the "battlefield", strategy comes first

When you adjust your state and get ready to return to the investment 'battlefield', don't rush into battle. Before you start, write down all the mistakes you made in the last round and create a plan, establish a risk management framework that you must follow.

A qualified framework should include capital allocation rules, risk exposure rules, and most importantly, stop-loss rules. I have witnessed too many investors, who, just as they have made some profits, are driven by greed to rashly reinvest the profits in new high-risk projects, often ending up with nothing. Remember, only by securely pocketing the profits, converting them into legal tender, using them to repay debts, and showing gratitude to family, can it truly be considered your wealth.

Traveling with the team

If you don't have a team yet, find or create a core communication group, with a smaller scale and members who are high-quality talents you can trust. It's cool to pass the game alone, but it's better and more fun to pass it with a skilled and diverse team.

Resource Management

Now that you are energized and have a plan, how do you get started? In every game, you need resources to roll the snowball and ultimately move towards victory.

In Age of Empires, you have wood, food, stone, and gold; in League of Legends, you have gold, mana, and so on; in chess, you have pieces and time; the same goes for investment trading, where your capital and time are your resources.

In my opinion, there are two ways to balance these resources when you restart or get into investment trouble:

1. Ultimate Maximize Mode

You work in the Web3 field, ideally at a fund company or research institution. This allows you to immerse yourself in this 'game' 24 hours a day. The intensity is high, the investment is also high, you are always online, and your free time is spent browsing Twitter and Telegram. Every aspect of your life revolves around cryptocurrency. Insider information will be sent to you privately, and opportunities will arise frequently.

You advance quickly because you are always at the forefront, but it is also very tiring. It is easy to burn out. If you don't carefully make time for your side tasks (such as returning to real life and staying healthy), it is easy to fall into a narrow vision. This is a typical trade-off brought about by maximizing to the extreme.

2、Balanced Mode

If you have much less time to invest in this 'game,' choose this mode. You may have a job in the Web2 field (which is your area of expertise), or a non-research/investment job in the crypto field. You won't spend all day browsing Twitter or hanging out in Telegram or Discord channels.

It's okay! The operation frequency is low, but it can continue to generate resources. You can still win like the tortoise in the fable of the tortoise and the hare.

You won't be anxious about every market trend. You have time to look at the problem from a macro perspective, make more confident decisions, and avoid emotional control. You may choose to simply invest in mainstream cryptocurrencies on a regular basis, and outperform ordinary retail traders. If you are willing, over time, you will have the ability to provide funding for yourself to transition to an extreme maximization mode, in order to achieve snowball growth in the later stage.

Find Your Motivation

On the long road of investment, it may be helpful to ask yourself from time to time: Why did you venture into this field? Is it for financial freedom, to have more choices in life, or to prove yourself? Whatever the answer, when one day the number in your account soars, you will suddenly realize: Investing in this 'game' has already become integrated into your life, becoming a career of continued passion and relentless pursuit.