#1 Lesson I Learned Investing in Cryptocurrencies like Bitcoin, Ethereum, and Dash

What is the number one tip I have for investing in cryptocurrencies? The number one tip I have is to just bet the market over time. Buy different currencies
and just hold on to them. The opposite of doing this
is trading. That involves timing the market. I learned this
by reading Tony Robbin's <i>Money: Master the Game</i> book. I learned this by reading a book called <i>What I Learned
Losing a Million Dollars</i> investing in a stock market. Most critically, I learned this
by the hard way, by trading Bitcoin
and losing thousands of dollars, by trying to time the market.

As I look
at the currency prices today, most things are up at the top. Bitcoin's up. Ethereum just went from $40 to $80. Ripples went way up.
Litecoin is way up. Dash is up $20 from before. It's tempting to look
at these and say, "Yes, if I had sold
my Dash masternode when it was a hundred thousand
and dumped a bunch of that into Ethereum, now,
I could have $200,000." The problem is, you can see
what's already happened but you're totally blind. The truth is, we, collectively,
are totally blind to exactly the details of what's
going to happen in the future. If you're like me,
you are quick to think that you're really good at investing, that you're better than other people, that you are able to play the game
more effectively than others.

In my experience, I found the only
way I can consistently win the game is to just invest
a little bit over time. I'm grateful today I put $600
or so into BitFenix. I currently have $1000 today
just a few weeks later. I also have a Dash masternode,
which is a thousand Dash, I'm very grateful for. On Poloniex, I put in about $600
or so the other day, and I just bought the market. I bought a bunch of these
different currencies I bought a tenth of a Bitcoin–
excuse me, a hundredth of a Bitcoin of a bunch
of these different currencies One of them has went down
and lost almost everything.

A couple have dropped 50% but a couple have also went way up. This one I bought 0.01 BTC and now it's worth almost five times
what I paid for it. I'm grateful now. As Bitcoins went up,
I put about 0.05 Bitcoin on. I've now got more Bitcoin
than I put on. Bitcoin's now worth more
than when I put it on as well. Same thing on BitFenix. What I teach in my class,
I am up to– I buy $10 a day,
and just as this went up, I continue to have more value in it. The thing is,
I've learned the hard way.

Don't play around trading. Why? Number one,
it takes too much time. You have to obsess over it. You have to be checking
the prices all the time to make the right moves. The fact is very uncomfortable
that you don't know what's going to happen next. If you tell the truth
and you're like me, you don't know
whether the Ethereum price is going to go from $82-$200
or from $82 to $8. Either one is equally possible
in my mind. We don't know what's going
to happen next. That means we're completely blind
going forward. Most of us are subject
to acting stupid as a part of the crowd. How does that happen? When everyone gets excited,
we want to throw money in. When everyone else panics,
we want to pull our money out. What happens? Most of us think
we're smarter than others.

We buy high, we sell low. What do most of us do
if you look at the data? If you look at the data,
the first several years, I traded cryptocurrencies,
I bought high and sold low. I bought high
when there was excitement. I sold low when there was a panic. Even when I was able to buy low, I was so impatient
that I would sell when it made a small game. I bought something like 20 Bitcoin
when it was worth $170. I couldn't take the stress of it. I was so impatient
that when it went over $200 again, I sold all of it. I felt good at the time, "Look, I made this money
selling my Bitcoin," and yet, if I'd held
on to 20 Bitcoin today, you can do the math on that. That would be $28,000 I'd have today. That only cost me
a few thousand to go by. I'm grateful I've learned to do that. I'm holding my Dash masternode, even when the idea
of selling my masternode and getting $93,000 is very tempting, especially as all I have
in cash right now about $8,000 or $10,000.

It's really attractive
to dump that masternode and take $93,000 out of it. But that's not what I set up to do. I made a plan and I stick with it.
I buy and I hold. Because if you try and trade, it takes a ton of time and energy. Lots of times, you miss out
on the best action. If you're like me, you want
to be in on the best action. The only guaranteed way
to be on the best action is to consistently buy
a little bit every single month. Then, "Look, I'm in
on all the action right now." As the price of Bitcoins went up, as the price of Ethereum went up,
I've made money on all of it.

