Whether you are new to cryto currencies or you have been around for awhile this could either be a basic guide or smack some sense into you. LOL
Almost all of us got in during a bubble. Otherwise we would have never heard of it or been compelled to take massive action. When you get in during this time there is always going to be a thought that "This time is different. It is never going to stop going up this time." This simply isn't true. Crypto is like the stock market or real estate market on rocket fuel. The rises are way more aggressive and the drops are way more devastating.
I'm going to talk about getting out first since we are in a boom cycle.
Getting Out
1) When everyone is bragging about how much they have earned.
2) When everyone is posting videos of their mining rigs.
3) When people are quitting their jobs and are going into crypto full time but don't have hundreds of thousands or millions of dollars either owned by them or investors floating them that much.
4) When non-technical people are talking about Bitcoin and crypto currencies.
5) When you see people who don't know what they are talking about on CNBC talking about Bitcoin.
6) When the chart looks like this.
7) When people keep making videos / posts saying Bitcoin is going to $100,000. Will it happen eventually? Possibly but when they are saying that and the price is at $1,000 or $2,000 then it most likely isn't going to happen in the near future.
8) When the crypto network you are wanting to invest in can't handle the transaction volume.
9) When the exchanges are crashing because they can't handle the surge in volume.
Getting In
1) When no one is talking about Bitcoin or other crypto currencies.
2) When YouTubers stop posting videos about mining because it isn't profitable unless you have a mining farm in China with a waterfall poring off the side of a mountain into a hydro power generator.
3) Your local Bitcoin Meetup group hasn't had a meeting in 6 months.
4) Even you start to believe in the Bitcoin Obituary Stories.
5) No one seems to care about Bitcoin or other crypto currencies.
6) You don't want to talk to anyone about Bitcoin or other crypto currencies.
7) People think you are a scammer again for ever talking about Bitcoin.
8) When people are on suicide watch because their cryto currency investments are practically worthless.
Hopefully this is helpful and others can identify with this. If you are new possibly relate it to the feeling you felt in other recession situations like the Dot com bubble burst or the real estate bubble burst. Good luck and be smart! :-)
Thank you for reading my post and please consider following me @brianphobos