Crypto portfolio update

Exposure: 2.4%

Net return: 620.4%

Comments: Two weeks ago, I talked about increasing my crypto exposure.

Since then, many crypto influencers have jumped on the bandwagon. Thanks in part to them, my positions were pushed into profit and I quickly took the gains off the table. (Private group members watched me do this every step of the way.)

In my opinion, the 'long ETH' trade is overcrowded and many participants are going to get punished for buying late into the rally (the majority always gets it wrong).

Before long, I think the narrative of a deepening bear market will emerge again. If/when that happens, the masses are likely to once again react in counter-productive ways.

The key is to stay 2 steps ahead of the crowd. If you're reacting to what you're seeing today, you're already too late.

For now, my preference is to stay in stables until the situation is conducive to start buying in again.

Current allocation:

📉 Is the bear market over?

A few weeks ago, the majority of crypto influencers insisted we were in a 'bear market rally' and missed the entire +100% run on ETH.

Then, just as prices were near local highs, they capitulated and FOMO-ed into the peak.

And now, prices have once again fallen.

Predictably, many people got caught on the wrong side of the market (again) and are now holding on to a growing paper loss.

The worst thing that can happen to them now is a new market low... and the chance of it has increased.

So. Is the bear market over? This is the operative question.

Nobody has a crystal ball of course, and the answer can only be known with the benefit of hindsight.

But, for what it's worth, I don't think a new low is out of the question.

The market is fickle - especially these days - and a flexible outlook is needed to sail these treacherous waters.

For now, I'm leaning towards a neutral-bearish stance. I would in fact hope for the market to move lower so I can buy in again at a bigger discount.

Until such a time comes, I'll be adjusting my portfolio based on my shorter term outlook. As usual, the private group will have a front row view of every action I take.

🏰 DeFi Kingdoms partners Wisdom Labs; Moves to Klaytn

The news is out: Kingdom Studios will be outsourcing the development of PvP mode to Wisdom Labs.

This came as a surprise, as I was under the impression that the DFK team had been working on PVP all along.

I've shared my thoughts about this on Twitter:

My last hope was for PvP to be DFK's redeeming feature, but the chance of that happening is now - in my estimation - severely diminished.

With this development, I struggle to see how DFK can regain its former popularity.

Klaytn

Word on the street is that Serendale 2.0 will be launching on the Klaytn blockchain.

While this would be a welcome change, I don't think it materially alters the fundamental outlook of DFK.

Until the game can appeal to a large number of players, it makes little difference as to the chain it runs on.

Admin update

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 Quote of the week

Most people don’t want accurate information, they want validating information.
Growth requires you to be open to unlearning ideas that previously served you.

- James Clear

Thanks for reading, and have a great weekend.

Cheers,
Slowmad

P.S. If you have any questions or feedback, let me know at: chris[at]digitalslowmad[dot]com