I have made millions of dollars investing in crypto over the last 6 years but before I made the millions I also lost it all multiple times if there had been a video like this that existed when I first started trading in crypto I would have saved and made so much more money so here are the 21 most important lessons I've learned about crypto trading and investing over the years and how you can use these lessons to make more money and lose less welcome back to the virtual bacon Channel my name is Dennis I'm a crypto
and investor for the past 6 years and I have invested in over 100 crypto startups on this channel I share views on market trends and investing strategy to build wealth in crypto let's get down to it you want to start investing in crypto to make life-changing money and start trading right away but you need to understand first how the crypto Cycles work and that's my number one lesson which is to understand the myth of crypto Cycles you see crypto markets come and go but they are not exactly fouryear cycles each time when beginners first get
started they try to follow this exact timeline and use it to predict where Bitcoin will bottom and where it will Top This is a terrible way that can leave you to ruins back in the 2021 Bull Run there was this super psycho thesis which essentially was that all the money printing because of covid and crypto adoption would lead to a massive pump that uh causes crypto to run for multiple years and completely forgo the bare Market this thesis looked so real especially in the second half of 2021 when Bitcoin had the second wave up even
I got trapped in this narrative and this has led me to hold way too many positions all the way down until Bitcoin bottomed out at 16k by the end of 2022 the real lesson here is that the Bull Run patterns following every four years with the Bitcoin halfings are mostly just coincidence the real deciding factors are the macro liquidity Cycles which clearly ended in summer of 2022 and these are the real metrics you can track with things like M2 Global liquidity and how the FED is increasing or decreasing their balance sheets you can learn more
about these real liquidity indicators by going to my video about the myth of the Bitcoin Cycles number two lesson which closely follows that is the trend is your friend when you are investing and trading think about this scenario they always tell you to buy the dips even when markets are going down consistently so you end up buying the dip buying the dip buying the dip but each dip becomes lower and lower this is because buying the dip only works in an uptrending Market structure and similarly when the market structure is trending sideways you want to
avoid trading and when the market structure is trending downwards in a downtrend you don't want to buy the dips and instead you want to sell the rips or sell on every time price bounces this way of trading is called Trend Theory and following Trends and we have a full course on this on the coiners our community which is linked down in the description the most important take away here is that you need to know at all times if the market is in an uptrend sideways Trend or downtrend and you want to focus on following that
Trend whether that's buying the dips on an uptrend or selling every bounce on a downtrend now what if the markets are choppy and only going sideways this leads us to the third important lesson and that is don't let the choppy markets destroy your confidence you want to avoid the trading when Market is doing nothing from March 2024 to October 2024 big coin has been trading completely sideways this is what we call the Chop and it ranges from 55k to 70k if you zoom out and look at this period Bitcoin is essentially trading at the same
price that it was at 7 months ago however many Traders are losing their confidence because they keep trying to outperform the market and trade when there is nothing going on this also leads you to lose confidence in some of the strongest altcoins that you should be holding for the long term instead for example after the major runup on Phantom to $1 it came all the way down to 31 Cs and so many people lost confidence in this coin right around the bottom and now you see this is ticking back up again similarly for superverse after
it rallied to $150 it came all the way down to 40 and a lot of people sold in this last phase before now it's back up to $140 we all know that the B run is coming and we all have long-term positions that we want to hold on to so why are people giving up now when Bitcoin is at exact same price 6 months ago protect your psychology and don't lose Confidence from overtrading in the choppy markets psychology is the number one influence in trading and investing and without a plan the volatility will make you
trade and take the trades that you wish you hadn't prot Traders are comfortable doing nothing when the market doesn't give them any Direction Number Four important lesson is your altcoin going up in value versus Bitcoin when beginners first get into crypto they usually only look at coin prices in dollar terms but comparing your altcoins value against Bitcoin actually gives you the full picture for example here is the chart of ethereum versus Bitcoin and you see even though ethereum has gone up in value over the past two years in dollar terms it has actually gone down
in value in its ratio versus Bitcoin this means you were better off holding Bitcoin which is arguably lower risk and you would have made more money while taking on Lower risk on the other hand here is the chart of salana versus Bitcoin and this is a completely opposite picture because Solana's ratio has been going up against Bitcoin this means it made sense to hold salana up until this point because even though you're taking on higher risk you did receive higher rewards and your portfolio went up faster than if you had just held Bitcoin now that's
