Hi Pauley1,
This brings back some memories.
During 2021 I got into NFTs big time. I did not have too many different holdings, but my initial investment was less than 10% of our crypto portfolio, and at a high point, they had rocketed to a total value approaching $50K. I did not see the crash coming. By far my biggest holding was DeFi Kingdoms which had done a 10X + within 3 months. I look back with hilarity on that mad episode. It was all about timing, and with NFTs I got it wrong. Numbers sound huge, and it is incredible that we are still about 40% up on our total crypto holdings. I have not traded for over a year, and am waiting for the crypto markets to recover before I do any trading. I haven’t even looked at the value of our NFTs, expecting most of them not to exist. I wrote down the value to zero around June 2022. They take an awful lot of time to trade. When the DeFi Kingdoms NFTs were about $400 each, it was fun cash flowing an accumulation of quantity of NFTs at an amazing rate (something like 20% per month gains) and it was like a feeding frenzy. I wrote them off when they fell to 2% of their highest values and laughed all the way to the bank, regretting that I did not at least sel out half of the stock. We are very fortunate that our entire trading investment is a small part of our investment portfolio so I could have a positive view of outcomes. Crypto (and NFTs) is a great example of where dollar cost averaging is such a wonderful concept when exercising it over a long period. We chose to do that with gold, not stock or foreign exchange or crypto. I am not a gazzillionaire, but it is times like 2023 when you are so glad you invested at both extreme ends of the market.
They always say don’t invest more than you can afford to lose without it impacting your lifestyle. I am patiently awaiting the impacts of the next bitcoin halving (or Ethereum equivalent) and am keeping cash balances at the ready for a re-entry. Do not be put off by your NFT trading history to date. You will come back stronger and wiser, but the markets need to give you the sign that they are ready for you again. Don’t try to force trades when the market is as it is right now. A higher degree of regulation is in order, and it is not that obvious whether that will happen or whether first world economies will even ever let that happen to spoil the habit of all history. The perpetual exponential growth in printing money until it is worthless. Every nation in all of history has done that until its currency is worthless, no exceptions for 5,000 years.
If you don’t already know this video series is well worth a watch. I have been following this guy since 2008