sport football: The Silent Killer of Your Wealth: It’s Not Volatility

The Silent Killer of Your Wealth: It's Not Volatility

The market will do everything in its power to keep you from making money. That's because it's efficient at exploiting human emotions.

You've often heard me talk about volatility. That's because I've seen it rob investors of fortunes – not by wiping out their portfolios, but by scaring them into making the wrong move at the worst possible time.

Fear does that. It tricks your brain into thinking survival means getting out when you should be staying in… Or getting in when you should be staying out.

But there's another emotion – one I don't talk about as much – that might be even more dangerous than fear.

It's boredom. And I've seen it wipe out as many potential millionaires as fear has.

Unlike fear, boredom doesn't punch you in the face. It whispers. It lulls you into a false sense of "nothing's happening." And before you realize it, you've quit a life-changing investment because it didn't move high enough fast enough.

Friends, I get it. Everyone gets bored at times.

It's happened to me in stocks, real estate, and collectibles like cars and watches. I got bored, sold too early, chased the new shiny thing and ended up leaving millions of dollars in profits to other more patient investors.

Knowing that you own a great asset is half the battle in getting rich from asset ownership. Time is the friend of the person with a portfolio of well-chosen assets.

Always remember that over time, the value of great assets ALWAYS gets realized.

Time will march on regardless of what we do… So shouldn't we make time our friend?

The method I use now is to always make sure I have a healthy cash cushion and/or assets I can borrow against should an emergency need for cash arise. That gives me the freedom to sit through truly insane volatility.

And make no mistake: If you want to close the gap between your current reality and your financial dreams in weeks, months, and years instead of decades… you will need to learn to harness volatility – in a way that works for you without wiping you out.

From Snoozefest to Shockwave

Here's an example of what I mean. Imagine it's 2011. Someone recommends you buy a certain asset at $7.

And they tell you this: "Hold this for 15 years and you'll make 398x your money – turning every $1,000 into $398,230."

Sounds like a no-brainer, right? But what if they also told you this:

"You'll lose 50% on paper – multiple times."
"It'll do nothing for three years straight."
"People will call you crazy for owning it."
"You'll question everything."

You'd hesitate. Most people would.

The asset I'm referring to is shares of Tesla (TSLA). And everything I just told you happened.

From 2010 to 2012, Tesla barely budged…

Think about that. Tesla traded between $1 and $3 (split-adjusted) for three years. I'm willing to bet that a lot of investors who got into Tesla's IPO called it quits during those years. It was just a boring stock.

But even if you held the stock through those boring times, you wouldn't be out of the woods yet.

Look at this Tesla chart from 2013–2016. We see a huge move higher at the start. But then it goes through years of sideways action.

Shares ran as high as $19 (split-adjusted) and dropped to as low as $9. You'd have had to deal with those ups and downs for years before Tesla finally broke out.

In 2019, I actually recommended Tesla to a group of high-net worth individuals at a conference in Carlsbad, California. It was trading around a split-adjusted $40 per share.

It promptly collapsed 30% right after I recommended it… before going up 30x over the following two years.

Today, Tesla trades near an all-time high of $450. That's over 39,723% from its IPO price – enough to turn every $1,000 into $398,230.

All that sideways action… All the volatility… All those massive drops… When you pull back the camera, they're now just blips on the radar.

Friends, here's the takeaway…

You can't judge the quality of an idea by its daily price action. Because if the market were truly efficient, Tesla wouldn't have gone through all that choppiness for years; it would have just gone straight up.

That bears repeating: The Markets Are Not Efficient.

The reality is this: While the market is efficient at exploiting your emotions – it's highly inefficient when it comes to pricing in the long-term value of disruptive ideas like electric vehicles (EVs), artificial intelligence (AI), and crypto.

Don't Let Boredom Steal Your Future

The market doesn't hand you generational wealth on a silver platter. It gives it to the few who can sit through the noise… the sideways chop… the dead years… and stay committed.

I warned investors about this during the 2018 Crypto Winter – when bitcoin was bouncing between $6,000 and $7,000 for months.

Everyone was yawning. Headlines were dead. No one cared.

I said then: "Right now, your biggest enemy isn't fear. It's boredom."

In July 2020 – same thing. Bitcoin was stuck in a tight range between $9,000 and $9,500. No excitement. No headlines. I warned again: "Boredom is costing people millions."

And I meant it.

Since I first recommended bitcoin in 2016, it's up 25,233%. You don't get that kind of return by trading every chop in price. You get those kinds of gains by holding through boredom.

If you're a longtime follower, you know I believe bitcoin will eventually hit $1 million by the next decade. That's nearly 10x higher than today's prices. Will it go there in a straight line? Can I tell you the exact date that will happen?

Heck no. It will not, and I cannot.

Here's what I know: The route bitcoin takes to 10x is none of our business. All that matters is that it eventually gets there.

Now, the only way you'll capture that gain is if you don't get shaken out by volatility or boredom.

The Next 90 Days Could be the Most Exciting in Crypto History

Friends, volatility is loud. Boredom is silent. But both can shake you out of a fortune.

So here's what I want you to remember: You don't need to outsmart the market. You don't need to time every peak and trough.

You just need to let time do the heavy lifting. And right now, time is on our side.

Over the next 90 days, a rare window will open in the crypto market. And it's happening during what's historically the most bullish month of the year for crypto.

Other than a glitch in October 2015 (when the market was down 4.5%), bitcoin has an average monthly gain of 22.9% in October. That's why we call it "Uptober."

Here's the thing: This year, Uptober isn't just another seasonal bounce. It's coinciding with a phenomenon we call The Convergence.

If you're not familiar with The Convergence, it's the confluence of three major trends…

The launch of exchange-traded funds (ETFs) focused on specific crypto sectors… A friendlier regulatory landscape… And mass financialization of crypto products leading to global institutional adoption.

When I first introduced our research on The Convergence, bitcoin was trading a hair below $54,000. Since then, it's traded as high as $124,000. And as I mentioned above, over the coming years, I believe it'll eventually trade as high as $1 million.

My research suggests the biggest gains from The Convergence will come from a tiny subsector of crypto tokens that have automatic payouts.

We call these "crypto payouts."

What makes these tokens unique is that they have automatic payouts that generate income month after month after month… no matter what's happening in the market.

It's somewhat similar to the way some stocks pay dividends. Instead of receiving cash, though, you receive more of the underlying crypto.

I recently held a special briefing to explain how these Convergence catalysts will push crypto payout tokens much higher. I also shared details about six crypto payout tokens I'm targeting in this niche sector.

You can stream the replay right here.

Friends, I've made every mistake you can when it comes to investing. In the 1990s, I traded too much. I gave up on great ideas too early. I let boredom rob me of fortunes.

But I don't want that for you.

So next time your investment feels "boring"... remember Tesla in 2010. Remember bitcoin in 2018. Remember this essay.

Because sometimes, the most "boring" stretch of the chart is right before the explosion.

And if I'm right, as the Convergence unfolds, you'll see some of the biggest fireworks in the history of crypto.

Let the Game Come to You!

Big T