not to say ethereum is going to go down against Bitcoin Forever at some point it should bounce but this is a common way that you should check for the assets you're holding over long term one simple way to check this is to go on coin Gecko and under the settings here there's something people really don't know often and that is the currency settings you want to go in here and instead of choosing dollar you want to choose denomination in Bitcoin this will change all the pricing and market cap and price movement percentages to be compared
versus Bitcoin and now you see the full picture as you scroll down this list all the green numbers you see on altcoins are actually altcoins that are going up in value versus Bitcoin I remember when my portfolio first hit 100 Bitcoins in 2021 I just kept playing and trading in the market until the end of 2021 and early 2022 but my portfolio number never got back above that 100 BTC number anymore instead it only went up slightly in dollar terms but not in Bitcoin terms which means I was actually losing opportunity cost versus if I
just held Bitcoin and because of this those portfolio gains also Came Crashing Down When the altcoin cycle died along with Bitcoin in order to outperform the market you can just rely on historical data and the crypto Cycles instead you'll need to get the upto-date information for those quick trades so you need to learn how to use the most important Tools in crypto and that brings me to my number five important lesson which is that everyone needs to know the basics of trading View and basic technical analysis beginners usually skip this part when they hear about
trading View and they look at this interface they get really overwhelmed and they think they either have to go all or nothing and they have to become a full Trader creating all these chart patterns on the chart in reality it's just important to note the basics of how to use this platform because it applies on all exchanges in every coin you trade if you don't know how to read the chart you wouldn't be able to identify the basic support and resistance levels when a coin has clearly been trading near the same price floor for multiple
years for example here's the price of salon and when you look at this chart you should be able to clearly see okay Solana was consolidating and trading Sideways from November 2022 until October 2023 before it finally started its new run and because the lowest level that salana got to was only around 13 to12 and it kept bouncing from this level even with all the major crashes from FTX and from Luna chances are this was near the bottom for salana and this isn't complicated day trading ta this is looking at a long-term chart and finding value
ranges and similarly now you can see salana has been testing around that $125 level multiple times this year and every time it goes there it tends to see a bounce so this is a clear support level that people can pretty easily identify these basic levels of technical analysis is actually the most useful and it applies to all charts you don't have to believe technical analysis can predict prices over multiple years in the future but knowing these basic chart patterns is super important for all crypto investors in the coiners community we also have a free course
going over the complete step-by-step guide on how to do technical analysis and you can check that out by going to the coin.io now I get asked so often where to find a Coin that I have mentioned where can you even buy it and this is the sixth lesson I want to teach you guys which is learn how to use a coin tracking app like coin market cap or coin gecko so many times I see people commenting why is xXx coin not on coinbase or binance I can't even buy it this is a feature and not
a bug because all cryptos trade on multiple exchanges unlike the stock market where you can have one main broker to access all available stocks in order to find the exchange you can buy a specific coin it's very simple you go on coin market cap or coin Geto and search for the coin you're looking for for example uh this AI coin humans AI I know for a fact it's not trading on many exchanges and then you go to the markets tab by scrolling down and you see here are the exchanges that have it to trade K
coin Unis swap mexe gateio osmosis if you can buy coins before they list on major exchanges like binance coinbase upbit buy bit Etc this can present a great opportunity to get in early coin market cap and coin gecko are also really strong at tracking categories and finding similar altcoins in the same category for example if you like this humans AI coin and you know it's a artificial intelligence altcoin you can go to its categories and click on this tag and you see all of the top ranking AI altcoins by market cap and you can go
down this list and find other altcoins that you can do research on this discovery part of coin gecko is also very important now don't be intimidated by all the exchanges that exist in crypto beginners complain that they always get into the altcoins too late but at the same time they only want to trade on binance and coinbase and don't want to sign up for any other exchange the top exchanges will always be late to list ing the new altcoins the altcoins that have higher potential and starting at a lower market cap this is because the
top exchanges have to do a lot more due diligence and can only list these coins once they are already at a high valuation that's why the number seven lesson I want to tell you guys is that using many exchanges is a good idea be ready to use many exchanges this is an important tool for more profits in crypto it's not a hindrance every time you go on a new altcoin and you look at the markets Tab and you don't recognize any of these exchanges or you maybe don't have accounts on any of them don't be
afraid to sign up to one of them the more you do this process the more access you'll have to more altcoin selections and look at all the top crypto exchanges and the number of coins they have to offer binance only offers 428 coins and even the largest list on a single exchange is at mexe at 2,500 coins but consider there are over 5,000 probably 10,000 altcoins out there trading that are decently okay and could have potential for Investments now especially if you're looking for low cap altcoins you simply cannot find that by only using one
