A key “aspect” of this subreddit is that this place functions in a way that stimulates buying high and selling low. While we are supposed to see opportunity after red candles and be cautious after green candles, the opposite behavior is stimulated and rewarded here by upvotes/moons. Moreover, most opposite views that work against this “buy high and sell low” approach are ignored or even actively downvoted.
Let me give some examples of what I mean:
Bullish and only (rewarding) bullposting near ATH
When Bitcoin was between $50K and $69K, this subreddit was INCREDIBLY bullish. Almost everyone believed that Bitcoin would go to $100K+ and Ethereum to $10K+.
Hence, only bullish posts or comments were upvoted. People who tried to share a bearish perspective or tried to warn others to not FOMO were largely ignored and often actively downvoted. On the days of ATH, most of the top comments in the daily look like this:
Bearish and only (rewarding) bearposting at lows
When Bitcoin was between $15K and $18K last year, this subreddit was INCREDIBLY bearish. Almost everyone believed that Bitcoin would go to $10K.
What happened? The opposite relative to ATH. Only bearish posts or comments got (lots of) upvotes (“But the macro!”). People who tried to share a bullish perspective or shared that they bought were largely ignored or even actively downvoted (although there are some exceptions!). On the day of Bitcoin’s low, most of the top comments in the daily look like this:
And now -after a 50% Bitcoin pump- we are starting to see more love for positive perspectives
After months of bearposting and a 50% Bitcoin pump in a short timeframe, positive posts are finally more welcome. Hence, you see posts and comments about FOMO that get rewarded with upvotes. The top comments in the daily suddenly include comments like this:
Not exactly ideal either as we just had massive green candles and are close to major resistance.
Why is this important? Well, while users should not invest solely because of anything that is said on this subreddit, unfortunately I do think that this subreddit influences a lot of users’ sentiment and buying behavior in terms of both choice of projects and moment of buying/selling. It is no coincidence that a lot of our portfolios are similar yet very different from other crypto places (e.g., Twitter). The reach we have with some posts is also insane. Some posts get more than a million views.
Hence, by only rewarding bullish posts at tops and bearish posts at bottoms and especially by downvoting different views, we are in essence helping newer people here lose money and making it more difficult to buy low and sell high. So, if you agree, what can/should we do about it?