Of course, each of us is responsible for our own level of aggressiveness, and we should not let pressure from online or groups affect our choices in that there is nothing wrong with being aggressive as long as we do not end up overdoing it. If we overdo it, then we have to suffer the consequences, and it might be 10 years down the road that we realize that we cannot turn back the clock an hopefully we did what we were able to do without overdoing it and taking ourselves out of the game due to our own overly aggressive screw up(s).
if I may ask, how does someone really decide where to draw the line between being aggressive enough to see good gains and being too aggressive to the point it turns risky?
Surely that is individual specific, and yeah, if you over do it, then you will pay financially and perhaps psychologically.
If you are brand new to investing and you only have around 3-ish weeks of back up funds, then maybe you have already been employing a system like that for years before you got involved in bitcoin, so you are already used to it and you can build your bitcoin investment practices and improve you cashflow management systems and/or practices based on your already having some experience.
If you are barely new to the working world, then you may have more that you need to learn, so you might have to error on keeping some kind of a cash cushion to see how it works. So maybe if you always had your parents paying for everything, then you are not used to having and/or managing expenses, and parents might help out their kids in this regard, and so you might know how much you may or may not be able to rely on your parent for emergency back up, but if they already told you what they want you to do, they might not be willing to help you if it appears to them that you are not following their guidelines.
You build on what you have, and if you had not really given much consideration to what you have, then you might have to write it down and to organize your thinking on the topic, yet there are some folks who don't want to write anything down, so they think that they can manage their situation based on their memory, which I would consider to be more prone towards making mistakes and surely a person might have to learn by making mistakes if he is not proactive in regards to trying to figure out his various limits and atttept to account for his cashflows and to project them out for 3 to 6 months or even some folks might be advantaged by projecting out 18 months or longer, even though the more important projections will be in the coming few months, but it might be important to have some ideas regarding how future cashflow projections might work out.. and yeah, some folks will be better at it than others, and my own assumption is that 97% or more of normal adults (perhaps older than 18 years) would already have these various math and common sense skills, even though some younger folks might still be learning some of these matters and also trying to figure out their own emotions and hormones and the extent to which they might need to interact with others (such as their peers) to help to figure out some of these kinds of matters that might largely revolve around figuring out their discretionary income and the extent that they are able to invest 4-10 years or longer, which surely the less real world experience that a person has (such as a student or someone living with their parents), then they may have to use their imagination and/or need to experiment with some of the matters in order to learn their limits or to put what they know into practice to see if they might understand what they are doing or if they might have to ask some questions to someone, whose judgment they trust.
I see a lot of posts from various members talking about bitcoin investment theories and cash flow management theories, yet sometimes it can be difficult to know the extent to which they are actually putting their own ideas (or their own interpretation of ideas) into some kind of a meaningful practice... so yeah, with practice we might already know that we are going to make some mistakes, and some kinds of mistakes might be more tolerable than other kinds of mistakes.. .yet putting ideas into practice is likely amongst the best of ways to figure out one's own limitations in light of
his own particular circumstances.
By the way, a person who is a student might have several topics that they need to study, and so maybe they dedicate a few hours a week to personal finances and financial management. Similar things can be true of a person who is in the working world. Some jobs might require 40-60 hours per week, yet there still can be downtime and there can be time that guys can dedicate to learning their own approach to bitcoin and/or their cashflow management practices. Sometimes it is not easy to fit in the learning and the practice and the adjustments from time to time that will hopefully be based upon ongoing learning.
For sure. Your detailed take @JayJuanGee is spot-on ( hitting the nail on the head).
A is a detailed reflection on financial management and Bitcoin investment on an individual grounds.
Emphasized points:
Difference in financial readiness, the role of experience, need for specific learning and importance of practice
Preparedness financially for Bitcoin investing is not global, it's completely personal upon personal cashflow management skills. People that are new to being autonomous, like students or young adults, must prioritize building first of all a safety measure. As important as theories, practice gives good understanding, mistakes, and adjusting mistakes out of experience. The point is continuous, intentional learning, dedication of time (and resources) to study finances and investing, and carrying out cautious applications within personal means.
A journey of self-awareness, not a race. Indeed.