or two exchanges not even all the exchanges have all of their coins overlapping so even some coins that are listed on binance would not be listed on coinbase I have a full video on the best exchanges to use for trading crypto based on your needs and in here we also cover the exchanges with the largest altcoin selections so make sure to check that out Link in my description another tip about exchanges is that decentralized exchanges are just as important the number eight lesson I want to tell you guys is that don't be afraid of dexes
they are your friends they are not scams and they are not by default only trading scam all coins decentralized exchanges are very easy to use you just need to learn this one main interface and that is invented by Unis swap called the swapping feature and it applies to all decentralized exchanges on all different blockchains for all token the cool thing about decentralized exchanges is that the moment a token is created and can be transferred it will be available for trading on a decentralized exchange this is because anyone can add the liquidity and create that market
right away even if that token is not listed on any major centralized exchange this means it's almost guaranteed that you can have the earliest access to the token before centralized exchange listings of course this also leads you to higher risk because anyone can create a token and have a list on unisoft for trade but you should not avoid decentralized exchanges for this purpose by using them as a tool it opens you up to a much wider variety of altcoins you can get into for example xborg is a gaming altcoin that we got into a couple
months ago that has been already up more than 3x since we got into it on YouTube in our portfolio decentralized exchanges is also the go-to place if you want to trade meme coins at all look at MOG coin this coin actually launched even uh in August 2023 and for all this time that was trading at a very low market cap in the $10 to $20 million range it was only trading on decentralized exchanges so anyone could have gotten into them before they got listed on the major centralized exchanges like buybit gate Co coin Etc with
that being said there is the other side of the equation which is that crypto is full of noise and scam projects so you need to learn to read the data that matters and this can help you to avoid the most obvious scams the ninth lesson and this applies especially for mem coins is you need to learn how to Value tokens correctly in 2021 many people called for Dogecoin to go to $1 simply because the unit price was cheap this was around the time when I was making a lot of Tik Tok videos and I got
so much hate for telling people that Dogecoin is already at multiple tens of billions of dollars in valuation and the chance of it going to $1 is very slim now Dogecoin did manage to go to 60 cents mainly because this isn't as bad B of A case and Dogecoin has been a very long running mean coin with not that huge of a supply at 150 billion tokens but still most people only looked at the unit price of Dogecoin and they thought it was cheap because only it was trading at a few cents versus ethereum which
which was at multiple thousands of dollars what they don't understand is that Doge has a massive Supply and this makes it very high in market cap and already in the top 10 crypto rankings in 2021 Market cap and fully diluted valuation are the two main metrics that actually matter and determine the value of a crypto token just look at this comparison when you look at Dogecoin versus shibba Yu why is shibba Yu's unit price so much lower than Doge this is because shibba Yu has more than 1,000 times the supply of Dogecoin so even though
doge is trading at 11 cents and shibba Yu is 0.0018 Sheba Inu is already near the same price level so to speak or market cap level as Dogecoin so the two are actually about the same value here's another example for two meme coins dog with hat versus Bonk because Bonk has so much bigger supply than that of dog with hat that's why dog with hat trades at over $2 whereas Bonk trades at this tiny tiny unit price just because you can own millions of tokens of a meme coin doesn't mean those tokens should be worth
anything at all that's why you have to be extra careful when you are playing meme coins and if you don't know how to read the market cap and fully dut the valuation and compare them you are in for a lot of pain the other important metric for a crypto's fundamentals is its Supply specifically it's tokenomics that dictates the circulating Supply versus the total Supply this is the 10th lesson I want to tell you guys which is you need to learn how to spot good tokenomics tokenomics refers to numbers like the total supply of a token
and how much of that token Supply is currently in the market versus how much more is potentially coming onto the market where investors can sell those tokens for profit you often hear of this word VC coin or high fdv coin or low float coin all of these sayings simply mean that you have a very low circulating Supply versus the total Supply now a rule of thumb is that when you see 25% plus of the total Supply circulating chances are those tokenomics is okay most of the time the investors would not control more than 25% however
when you see a newly launched altcoin that have less than 10% of the supply circulating like for example here on igen layer chances are the investors still have a lot of tokens to be unlocked which can add to the cell pressure and that means price cannot go up that easily here's another example of celesia where it launched with less than 10% of the token Supply in circulation and after this initial runup it had a very long draw down and finally price is starting to to bottom out as more and more of the token Supply is
finally coming out another good example is ton coin remember how everyone all of a sudden were really bullish on Tong coin this is because Tong had its market cap go up from $1 billion to $25 billion doing a 25x and this made it go from Top 70 coins all the way to top 10 however from this one and a half year period the price growth of Tong was only from $120 to $7 to $8 so that was only a 7x gain in price whereas it was a 25x gain in market cap so people didn't make
