The 3 Types Of Crypto Users

14 Satoshi was tipped

E
E
ecodebase2021/08/02 00:43
Follow

I was inspired to write this by the recent moon event we saw with FARM. Price shot up nearly 300% in a 7 day timespan due to a bevvy of updates from the devs and a surprise Coinbase listing that has brought all sorts of new eyes to the Harvest Finance platform. With that notoriety has come a wave of new faces in the Harvest Community Discord.

Thumbnail of The 3 Types Of Crypto Users

The 3 Types Of Crypto Users


I was inspired to write this by the recent moon event we saw with FARM. Price shot up nearly 300% in a 7 day timespan due to a bevvy of updates from the devs and a surprise Coinbase listing that has brought all sorts of new eyes to the Harvest Finance platform. With that notoriety has come a wave of new faces in the Harvest Community Discord.

Some of these new faces have brought with them positivity and may result in a net gain for the community and others, not so much. In those new faces I believe they can be summed up in three main categories - Moon Kids, Traders and Long Term Investors. None are inherently bad or good they just all come with their own perspective and unique strategy (or lack thereof) when it comes to crypto. So without further ado, let's get into it.

1. Moon Kids

Moon Kids, another name might be retail investors or the buy high, sell low crew. By the time Moon Kids show up, the profit has already been made. These are typically the group of people that flood in to pump up and shill a coin, long after the traders and long term investors have made their profit. In the case of Harvest, Moon Kids started showing up when the correction from the pump had already begun.

f00aa2ca568cfe5f1d056e5ce82569d407564fe7fdb17e146bc99c514b375d85.jpg

Obviously the goal with investing is to buy low, sell high but Moon Kids are a different breed. Due to their lack of experience in investing or crypto in general whenever they see a coin start to hit it's All Time High they instantly ape in as much money as they can hoping it continues to pump from there. Once consolidation or a price correction begins they sell off, now bored by the sideways action. Failing to realize that after every pump corrections must occur so the next pump can be greater. 

The core motivation of the Moon Kid is to make lottery-type money as quickly as possible. Unfortunately most must be taught the hard way. That money that comes quickly tends to leave just as fast if the proper skillsets haven't been developed to keep it. So if you don't wanna be a Moon Kid, do your research and learn as much as possible about crypto. With that being said, there is power in the Moon Kid. Moon Kids pumped SHIB into the top 30 and DOGE into the top 5. So keeping them interested can be a key to a momentary pump.

2. Traders

The second type of crypto user I saw was the Trader. Traders come in many shapes and sizes - Day Traders, Arbitrageurs, Scalpers, Swing Traders, Degen Farmers, Momentum Traders and the list goes on. The thing that identified them most was their knowledge of Harvest/FARM, in spite of being brand new on the server, and infatuation with talk of order books, resistance levels and technical analysis.

f03e7a598bdc8d496273aae9473622b8788c9d4937bc48f91c846f0ee0d64d28.jpg

These types of crypto users are what the Moon Kid wants to be. They're in the project just before the pump happens and just prior to the correction. The successful trader has deep knowledge of how crypto works, the markets tend to move and when to jump out of a project. Outside of just trading assets I believe traders can also be degen farmers, as long as they're not getting rekt by staying in too long. 

The successful trader is hard to come by in crypto. They generally don't stay long term in any project Discord or Telegram community but instead stick with their fellow traders in private chats. So getting the opportunity to speak with one is a rare experience.

3. Long Term Investors

The final type is the Long Term Investor. These are also a rare breed but were very present in the Harvest Discord prior to the moon. Generally speaking they're not easily rocked by big upswings or downswings in price. Choosing instead to carefully choose their projects and stick with it until the end. The Long Term Investor tends to choose their projects as wisely as they can, living by the adage of Doing Their Own Research. This group profited the second most (trading probably being the most) from the recent FARM moon.

c940796342c9f0846dd8d4b06f08710dc5aca8bc7a4844545fd58fe3033d2703.png

The downside to Long Term Investors is they can sometimes get themselves into an echo chamber or become so convinced the projects they're a part of are the future. Failing to see the writing on the wall. This can be a tricky place to be as crypto is a very volatile space. What can be mooning today can go to the dumpsters tomorrow because of an unforeseen exploit in code.

In my opinion the best thing to do if you're already a Long Term Investor is to keep your mind open. Don't become so closed off to other projects or other opinions that you fail to see the flaws in what you're already a part of. It's good to have a few critical people in every now and then to ruffle feathers and keep innovation going.

Final Thoughts

You can probably tell what group I'm most partial to here. However seeing the wide range of people come into the Harvest Discord, what their backgrounds were, how they learned about FARM and the project in general really opened my eyes to just how many people fall into the Moon Kid category.

And how few people really want to learn more about how crypto works but just think they can hop into something and make a quick buck. Looking at prices now the majority of those Moon Kids earned their stripes by buying high and selling low. So if I can implore you to do anything, it's to do your own research and really learn about crypto/DeFi before jumping into anything - and doing your own research doesn't mean asking other people for their opinion, it means forming your own! With that being said I hope you enjoyed and got something out of this post. Happy Earnings!



Earn Free Bitcoins and other crypto (Referring) : 👉  


Binance: https://accounts.binance.com/en/register?ref=CJGVZCGU


PI token Mining : https://minepi.com/ecodebase and use my username (ecodebase) as your invitation code.


Bee token mining : Here is my invitation link for BEE Network. Use the invitation code: (basiru) Download at: https://bee.com/en/download


Global-hive: https://globalhive.io/r/168363


Coin token : https://coin.onelink.me/ePJg/a23b1bd9


Hashshiny: https://hashshiny.io/r/NY3492137


StormGain: https://app.stormgain.com/friend/BNS19379022.


Remitano: https://remitano.com/btc/ng/join/2815124













Bitcoin
cryptocurrency
money
Free bitcoin
investment

Tip bitcoin for this work

Send bitcoin to this address

Comment (17)