CC#018 - TradeAssist July 2022 Performance Snapshot

From low to optimism?

July 2022 has pivoted the market sentiment.

We may have a bottom price for Bitcoin ($17,600) and other digital assets that were not as bad as people feared (or felt) in June.

Whether this is genuinely the bottom of the bear market remains to be seen, but with Bitcoin now above the 200-week average, things are looking up.

Either way, we are firmly in relief rally territory, where market psychology is more optimistic, despite the low prices. Around here, (long-term) smart money investing is in full swing.

Investing is exactly what I have been doing at these prices for July after launching the TradeAssist Masternode as a service feature (more about this later). So far, this has been the most popular offering from TradeAssist, raising £64,000 of investor capital in the first week (with more on the horizon).

A long-term focus on these prices helps eliminate the psychological need for confirmation that further price declines are not likely. If they happen, they are likely to be short-term and present additional opportunities rather than be a source of concern.

There are many opportunities at these prices; for simplicity, I am targeting two projects, DeFiChain and Syscoin, as these have a masternode model representing the gold standard of security, yield generation and utility in crypto.

But what about the broader market?

While there is still a lot of FUD (fear, uncertainty and doubt) in the market, this does not appear to be affecting prices in the same way as they did in June. Bitcoin, at least at the time of writing, seems to be resilient to dropping lower (or even approaching) $20,000, with any sell-off quickly bought up, no matter who steps down as CEO or how many crypto wallets of other projects are hacked.

Masternodes (utilising offline storage) cannot be hacked but can still generate a yield. Bitcoin (stored offline) cannot be hacked. Some Bitcoin investors wish they could hack their cold storage, but it’s impossible without a connection.

Once again, the market is testing investors’ levels of due diligence and eliminating those looking for ‘easy returns’. Having said this, you can never say never in crypto - a statement that customers of Celsius, Luna/UST know all-too-well. You can quantify and eliminate risk, however.

The majority won’t invest here and will ultimately regret it because they will follow the herd and wait for a bottom. So the only way to make a profit is to either be already exposed or invest at these levels and live with the uncertainty.

The golden rule for these markets is select a high-quality project; if prices drop - buy more.

On that note, let’s look at the fund performance over the last month.