generational wealth on ton coin but yet the coin itself went up a lot in rankings this is because a lot more tokens uh got released to the market and investors were actually able to take profit you can also compare tokenomics side by side for similar projects for example here we haveu versus Aptos we all knowu is the hottest new layer one coin right now and its Supply circulation is okay at 27% of total tokens circulating however when we look at its closest competitor Aptos we actually see that Aptos have a much Superior tokenomics because 46%
of the token supply of Aptos is already circulating so there are a lot less sell pressure coming for Aptos and that's why even though Aptos and sui are both around the number 25 in top coin rankings and they have a similar circulating market cap their fully diluted valuation is actually 2x away so you can think of it like Aptos has twice as much growth potential in its fully diluted market cap versus Suite this is how a VC investor will see the project and this is the real metric That Matters to follow the tokenomics of a
project you need to follow the circulating Supply versus total Supply on coin Geto or coin market cap and also find out how to use a tool like token unlocks which is now called token nist there are thousands of cryptos to trade and you don't know how to choose which ones so you need to learn how to research the legit projects and how to pick winners that leads me to my 11th important lesson which is Major exchange listings are still the best indicator for strong fundamentals of a project if a token is listed on binance coinbase
upbit or okx typically they are of the highest caliber and are not scams byit is the next option up but they do have some sketchy coins on there now when I say use exchange listings I don't mean for you to go on the exchanges and look for which altcoins have just newly listed on that exchange and you buy it right away this is the wrong way to do it when an altcoin first Launches on the biggest exchanges even for things like binance they usually launch at a very high valuation uh you can observe most of
the projects on binance launch pool most of these altcoins don't go up in price right after launch they go through a downtrending period before eventually finding a floor instead of hunting new listings what I like to do is I go on coin market cap coin gecko I use some other search mechanism and I find the altcoins then I go to their markets Tab and figure out which exchanges have them listed if it's altcoin that's not that often talked about and it looks really bottomed but it's already listed on binance coinbase upbit buybit Etc chances are
these are quality altcoins and they just haven't started a major marketing push that is usually a sign that these projects have gone through tight due diligence and likely are not scams very good example recently that I have just picked up is Orion protocol this is a project that had a lot of traction in 20120 to 2021 being a defi project but now they're rebranding their token to a new name called Lumia and instead of doing purely defi they're doing uh centralized exchange and decentralized defi Al together targeting RW and as you can see this coin
is pretty much bottomed out over the past 2 years and the fact that it's already listed on binance and coinbase is a very strong sign that this coin will come around again in this next cycle the next important lesson and the 12th lesson I want to teach you guys is you want to bet on the market leaders instead of the copycats take a look at the rwa category on coin market cap you see the top coins performance here let's expand this and here are the top rwa coins and and you see here only a couple
of them really stand out in terms of performance over 30 days over one year it's even more apparent and the biggest winners here number one is Mantra and number two is Ando in most altcoin categories there are only one two maybe three top Runners that will outperform everything else and all the liquidity goes into those top coins this effect is even more apparent in older narratives like gaming that have existed for multiple Cycles here are the top coins performance in gaming and let's take out not coin cuz that's not a gaming coin and Flaky is
also not a gaming coin eold is not a gaming coin and you look at the rest top seven in market caps and you see most of the gaming coins are not up they are actually sitting flat on the floor over the past year and the strongest performer by far is superverse up over 1, 1600% over the past year then you go down the list you have IMX at 184% and Gala at 57% so you don't need to diversify in 10 other different gaming coins that actually hurt your gains you want to continue to bet on
the market leaders one to three of them in each category in the layer one category this is even more obvious if you just bought salana you would have outperformed every single layer one out there except for S maybe Aptos that's about it all other altcoins have not run faster than salana this same effect also applies to meme coins each ecosystem may only have two to three major meme coins maximum when you look at the top mem coin rankings you have shibba Yu paye and MOG being on the ethereum Chain you have dog with hat Bon
and popcat being on Solana you have flaky which is on BSC you have Brett on Bas that's about it all of these other ones that's trying to come up they will have hard competition going up that's why in crypto bet on Market leaders instead of copycats you have to understand why we talk about so many buzzword real world assets gaming AI layer ones why do people use these buzzword all the time this is because crypto investing is all about investing in the right categories not in specific projects let's take a trip down memory lane to
Summer 2020 from Summer 2020 to the beginning of 2021 the hottest category of altcoins in fact all altcoins that were going up the most were Defi altcoins and as you can see maker out one of the top 3d5 projects out there gone up exponentially over that period if you have been around at that time you would know that if you launched a defi altcoin or if you just went on the defi category and picked any altcoin you would have had three to 5x gains over that few months period Then fast forward to Summer 2021 this
