Let’s play a game. Here’s how it works.
I’m running the game in a room full of hundreds or even thousands of people, all of whom are looking to play in order to go home with a big wad of cash.
I’m giving one person at a time a poker chip, as quickly as I can.
I’ll offer the first person to hand me their poker chip in return an amount in dollars equal to all the poker chips in the room. But once I do, the game is over, and everybody else goes home empty-handed.
Now, let’s say you’re in this lucky audience. What’s your best strategy for going home with a lot of dough?
Turn in your chip too early and you win the game, but you go home with a pittance. Wait too long, however, and someone else will cash in instead of you.
The answer: do your best to convince everybody else to hold onto their poker chips, in hopes of going home a big winner. Then take a careful read of the crowd, and when there’s a mad rush to turn in chips, make sure you’re first in line.
Just so with crypto (although admittedly, the poker chip game is a bit simplified). But just as with the game, your best strategy is to convince everyone else to hold onto their crypto, because that’s the only way crypto will ever grow in value.
In other words, convince everyone else to be a hodler, since hodlers are chumps. Just make sure you’re first in line when the bubble pops – and good luck with that.
Jason Bloomberg neither owns, nor plans to own, any cryptocurrency or other cryptotoken, either long or short.