Quote from: mindrust on January 10, 2025, 09:40:03 AM

Quote from: jossiel on January 09, 2025, 11:37:52 PM

Quote from: mindrust on January 09, 2025, 08:09:34 AM

I made that mistake going all in on asset. Never again. I could have won big but it is not worth having that anxiety. Anxiety makes you panic and panic makes you stupid. Going all in is a no no.

Even in Bitcoin? I have this belief that going all-in in Bitcoin is totally fine but a time will come that I'll have to diversify as well but not too much.

Quote from: mindrust on January 09, 2025, 08:09:34 AM

I have a diversified portfolio now which makes bucks even while I am sleeping. I have different assets all around the world. Every tiny share and sat I got is busting his ass to make money for me and I sleep much, much better. Not a care in the world.

This is great that you're already on this kind of life. I wanna be on this kind of state in my life soon.

You're having cash flow while sleeping so, from rent, dividends, and other passive income comes from diversified portfolio. And I guess even staking coins and interest accounts?

Yes even in bitcoin.

Bitcoin is not the only asset in the world, it is nothing special. It is just another asset in the world of finance.

Of course, we can agree to disagree.

Bitcoin remains amongst the best, if not the best asset in the world, and so failure/refusal to recognize that aspect about bitcoin likely means that you don't really understand bitcoin and you don't know how to allocate towards it or to treat it, which is too bad for you.

We know that historically bitcoin has performed the best out of any assets (especially if accounting for its widespread availability to anyone in the world), and also especially if we zoom out and we consider longer rather than shorter timelines, so in that sense, the longer that anyone has been into bitcoin and mostly errored on the side of buying it (accumulating it) and holding it and not selling it or trading it, then the more likely that he has outperformed other assets.

Sure we went over that past performance does not guarantee future results, and sure we could also imply that the more than bitcoin has historically appreciated, then that takes away some of bitcoin's future upside potential, yet it surely seems to continue to be the case that bitcoin's investment thesis is not getting any weaker, and it also seems well to be the case that bitcoin is not even close to being a mature asset yet, even though a lot of people ongoingly and continually make the mistake of assessing bitcoin as if it were a mature asset, which also has a kind of embedded assumption about them being too late to get into bitcoin (which is also wrong).

Quote from: mindrust on January 10, 2025, 09:40:03 AM

It might perform well or not just like any other asset in my portfolio and I do take profits when it starts to take over my portfolio.

Yes it is problematic to reallocate from winners and give to losers, it is like refusing to water the grass and instead watering the weeds because you are trying to treat the inferior items with a kind of equality and redistribution (reallocation) of the value from the good items to the bad ones. That is a way to ongoingly cause your asssets to underperform even though they are getting a bitcoin boost they are not getting anything close to bitcoin's true benefits including allowing it to do its natural thing, which is to compound value upon itself.

Think about the matter, since 2015, bitcoin has compounded upon itself in the ballpark of 9 times, which causes something like 256x returns.

Quote from: JayJuanGee on December 15, 2021, 02:10:03 AM

Quote from: JayJuanGee on February 16, 2024, 09:21:31 PM

So, let's look at the historical numbers and the timeline from 2015 to present again.
0) $250 (2015) 1X
1) $500 (2015-2016) 2X
2) $1,000 (2016-2017) 2X * 2 = 4X
3) $2,000 (2017) 4X * 2 = 8X
4) $4,000 (2017-2020) 8X * 2 = 16X
5) $8,000 (2017-2020) 16X * 2 = 32X
6) $16,000 (2017-2022) 32X * 2 = 64X
7) $32,000 (2021-2023?) 64X * 2 = 128X
8 ) $64,000 (2021-?) 128X * 2 = 256X
9) $128,000 (?) 256X * 2 = 512X

The power of compounding is amazing, especially when it is allowed to let itself work and not to purposefully stifle it.

Quote from: mindrust on January 10, 2025, 09:40:03 AM

That’s called “having a permanent portfolio”. (Basically I rebalance the portfolio by selling some of the outperforming assets, and add juice to the underperforming ones that’s if I still believe they carry a upwards potential) That way you never run out of either your shares/sats or USD.

