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There seems to be enough evidence that cryptocurrency will be around for the long term, it has been around since 2009 with creation of Bitcoin.
I have been dancing around the idea of "magical thinking" since I began writing about cryptocurrency without actually thinking about the actual term magical thinking. I have been writing about how some people seem to get offended when a post is written challenging an exchange or coin/token they like. I think it is really healthy to challenge what you are into in a realistic and honest manner. Why wouldn't you want to dig into whether a coin/token is tangible, or built on fantasy or a fraud? I have been writing about my own (repeat my own) investment strategy. I am not writing about investment advice, just my own thoughts. My strategy is invest in something real and tangible, not on fantasy, and not on hype. For a few weeks I owned a few million Shiba Inu, which is and was a small investment. I loved the idea that at one point if you had invested $2 in Shiba Inu, you would have been a millionaire. Then I came to my senses, there is mathematically no way for that to happen again, THERE ARE SIMPLY TOO MANY SHIBA INU, even with all the Shib Burns. I sold at a few dollar profit. Before it tanked 25%.
Now, on to the point of this post, I was reading an article today from the New York Times, here it is: https://www.nytimes.com/2023/01/16/opinion/the-crypto-collapse-magical-thinking-capitalism.html The article crystalized what I was thinking, "magical thinking." I was not using the term in my head, but the first few paragraphs of the article laid out my thoughts better than I have been. I have thought about that term as a psychologist, and did not translate it to cryptocurrency until reading that article.
Then I was thinking as I read the article further, cryptocurrency is here to stay, and I am not down on it like the author of the opinion piece is. Again, I am a psychologist writing about my interests, the author states they are a finance professor. (They are the expert on finance, I am doing this for fun). I do agree with the premise we need to be more realistic about cryptocurrency and it's uses. There are no magical ways to make money, but there are ways to get in early on cryptocurrency.
They say the best time to plant a tree was one hundred years ago, the second best time to plant a tree is today. If I use this in terms of cryptocurrency, the best time to invest in cryptocurrency was in 2009, and the second best time to invest in cryptocurrency is today. I wrote something about a month ago raising the question, is this the last best time to invest in cryptocurrency. I believe it is, not because of some emotional reaction to things, but in a solid belief there is something to cryptocurrency, and that there are real, solid projects to invest in. The problem is that there are over 9,000 coins/tokens, of which most are likely scams.
I will continue to really challenge my thinking on coins I like, not on whether they are up or down, not on some bragging or posturing by it's founders, but on simple and solid growth and evidence there is something there.
