On February 12, 2024, Bitcoin rebounded from a previous low of nearly $15,000 to a high of $50,000. At this point, I had no coins left. Why? I can only say that even if I were to casually spend my cryptocurrency, I wouldn't have the ability to "go to zero," but FTX had that ability! Alas, my money was taken away by a garbage exchange 🥲.
I entered the market during the $60,000 BTC period in 2021, and then experienced the crash on May 19 🤣. In the latter half of the bear market, my girlfriend, Jellyfish Sister, expressed her desire to buy coins, so I helped her enter the market when BTC was around $40,000, using a grid strategy called "Heaven and Earth Orders." The grid is a tool for buying low and selling high to earn from volatility, but it cannot earn enough trend profits—the most important source of income. After that, BTC rose to a historical high of $69,000, followed by a bear market lasting over a year, dropping to just over $15,000, a nearly 80% decline.
The holding experience during the bear market was very poor, but since I didn't buy all positions in spot, Jellyfish Sister's account only had a maximum drawdown of about 1/3. However, she could no longer bear or feel this level of volatility, so she almost forgot about it, treating the money as lost.
I seemed to be overly aggressive and casual with my trading account, constantly searching for the "holy grail" of trading, testing trading strategies with programs, and engaging in automated trading, falling into many common pitfalls, including strategy overfitting and improper capital management. In contrast, I operated Jellyfish Sister's account very cautiously, not daring to spend recklessly, and chose the most stable and least favored trading strategies.
After losing a lot of money, my funds were taken by FTX. But Jellyfish Sister's money was in another exchange, escaping disaster. At this point, I had no intention of adding more funds, so I completely focused on her account.
In early 2023, at the market bottom with BTC priced over $20,000, I miraculously sensed a market reversal and almost fully invested the money in Jellyfish Sister's account into BTC and ETH. As you can see later, amidst people's doubts, BTC entered a long climbing phase. It wasn't until a few days ago that Jellyfish Sister truly realized: she had made a 50% profit on her principal.
"Damn, I'm selling tonight." — Jellyfish Sister said when BTC was about to reach $50,000.
On February 12, 2024, BTC suddenly surged again, triggering Jellyfish Sister's fear of heights, a reaction I seemed to be familiar with, but I didn't know when the change occurred. Now, seeing such a trend, I felt no fear of heights and was very certain that it would continue to rise. I found this change quite strange. At this moment, I didn't listen to her words to sell her holdings, but tried to alleviate her panic and said to her:
"From now on, every time BTC rises by $10,000, I'll come to mock you once."
As I write this, on February 28, 2024, with BTC priced at $61,000, Jellyfish Sister's account principal has doubled, and I executed the first mockery. It had been less than a month since I said the above. However, although she made a lot of profit, the huge volatility still posed a psychological challenge that was hard for her to accept.
I find this experience very interesting, so I wrote it down here and am willing to update it each time I mock Jellyfish Sister—hoping I get the chance to update it.
# Mockery Log.log
2024-02-12 [INFO] BTC=49K, Jellyfish fear of heights
2024-02-28 [INFO] BTC=61K, Mockery No. 1, Jellyfish account increase +34%
2024-03-11 [INFO] BTC=71K, Mockery No. 2, Jellyfish account increase +23%
2024-11-10 [INFO] BTC=80K, No more mockery, because Jellyfish herself added positions at 55K and hoarded a bunch of coins, Jellyfish account increase -16% (strategy impact)
2024-11-13 [INFO] BTC=90K, Jellyfish account increase +22%