Of course, you can do whatever you like to make yourself feel good, even though you are ONLY hurting yourself and the performance of your overall portfolio by doing that, and yeah it is a choice, it is a conservative choice that some other investors due.. including those who manage various investments for others (they might even have legal obligations to engage in such regular reallocations and not letting any one asset get above a certain number and also they have issues of sometimes having to carry certain kinds of inferior assets, like US bonds/treasuries), so they may well end up with quite inferior performance and lack of enlightenment, even though there may well be periods where those kinds of portfolios are more stable.. like as if an old person in his late 70s might want more stability of income and retention of portfolio value because he cannot take any chances in regards to his being able to draw the same income for the next 10-20 years or however long he is expecting to draw income in his remaining years.

Quote from: mindrust on January 10, 2025, 09:40:03 AM

I am mostly collecting dividends and bond coupons at the moment. Not particularly interested in real estate for now but I am studying it.

Going all in on btc has another big risk:

You miss your chance to buy lots of other assets for cheap and they go cheap all the time. Market anomalies always happen in the stock market.

You don't have to go all in bitcoin, and sure you might still choose to add some other assets to your overall portfolio without overly diluting your bitcoin portion, yet sure, you can do what you like, yet it probably is not even going to come close to bitcoin's performance, and you don't even have to be close to as aggressive as you are implying in regards to your bitcoin as you seem to be arguing... but, hey, whatever, you do you.. and guys can make their choices, and hopefully they are able to figure out ways to actually get advantages of bitcoin including advantages of compounding value that has good chances to continue, even if not guaranteed.

I recall a lot of talk about properties and real estate years ago, and sure sometimes the evidence is ambiguous.. but still we can look at prices of real estate at various points and how many bitcoin it took to buy such properties then versus now, and the evidence is quite outrageous how much bitcoin has outperformed real estate, especially if we might look 4 years or more and the longer back we go the greater bitcoin's outperformance of real estate.. which we also should realize is an inferior place to store value as compared with bitcoin... but hey.. you can figure out your allocations.. and see how it ends up working out for you 5-10 years or more down the road, with real estate as compared with bitcoin.

Quote from: justdimin on January 10, 2025, 04:53:01 PM

Quote from: Lamkuthang on January 09, 2025, 10:46:00 AM

Quote from: mindrust on January 09, 2025, 08:09:34 AM

I made that mistake going all in on asset. Never again. I could have won big but it is not worth having that anxiety. Anxiety makes you panic and panic makes you stupid. Going all in is a no no.

That's right. I've been there too and couldn't get out when the price dropped hard the only choice was to wait for the price to come back and the most painful thing is having to find other funds to cover urgent needs.

Yes. why when we see someone who is confident in their activities their money is always on standby, when they need it can be disbursed.

This has happened to me too, invested so well, for years, got rid of all my debts, and collected some bitcoin on the side. By image, it looked like I was on road to retire early and do very well, and if I kept all of it today, I would be pretty close to retiring as well, nearly 25%+ done, and already, which means in 5-10 years I would be retiring without a doubt, well I would still work, I wouldn't know what to do when I "retire", like just watch netflix all day? Cheesy

But in a sense, I would not "need" money, that's the better term. But what happened? A loved one got sick, and took years, but eventually they passed away, for all those years I had to take care of many bills, and of course that meant first selling all the investments I had, and then it meant getting into debt as well. Now I have less debt again, getting rid of it thanks to bitcoin, but I also do not make much investment aside, I hope if nothing bad happens, I will probably be back again on the next bull run and not this one.

Well, if you ended up giving up your bitcoin, then you should realize a need to focus on building it back, so sure it can take a while to do, but putting value in bitcoin seems a good idea.. even though surely each of us is responsible for our own choices of where to put our investments and how aggressive that we can be without over doing it... It seems to me that we do not want to end up out of the game by ending up selling too many of our bitcoin too soon, especially if there are ways to avoid that kind of a thing.. and so we should be striving to manage our resources so that we are selling bitcoin last, in the event that we are having to sell more things than we would like to sell due to exigent circumstances.