was when axi Infiniti was going exponential from $5 all the way up to $150 this was the gaming and gamei and metaverse hype wave and if you you just threw a dart on the gaming category all of your all coins have gone up 10x plus right after that by the end of 2021 we also had the layer one wave namely salana avax Luna Phantom bunch of other layer one networks were all going up a lot in price and if you went on the layer one category during this time and picked just any altcoin you would
have had 5x plus gains in a matter of 3 months and last but not least in Q4 2023 when chat gbt really became popular AI projects like bit tensor started to go parabolic from $70 to $700 and again if you had just gone to the AI altcoins and you picked anyone it had gone up more than 5x often 10x within a matter of 4 months the lesson here is that it's much less important to pick specific AI altcoins that can outperform the rest or specifically the best gaming coin it's much more important to know which
altcoin categories are strong and have a narrative going for them and will likely run during which time and usually these are bull market times beginners will buy coins from very old narratives because they think they will make a comeback or they might buy very obscure narratives and I have fallen trapped to this before like heavily investing in layer twos or in Social F or in btcf ecosystem but if those have not shown strength in a previous uh uptrend chances are they are not going to outperform the other categor there's a very handy tool you can
use on trading view under their main products uh you go to the screener and you go to crypto coins screener and on here you can filter by the altcoins with the strongest performance over a 6 months 12 months or multiple year period and then you just need to glance over the categories and you'll see there are only five main categories that most of these strong altcoins belong in these five categories are gaming AI meme coins layer one and rwa and these are the five categories that I will be heavily focusing on for this cycle I
have made multiple videos about my STS on this that you can go ahead and check out on the Channel with the best allcoin sectors that I'm Investing For 2025 as well as uh the most popular narratives for the 2024 cycle this next advice really applies to Traders and especially swing Traders information Advantage is key to crypto this is the number 14th advice I want to give you guys you need to learn to look in places where it's not not obvious if you're curious about when the project drops its next release you got to search in
its Discord someone might have asked if you want to buy the token in a pre-sale but it's not available on their Twitter go into their docs chances are there's a private white list that you can sign up for here's a swing trade example that we have taken using this exact approach last month I was building a long position on worldcoin not only because of ta but also because couple different catalysts number one there was the AI hype wave we saw bit tenser tow was already running in price and number two open AI was about to
announce a massive $6.5 billion fund raise which they have announced couple weeks ago and number three worldcoin was likely going to have some form of announcement in October this information was not immediately obvious everywhere however if you just look a little bit on a tool like coin market cap or coin Market Cal you'll see worldcoin had their world chain announcement that's planned for October and this has been planned for multiple months already and two weeks ago worldcoin started to make this announcement very public and they even added that Sam ultimate will be speaking at this
event and they release something big so combined with all of this we were able to take a swing trade setup on worldcoin with average entries in the 1.7 1.8 $ 1.9 range we kept averaging down as price went down and now obviously this news is propagating to the retail audience and worldcoin is above $240 the lesson here is that beginners usually wait for the price spikes and when the news actually breaks in order to enter positions but one of the most underrated ways in crypto to invest and to trade is to find these events early
you don't need to look that much further if you think there's AI hype wave and worldcoin has a release potentially in October you just go into their Discord or their telegram chances are people have asked those same questions and their team have answered this is only possible in crypto because there is not that strict regulation about what you can and cannot tease to the the public one of my most underrated videos is this one on how to do research uh using this top six crypto tools and make sure to watch this video I'll likely make
a follow-up video to this on how to find Catalyst events that you can trade around using swing trading now when you are deciding which alt coins to pick up and to trade you have to know one important rule of thumb and that is the 15th important lesson new projects typically outshines the old projects again let's take a trip down memory lane and look at the Historical data snapshot of coin market cap here we have the top allcoin rankings of coin market cap on February 4th 2018 this is the peak of the bull market two cycles
ago anyone remember some of these altcoins Neil this was dubb the ethereum killer uh which is today out of the top 100 even top 200 coin market caps we have Stellar EOS nem Iota these were all dubbed the ethereum Killer and none of them have killed ethereum in fact all of them are out of of the top 30 crypto rankings now fast forward to February 2021 we have again the peak of another Bull Run and here are the top coin rankings 10 remember polka dot everyone was calling polka dot the ethereum killer everyone was super
