Crypto Investment update

NOTE: This is not a post about how much money I had made or the insane gains I had gotten from my Crypto investment. If you are looking for success story to give you that extra nudge to start investing in Crypto, THIS IS NOT FOR YOU. Click on this link and go to GMGH blog instead… 😊.

Ok you have been warned…. So how is my Crypto investment so far?

REKT!!!!!

I started investing in Crypto late last year around November and only started with a small amount of money. After testing the Crypto water, I decided to allocate a percentage of my portfolio to Crypto. Unfortunately, this means that main bulk of my Crypto funds went in early this year when the Crypto market capitalization was at all-time high (ATH). BTC and ETH was around $20K and $1.4K USD then. Yes, I am the unlucky ones that bought some ETH at almost all time high!!!

If you have been following the Crypto market, you will know that BTC and ETH dropped to about $7K and $400 USD respectively. That’s more than a 60% dropped from their ATH and my Crypto portfolio dropped by about 60% as well. That’s the single largest drop in any investment that I have undertaken so far. Imagine if you have invested $10k, you will see that turn into $4k in a span of a few weeks!!!!

Did I see that coming? Obviously no since I bought in at ATH. But I sure am prepared for such massive drop to happen. I invested in the Crypto market knowing fully that the it is very volatile with wild swings. Hence, I only invested what I can loss and do not need urgently. As a result, I didn’t have to panic sell during that period. In fact, I managed to pick up some cheap ETH during the drop. However, as my war chest for Crypto was not massive, my average price is still pretty high.

The Crypto market had picked up quite a bit in the past weeks with BTC and ETH going back to $9k and $700 USD respectively. With this recovery I am still in the red but less red…... maybe Pink…😆

Even though this crash is not good for my wallet, it's definitely good for my growth as an investor. During the period, I had to go through the emotional ride of the massive crash, and yet had to act against the crowd as well as my own fear and buy in when ETH seems like a falling knife. Did I make the right move? Will ETH move higher than my average price or suffer another massive crash? Only time will tell. For now, I will stay vested and the returns I get in terms of experience and growth most definitely outweigh the paper losses I am seeing now.

Happy Value Investing