Cryptocurrency Bear Market Survival Guide | Loving wealth is like loving life

"Suffix" editor-in-chief @Jeger has another event! But why did a book "Wen Qingzhi" come to write about cryptocurrencies and investment? (Although it is said to be "fake")

Is it because the Like Coins that are sent to you now have depreciated in value, and you need to let everyone write a wave to encourage yourself?

Thank you Bi Da @Reading Bi Farming for overweight , linked with "Suffix" in [ Matters Discord Cryptocurrency Channel ], this essay contest feels official at once! Heart is worse than action!

If it's just cryptocurrencies entering a bear market, my answer is simple, stay away from the trap and don't fight brute force with the whales. But don’t talk about cryptocurrencies now, the entire society and economy is facing a crisis of recession: rising prices, layoffs in companies, sluggish retail industry, global political instability, supply chain reshuffle… Assets in hand have shrunk across the board. Therefore, at this time, how to survive in the cryptocurrency bear market cannot ignore the economic winter of the whole society - the economic cycle falls on the individual, and it is a major event in life.

Zhao Benshan summed up the two major tragedies in life:

• People are still there (lost the ability to work), and the money is gone.
• The people are gone, there is a lot of money left!

Therefore, my consistent view of money is: people live in money, people go away and money perishes (huh?) Money is like a small universe behind it, burning with the will of human life🔥🔥🔥

The following text is welcome to read with BGM (I also wrote the following text listening to the passionate songs of Saint Seiya).

The Wealth Microverse has 4 levels, pointing to more and more personal energies:

• Security guarantee : It is the basic guarantee of clothing, food, housing and transportation that we usually say.
• Vitality : After the basic personal safety is guaranteed, we hope that life is a little fresh , and we can take risks and try things that may fail, but will be a good life experience.
• Liberty autonomy : the right to say no . Reject undesired client projects, leave work that corrupts the spirit... Have the ability to control your own time without being forced to open a business.
• Abundance Abundance : You don't feel missing when you give yourself. Reward street performers, sponsor NGOs that you identify with, give enough tips to restaurant waiters, buy food for street sleepers, pay to support the author of Matters 😉, do some volunteer work... Give something at any time in your daily life, it is beneficial to Form an abundance mindset: I don’t lack anything and can give it at any time; what really belongs to me, no one can take away; I will have it when I need it.

The state of Abundance matters because— abundance is the ultimate financial freedom . The more wealthy people are, the more likely they are to feel deprived; the more charitable people are, the more they feel that the microcosm will take care of them. This is real! Even when I was relatively poor, I kept money for buskers. So when budgeting, try to include this one!

I have also had a time when I was bored to make money and only thought about how to get a promotion and a raise. But after winning a few income upgrades, I suddenly felt that the tunnel was endless. How much money do you need to earn? As a young writer, I thought that after my annual salary of $$$$$, I would be able to play those unprofitable hobbies that I liked, but with the increase in wages, I spent a lot of time managing the promotion channels in the workplace. , and didn't do much of what he liked. And what I want is not a lot of money, but a very free life.

So if you only think about how to make money, your own small universe can only be regarded as the level of security . If you join a company with a good working atmosphere, good treatment, sufficient paid leave, professional development budget (the company pays you to learn new knowledge and improve your business level), and there is no layoff crisis, you will only reach the level of Vitality . layer.

To move towards Liberty , you should first have sufficient savings and a reasonable asset allocation to generate sustainable passive income. In the past ten years, the economy has generally been on the rise. Investing in the U.S. stock market and increasing your holdings in some emerging market composite stocks is a very worry-free means of wealth growth.

According to most advocates of the FIRE movement (Financial Freedom Retire Early), the money invested in the basic U.S. stock market can support 4% interest withdrawals per year. In other words, if your annual living expenses are $50,000, then you can live on interest as long as you invest $1,250,000 in the U.S. market. The 4% figure is based on the fact that the stock market has experienced turmoil in the past century, but the average annual growth is still around 9%, so 4% can be spent. I was also working hard for ✨Magic Number 4%✨ in the early years.

But this is bull market thinking. In the current period of shrinking every day, even FIRE Guru must not dare to withdraw money!

So I pulled out my liberty bill again, pricing the life I wanted:

The above expenses are for reference only. You can define your own Security, Vitality, Liberty and Abundance content. It can be seen that, except for Security , which is just needed, the rest of the expenses are very flexible.

Who says freedom is priceless? Whether it is a bear market or a bull market, knowing the price of your freedom at any time will make you feel at ease. Other financial actions can be based on this.

In the early years, I calculated the figure based on this table and divided it by 4% to get the money that I still need to invest in the U.S. stock market for early retirement, and work hard for it. This year, change your mind, let's not talk about retirement, take a gap year first. So in the Liberty column, I planned 12 months of Security and 6 months of Vitality (to cut down on luxury spending during the gap year). But if you have a stable income and generally happy work, you don't need that much Liberty budget. Think about how much money you need to have the confidence to turn down an unwanted job offer.

The best investment I made last year was when the stock market had not collapsed, the housing market had hit rock bottom, and the mortgage interest rate was less than 3%, I took money out of the stock market, paid a down payment to buy a house, and worked brightly and steadily. Loans from banks at very low interest rates. Now the rent for the same housing in this block has soared to 6,000, and my mortgage and property expenses add up to less than 3,000. It can be said that it has laid a solid foundation for my future gap year. Even in the face of the Great Depression, I have to resign a little more. courage.

Taking a gap year from a budget point of view is to set aside spare money so that you can have a Liberty who does not work. From an investment point of view, it is also a kind of Vitality, giving yourself a vacation and rest, and having the opportunity to consider the next path, refit or transform your existing Skill. After all, money, assets, time, and the life you want are all energy conversions between each other . Whatever you invest in, you are ultimately investing in yourself.

You may be asking: After a long time, where is the cryptocurrency? Didn't you say you want to write about cryptocurrencies? ?

Mmmm, the cryptocurrency spending, I put it in Vitality > Try new products, new toys, learn new skills . (Buying and selling a single stock also falls under that category)

That's right, the money I invested in the cryptocurrency market was so bad that I couldn't cry. All the money I made in the bull market in October last year was paid back with interest! But because it belongs to the category of Vitality > Try new products, new toys, and learn new skills in my budget, I have only invested less than two months of security budget over the years. It is to play and learn mentality.

As far as my current knowledge (and cash) reserves are concerned, I can't regard cryptocurrency as a reliable asset allocation, let alone hype it up. I can only play and learn. What I earn is pocket money, and I lose it when I lose it. Spend money to buy that kind of excitement 😅. So I'm less likely to be encouraged by the likes of Elon Musk to buy coins like Dogecoin. Still need to understand the project before follow-up.

Taking out fiat to buy cryptocurrency is an investment. Taking time out to participate in a crypto project is also an investment. When I successfully enter the gap year, I will invest more time 😆. If a project is worth the money, it must also be worth the time.

Before I bought a house last year, I also thought about leaving this city that was depressed by the epidemic, but when I repeatedly deduced my ideal living state , I realized that this city is the life I want most. I donate money to Central Park every month, I buy tickets to support Broadway online performances as soon as possible, I volunteer in the nearby community, and I will not be discriminated against if I am single in this city 😅  … This is my little cosmic energy Where the replacement is. When I bought a house, I didn't know the housing market was going to come back, I just knew I was going to be with New York through thick and thin.

The next cryptocurrency I buy must be for a reason similar to what I bought a house for. No matter what you invest, how you invest, in the end, it’s just to live more freely and live the way you want.