hyped up about cardano chain link was still a top 10 coin because defi was apparently going to change the world then finally we have February 2024 and now you see we have the new ethereum Killers the new l1s Solana cardano is still kind of up here Evac gain the lot of market share now I'm not saying salana is the next cardano or the next Neo or the next whatever pokka do I'm just saying even within the same category of layer one blockchains that aim to tackle ethereum this is not a new narrative this is a
category of altcoin projects that have existed for over 7 years now and the stats shows us that usually in the same category the newer layer one projects will perform better than the old older layer one projects that's why you see polka dot taking the place of Neil and then Solana now taking the place of polka dot the reason behind this is that new projects usually have stronger technology that they have adopted over the years and because blockchain projects are inherently very difficult to iterate upon if you start at a very base level if you want
to evolve your Neo or your polka dot into the stage that salana is at you have to completely rewrite the blockchain and most of the time that's not possible possible there's also the side of token Supply and what the founders have already achieved new projects still have token Supply to be unlocking which means the project Founders haven't released all their tokens yet and they haven't received all their payout and they will likely want to keep building a solid project and keep increasing the token price with whatever releases marketing that they can do in order to
earn more this gives them vested interest in the company versus if you're running a very old coin and you don't have any coin anymore because all the supply is circulating you can't do much even if you keep pushing that project forward you don't make more money and that's why a lot of these project Founders give up so remember new projects typically outshines old projects you want to bet on the new ones instead of the super old Legacy ones number 16 important lesson crypto tokens go up in price from user attention not based on Project revenue
or technology fundamentals let's look at three coins in comparison and I think these really represent three distinct categories first one we have is igen layer this is one of the most Innovative projects in terms of Technology it's able to take ethereum staking and apply that to reaking and allows anyone to launch layer 2os or different infrastructure projects by picking backing off of ethereum's security and that staking power now that sounds very cool because I can summarize it but I doubt that there are more than 10 people really in my YouTube ments that really understand what
I layer does and know how to use it I don't claim I can do that either this is a classic case of the project fundamentals being too complicated While most people cannot understand it and they cannot really put a narrative buzzword on top of it like gaming AI meme coins or rwas conversely here is the exact opposite side of the spectrum with the paye coin there is nothing technologically advanced about this it's just a picture of a paypay and it has very fair tokens of Supply with all of these Supply circulating yes it's trading at
$4.3 billion in market cap but there are no teams that will dump on your head because nobody controls any more of the token Supply so why do people buy this coin well some people will say why would I buy this there's no utility other people will say the paypay meme is kind of funny I can recognize what this is and I can tell other people that this is funny and the fact that I know so many people around the world in english- speaking countries know about this paye character this frog chances are they will look
up the payp name on Google whatever they find this coin they might just buy some it's silly I know but hear me out we'll get into meme coins in a bit can you argue that this paypay coin is necessarily way worse and has no utility versus I layer you can't because pay trades at $4 billion in valuation and no matter how much Igan layer brings in in utility if it doesn't fit into a strong narrative and especially if the token Supply is heavily controlled by investors it's not going to perform well okay last but not
not least the third L coin example I want to show you is robit this is a coin that have mentioned multiple times on the channel but I have given up on it in the first half of this year tldr robit is a crypto Casino it's one of the most profitable crypto casinos and the rlb coin is their platform coin now one of my core thesis was that majority of the robit casino revenue was going to be fed into this coin but when everything pumped their token was trading sideways and down there is no reason for
this to be happen it in a traditional Financial sense if you're investing in Securities you have full rights to the shares you have legal rights you have shareholder meetings you have transparency reports you have earnings and you can calculate accurately earnings versus uh share ratio you can calculate book versus share ratio but in crypto those numbers can be totally fake and most of the time coins don't even distribute any Revenue at all to their token holders this is reasonable because most cryptos want to avoid being labeled as a security and if you have clear dividend
structure you fall into that category and you have a lot of risk so then the robit project really tells us that the revenue focus and how you typically value a Securities or stock based business does not apply to crypto most of the time you cannot look at Revenue projection and think about how those numbers will translate to PE ratio and thus the coin price going up that is much less important Than The Narrative of the coin and the tokenomics or the supply issuance of the coin so moral of this lesson do not overanalyze on Project
fundamentals the only fundamental research that is worthy to do is when you're doing due diligence on the project is the team legitimate and are the tokenomics sound so the project will not scam once the project passes the safety check when they're listed on good exchanges and they have good tokenomics that's all that matters you don't want to overthink about the the technology or the revenue projections you want to focus on betting on the categories that matter and betting on the category winners by finding out which coins have the strongest performance okay like promised we're going
