Fibonacci 🥷

Tulip King explains why he could comfortably bet 150% of his net worth on $BTC instead of chasing hot altcoins "My portfolio construction is entirely based on convictions, and then building the most rational positioning around those convictions" "I was at 150% of my net worth in Bitcoin for a very long time" "At the end of DeFi summer and the bottom of FTX, the macro environment started to turn, and Bitcoin was holding up" "Everyone said you don't want to own Bitcoin in a bull market because it gets outperformed by everything else. I took the contrary take" "I realized this would be the first cycle where Bitcoin dominance actually goes up" "You can get infinite cheap leverage on Bitcoin and hold it for a long time without checking the charts every day" "I don't care about making the coolest trade; I want to get rich. I optimize for return on net worth" "It's not about what the chart does, it's about what you can get out of the chart" "The downside is limited, you watch ETF flows, and you chill. I'll take the easiest trade every time"

Tulip King explains why fighting the market is a losing bet and why traders must listen to its signals. Jason: "How important is it to understand that the market is always right and you're never right relative to the market? You are only in the flow with it or you're not in the flow with it. Was there a particular trade where you realized that that was the case, or is that something that you've always known to be true?" Tulip King: "I've actually evolved how I think about that. There was definitely a time where I was a 'market is always right' type of guy. But the one thing I will say is, definitionally, when you take a trade, you're inherently betting that the current market price is not the actual fair price. If you're trading, you're betting the market is wrong" "The way I think about it now is more so that the market is signal, and it's a really, really good signal." "When you buy something and it goes up, that's confirmation that you were right. When you buy something and it doesn't go up, you might not even be wrong, but there's clearly something you didn't understand. There were either flows moving in a way you didn't think or some bear case that you didn't understand." It's about having the diligence to ask: why is this thing not going up right now? Why isn't the market validating me? The lack of signal is a signal in itself" "It's less that the market is always right. It's true that the market is the only thing that pays, but it's more so that it's signal" "Zcash versus $XMR is a great example of this. I bull-post Zcash a lot because I love it, and I always get the XMR maxis in my replies. There's this debate about this or that. I always feel kind of like a dìck when I reply, 'Well, look at the price.' But what I mean by that is very charitable. I want to engage in the conversation of why I think Zcash has outperformed XMR" "Once I had that understanding, it evolved my thesis of Zcash $ZEC, built incredible conviction, and led to a huge size position for me that's been awesome" "I reply to all the Monero maxis, whom I love; privacy is dope, and I hope Monero succeeds too but humble yourself before the market a little bit. Take that signal seriously."

Tulip King says Ansem is his favorite trader at the moment Jason: "Who's your favorite trader?" Tulip King: "It changes all the time but honestly, Ansem, though" "Being the main character in crypto is usually a death sentence, but if you can be the main character and a hell of a trader, I mean" "He's one of the people who like lives up to the hype"

Tulip King breaks down how to stay comfortable making small bets before taking a big swing on a high conviction trade. "It's intuition and bankroll management at the end of the day." "I have over half a million dollars long on Eli Lilly, but I also have $200 of $ZCAT" "I probably check that position more than I check the Lily position." "The way I stay in that game is I got super comfortable making embarrassingly small bets just to see it on my screen." "Whenever I check the app, I see it and I'm aware of it." "I lost that money, but it taught me something about market conditions." "It’s just about bankroll management, not being afraid to buy and tweet about a coin you have $200 of just because you want to get involved and learn from the moment."

Tulip King explains why full time traders love the concept of aura trading "Trading is a hard lifestyle... but I've never lived off of trading or anything like that. I've always had a job, and I've always made sure to live within the means of my job." "If your portfolio goes down, I'm still going to make rent. But if trading is your job, your emotional connection to that number is so much higher." "Now that you can make money from the content side of trading, you can have a bad month trading, but if you have all this aura, your paid group, course selling, or sponsors... you still make rent and you don't have to sell your portfolio when it's down." "If you were a trader who can convert into aura, you have now managed your portfolio where there's a cash flow income component that was not there." "Cash is king, cash is a safety net. If I aura-trade my portfolio in a way that introduces cash flow into my lifestyle, I can actually de-risk my portfolio."

Tulip King reveals how taking dozens of small trades with minimal losses can set you up for a seven-figure trade. "As soon as I have an idea, I buy enough that if it goes to zero you don't care, but if it goes up you wish you bought more" "If I find myself in the 'it's up' position, then I really turn on the research machine" "I love big swing trades where I can put 20%, 30%, or more of my net worth" "What people don't see is that I'll take 20 or 30 micro-trades to get a feel for what the market cares about" "I'll lose a thousand dollars however many times it takes, then find that one trade where I make $500,000 or a million dollars" "It’s like being in the water surfing through micro-chop, and then you see the real tide come in" "The easiest thing any trader can do to radically improve profitability is learn portfolio construction and position sizing"