Why Crypto Is So Hard In 2025
Lark Davis
Introduction to Crypto Market Challenges
- Bull markets are not always fun, especially in crypto where competition is high and losses can be massive
- The crypto market is brutal, with many investors ending up on the losing side
Post-Traumatic Stress Syndrome (PTSD) in Crypto
- PTSD is real in crypto, with the FTX and Terra collapse leaving psychological scars on investors
- Fear of losing everything is prevalent, leading to extreme financial nihilism
Market Dynamics
- Narratives change quickly, making it hard to build a long-term portfolio
- Innovation has led to millions of new tokens, causing massive dilution
- The market is evolving rapidly, making it hard to keep up
Scams and Risks
- Many scams are present in the market, including fake tokens and pump and dump schemes
- Risks are high, and investors need to be careful and do their research
Macro Environment
- The macro environment is uncertain, leading to large liquidations and market volatility
- Global events, such as trade wars, can impact the crypto market
Bitcoin Dominance
- Bitcoin dominance is high, leaving altcoins in the dust
- Historically, altcoins only perform well when Bitcoin cools down
Conclusion
- The crypto market is brutal and unforgiving
- Investors need to be careful, do their research, and adapt to changing market conditions
- There are opportunities to make money, but it requires a ruthless and informed approach.