to talk about meme coins and my number 17th important lesson is that Meme coins definitely have a place in the market remember in crypto a larger Community equals to more price growth this means more people that see the coin and understand what that coin is and especially if they believe that narrative is interesting they are likely to buy the coin meme coins by Design are the easiest to spread to a wide community at first you probably think it's a meme coin it's a joke it's a picture of a dog a paye a MOG with glasses
why would I actually buy it in my opinion there are two camps of meme coins the first category is just typically memes or cultural icons things that you recognize this brings us back to the paypay example when you see the paypay you know that this is an interesting meme a lot of people will search for this and a lot of people will recognize it just like a lot of people have recognized Dogecoin and they continue to hold Dogecoin that's the first category of meme coins overall that I like to think make sense you have things
like MOG which is a very common saying uh in the new generation MOG is like a slang word for Flex in a very us gen z type of way wojack is another example one of the most OG memes on the internet and widely used for multiple Generations you have many of these sayings like lock in time to lock in this is a very common saying people have on Tik Tok you have Aura you have this Aura around you or plus aura or I have the aura these are all popular sayings in pop culture that people
recognize and thus they become meme coins and they trade at certainly high value the second Camp of meme coins I believe falls into prediction markets or betting on things that you can very easily spin up as a cultural icon for example political memes as we go into the election if Donald Trump gets more and more popular chances are the Trump related meme coins like Maga are going to go up because people believe Trump will win or whether they believe so or not or they like Trump they might buy his coin because they also believe more
and more people will fall into this same belief you have meme coins for Joe Biden and as you can see this coin peaked in April and has only been going down since as Joe Biden has dropped out of the candidacy and has been slowly deteriorating into an old man you also have K or Camala Harris's meme coin on salana and this one really started to pick back up when she was uh pushed ahead as the new candidate and this made a peak in alltime high in July these things are pretty much like prediction markets where
anyone can get into of course it's not completely obvious and completely Fair like a real prediction Market on poly Market but nonetheless if you believe something is going to be interesting you can make a meme coin about it and if other people also think it's interesting and especially if that circumstance becomes true or if whatever you're trying to uh create in that mem coin's branding comes true then that mem coin will be popular just imagine if Trump wins the election chances are the MAA coin will continue to be pretty big and and if Cala Harris
wins the election well the Maka coin probably will go down in price because you don't have a president's coin instead you just have Trump's coin and conversely if Trump wins the election Camala Harris is going to fade into complete irrelevant and the common coin is probably going to zero in that sense I do believe a prediction Market mechanism does exist for meme coins and that's a cultural value that you can assign to mem coins there is a place for them okay but if you trade like a Deen all the time you will eventually get back
all your profits so in this next chapter let's learn the best strategies to protect your gains the 18th important lesson is you need to form your own exit strategy before the Bull Run starts like I mentioned earlier don't fight the trend and exit the market when the time is right and when Bitcoin starts to show a downtrend we can all look at those patterns now and say yeah I will do this the problem is by the end of the bull market comes around you're used to the uptrend and you're used to way too many weird
sayings like the super cycle or this time is different or the fed and black rock is buying Bitcoin then you get a dip and you think it will recover but then it keeps dipping and dipping and and you're fighting the trend because you don't want to sell too early you need to set realistic expectations before the Euphoria happens and know when to walk away I have made two bull market exit strategy videos on bitcoin already and I made these videos last year way before Bitcoin started its run you can check them out in these two
videos I'll have them Linked In the description I go over my Bitcoin price prediction right around 200 to 250k and I also have time based uh exit strategies in case the Bull Run extends way into 2025 I also want to limit myself for how long I stay in the market even if you are a diamond hand believer of some altcoin like I was I was a big believer in evm layer ones that were good for Defi and gaming and this has led me to hold on to three altcoins way too long namely avax I held
it all the way from the top over $100 to the bottom at $10 and I held arbitrum way too long because of the L to hype and I also held on to polygon way too long from over $2 and I believe I exited when it was 70 to 80 cent don't fight the trend have a strategy and know when to walk away number 19 important lesson that's very related is you want to always stay liquid crypto is all about accessing liquidity at all times so you can buy and sell at any time using a decentralized
