5. Higher Risk Means Higher Reward (and Higher Failure)
Yes, the bigger the risk, the bigger the reward can be but the bigger the failure can be too. Especially in areas like crypto, you are not guaranteed 100% success, no matter what anyone tells you.
this is the part where a lot of investors get caught because they try to risk too much because they want to hit it really big and allow greed to get the better of them. investing much is the only guarantee that you are going to get higher returns but at the same time, it can cause your downfall if you are investing much into a thing that doesn't have the ability to remain valuable for the long term.
the first priority is to know what you are investing in and ascertain if it is something you can risk too much into. if it is for bitcoin that has proven to have a high chance of remaining relevant even in the long term, you can afford to remain invested with a huge amount before being afraid of the possibility of encountering loss. other than that, investing in things like an altcoin, meme coin or even an asset that is not in the digital form and you are not certain of it long term potential, you should never invest when a huge amount.
6. You Can Lose It All
You may have genuine intentions and a good heart, but that doesn’t stop life from happening. Timing, market crashes, bad seasons they happen. Be ready for it, and don’t take it personally when things don’t go your way.
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real asset doesn't just go extinct like that, it takes time and often time, most investors that are smart enough will easily dictate when such is about to happen and exit at the right time without getting caught unaware. if you are invested in an asset that can cause you an 100% loss, then you are gambling and not investing. there should be an extent of security in whatever asset you are holding which gives you confidence that you will never go completely bankrupt no matter what.