The nice thing is,
when you do a buy and hold strategy, you don't have to–
when everyone else sells, for example,
the Dash price plummets to $8 or something like that,
I don't need to sell. I can afford to let the price plummet and then go back up. In fact, the nice thing is, when you consistently buy and hold, I'm putting money every month
into these cryptocurrencies. I'm essentially
just buying the market.

When I do that,
if there's a huge down spike, I essentially get
a really good deal then because I just consistently
buy every month and hold it. If there is a plummet, that's
when I get a really good deal. When everyone else wants
to sell and no one wants– if say Ethereum goes back down to $7, I'm going to continue
buying it anyway. Then if it goes up back up a bunch, I've got a good chance to earn. The best part of this is, I don't have to check
how much it's worth. I don't have to care
what the numbers are. The numbers are almost irrelevant because I'm buying and holding.

I'm buying and holding. So what if the price goes up today? I'm not selling. Now for Dash,
because I've got the masternode, the higher the price is,
the more I am able to buy
of the other online currencies. Because I get mass,
I get dividends paid in Dash from the masternode. If you're not getting dividends
paid from something, it's especially tempting
to just trade. It's tempting to buy something
and sell something and say, "Look, I bet Ethereum's
going to go up to buy a bunch of that,
and then if it goes up to sell it." But what if you buy it
and it goes up way more than where you sold it? What if you buy it and it goes down? There's all this anxiety
and fear and uncertainty. Then you have to obsess over it. I just put my money in every month because I believe,
over the long term, these online currencies are amazing.

I believe in the long term. In 10, 20, 30 years,
I think the majority of the world will work and deal
in online currencies. At some point, governments
may start to actively fight it. But I think these online currencies
will overcome governments fighting about them
as well as more of us continue to put our money in. Therefore, I buy some today
and I hold.

I buy more each month and I hold. To make money for this, I've pulled my retirement
out of everything else. I've cashed out
all my other retirement, taking the money
so that I could put it in these online currencies every month. This way, if the price goes up,
I make money. But when I buy more,
I don't get to buy as much. If the price goes down,
I get to buy more. Then when the price goes up,
I make more money. Then, I have peace of mind.

I'm setting up a retirement account. I'm not trying to just trade
and make money. See, when you trade to try
and make money, you might win,
but that might be the worst thing that can happen to you. If you're like me, anytime that
I've traded and made money, I got this big head. Then I got wiped out
when things went down. At first, with some
of these currencies, I've traded and made
a little bit of money and I got destroyed
when they went down. On one day on Poloniex,
I'd traded and made three Bitcoin in a few months just playing around. I lost all of my earnings
in one day on Poloniex. Guess what I did? Not long after that, I sold. If I'd held those by now, I'd have something
like 10 or 15 Bitcoin. Instead, I put all of it in the Dash and then self-promoted Dash, and then the Dash price
went up a whole bunch. That's worked out good.

At the same time,
I'm now very vulnerable. If the Dash price goes down,
I could easily lose the majority
of all my online currencies. What I'm doing is consistently
investing in each of the others. I'm not putting any more money
in the Dash because I've got a masternode. I'm consistently putting my money into most of these
into the top 10 on BitFenix, whatever they have on BitFenix. Over time, I'm consistently
putting my money into the top 50 on Poloniex. I'm grateful today. It doesn't matter what the price is, I'm buying every month
and that's simple for me. I hope this quick tip video
has been useful for you. If you found this video helpful, thank you very much
for watching the whole thing. Would you please leave
a like on this video so that other people like you will be able to experience
the same thing? If we reach 1,000 likes
on this video, I will do another livestream
showing exactly how I make all these transactions
which I hope will be helpful
whether you're a beginner or whether you want
to just see the exact system I use to do this every month.

If you've enjoyed this, would you
please continue learning with me? I've got a bunch of courses online
you might enjoy. jerrybanfield.com/freecourses. I'll go to that now,
jerrybanfield.com/freecourses. I've got a class that goes
into all the details on how to do this
in much more depth on Skillshare. There's also a two-hour free version that has many of the same things
on YouTube. It's called cryptocurrency investment
and retirement planning, where I show the details
of how I do all of this. The Skillshare class has more depth and it doesn't have any ads. It's also more polished
and organized. Thank you very much. I hope you have
a wonderful day today and I hope this is useful for you. I hope to see you on Skillshare
learning with me, too..

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