exchange if you want to cash out never lock up your liquidity in a long-term product like passive income time locked staking Etc you can provide liquidity you can do normal staking but make sure you have the flexibility to withdraw at all times I fell victim to this by the end of the 2021 bull run during the polka dot crowd loans here I am hosting a live stream going over all the top polka dot crowd loans if you're not familiar this is a mechanism where uh you had to lock up your do tokens and receive these
polka do par chain projects most notable ones are aala m be Moon River fa Etc the catch here is that these numbers looked good then because polka dot was at its peak of hype and it was trading out over $40 which meant all of these par chain projects supposedly were going to be very big projects as well but as I have gotten to know multiple years after locking up my money in dot was a terrible mistake because polka do went down another 90% and so did all these par chain projects and in the end I
didn't even break even and my money was locked up for 2 years you can still find these old live streams on my channel from 3 years ago you really see the full evolution of what I have gone through uh to make all these mistakes handson that's why important to always stay liquid and don't lock up your liquidity in a long-term position finally when you're ready to create your portfolio you can go on my channel and check out my portfolio videos I've just released my updated portfolio one month ago going over 25 different Al coins I
have on here and for the second last important lesson I want to recommend everyone to always have at least 50% of your portfolio in the large caps namely Bitcoin and likely ethereum and salana for me this helps curb the fomo if Market start to run hard for instance for the majority of this year even though most altcoins were going down whenever Market pumped Bitcoin was still going up and Bitcoin was holding its floor relatively well so you always have the steady gains from these established assets even if I lose hope and sell the altcoins I
still have my Bitcoin gains in crypto people think that's a boring idea but just look at the Bitcoin price growth from 2022 to now it went from 16,000 to 66,000 over a 4X gain these types of gains are crazy in a traditional Investor's eyes and if you have strong strong conviction in crypto like I do and you believe Bitcoin is heading much higher why would you not hold Bitcoin and also I encourage everyone to start denominating your portfolio in terms of Bitcoin this lets you the real picture are you able to outperform the price growth
of Bitcoin or is your portfolio actually going down in value versus Bitcoin imagine doing all this work finding gems just to get beat out by holding Bitcoin I also believe holding ethereum and Solana covers you for most large cap altcoin gains unless you really know what you're doing and you're able to rotate between narratives all the time and you know exactly which narrative is going to be popular when chances are your individual altcoin pick in the larg cap rankings I'm talking about top 30 top 40 altcoins they are unlikely to outperform etherium and salana both
by the end of this cycle this is because most other altcoins are still fluctuating all the time so whatever gains you have made you have to consider you have to buy at a very good time and and sell when that narrative gets unpopular and rotate into something else and when you consider everything together the high probability of ethereum and salana to do well in this cycle outweighs the rotating around you have to do in large cap Al coins and the last benefit of having a large percentage of your portfolio in Bitcoin ethereum and salana is
that it helps reduce the Panic if prices drop these Market leaders will not have unreasonable drops or liquidation Wicks like the smaller altcoins do having these high conviction Assets in your portfolio also keeps your sanity in check no matter how bad the market gets most investors believe the long-term growth of Bitcoin and can have conviction to just hold through those choppy times no matter what finally my last important tip to protect your gains is do not forget about taxes people think they can just stay on chain and stay Anonymous forever this is very dangerous depending
on where you are at not only are crypto cash outs into fiat currency considered taxable but also now trading crypto to crypto on centralized exchanges and even decentralized exchanges are considered tax taxable now obviously you should consult a tax professional for actual advice but I'm just saying do not forget about taxes a lot of people get burned by this especially in crypto due to the multi-year Bull and Bear markets people make way too much money that they haven't seen before in the bull market and they spend all of it or they get it all locked
up what they don't realize is that you could be owing a large amount of taxes in the year after which is usually the bare Market year so what you end up having to do is you get hit by the tax bill and you then have to sell all your coins at a loss that you haven't realized in profit in that bull market year so make sure to plan ahead and know how much taxes you need to pay in your gains and make sure you have that prepared in the bull market year so you don't get
burned in the bare Market year okay these are all of the 21 most important lessons that I have learned over the past s years of trading and investing in crypto and now you are a better crypto investor if you like this content make sure sure to subscribe to the channel and also follow me on Twitter or X at virtual bacon ZX this is where I drop day-to-day Alpha before I make them into these in-depth videos and make sure to join our VIP program called the coiners this is our trading Community that's completely free you just
have to sign up to one of our exchange Partners we don't force you to sign up with anyone we want to accommodate everyone that's possible in here we have chats we have my personal trade setups and signals as well as five other different analysts we're hosting live streams and we have free courses I have made over 5 hours of course content that's offered for free in our community so sign up today go to the coin.io or go to the link in my bio thank you for watching and I'll see you on the next video
