May 12•4 min read
This is an appropriate piece of my collection to personify "buying the blood". So let me introduce you to #63 of the Mars Woman collection.
We have all been there. I realize that many people in crypto right now are new to the market. Like I said, the emotional game is tough. I hope you have been reading along. So lets take a look into my thought process. Right or wrong this piece is forever going to be a part of Bitcoin. So, like I said: I put my money where my mouth is.
My first STX buys were around $1.30, my highest around $1.50, and my lowest at $.44 (yeah buddy). I am going to walk you through my thought process, this might be helpful.
I have a set number of STX that I want to own. When I realized what Stacks is, and what it does, of course I had FOMO. I have had FOMO before. FOMO and greed have wrecked me more times than I care to recall. So my first buys were to get exposure. I would look at levels on the chart and decide if that seemed like a good place to add a bit more. Simple right
They aren't dead, they are just experiencing the same market cycle that I am already familiar with. In fact they are still in their infancy, much like most of the projects in 2017. This is my thesis. You cannot have a plan without a reasoning behind your plan. Savvy? I took some of my STX and used it to buy NFTs that I like. Some of these have great potential just in terms of utility: Sigle Explorers and TRUBIT Domino/Rose collections are good examples of this. They have real world utility attached to their NFTs. Some NFTs I just buy because I think they are really cool. A good example of this is the Mars Woman collection. These represent an evolution of NFTs to me, and they are beautiful.
In my plan NFTs are a good way to leverage the STX invested, without risking liquidation. Yes, everything can go to zero, I am fine with that. I do not invest more than I can afford to lose, and I suggest you do the same.
No. It isn't. Think of it this way: When you buy Stacks you are essentially leveraging BTC. therefore when you buy an STX NFT you are leveraging your Stacks. Savvy? Taking out a 100x long on an illiquid shitcoin is bad. What I am doing is taking a bet on the ecosystem and the chads who are building it
Remember what I said about size being critical to how well I manage my emotions during a trade? If not, go read some more after you finish this one. Lets say the number of STX that I want is 1000. If I had bought 1000 at $1.30 or worse $1.50 I might have been a lot less calm as I saw the price dip to $.44. Imagine if my number is 20,000? How much more stressed would I have been? Would I have panic sold for a loss? Possibly. Would I have had any dry powder to buy the dip? Nope. Would I have been able to get some really cool NFTs at discount prices? Negative ghost rider.
When I entered Stacks my time frame was 2-5 years. My time frame is still 2-5 years. This also helped me avoid any FOMO buys or panic sells. If tomorrow STX dips to $.10 I will buy more, until I reach my goal number. This is how I am playing this trade.
I hope you found some useful information here. Remember, I am not a pro. I am telling you my thought process. I cannot tell you what to do, nor would I want the responsibility honestly. You have to have your own vision, make your plan, and put it into action. Thank you for reading, and until next time, Jack.