BTC Halving and Value Investing
BTC Halving
Value Investing
The reality is that markets are inefficient.
Markets are often irrational, and prices will not reflect value.
As Warren Buffett said, “Mr. Market is a drunken psycho.”
Value investing tries to identify securities that are underpriced due to market irrationality.
The trick is having the right tools to spot these opportunities — tools like fundamental analysis.
Fundamental analysis enables traditional institutional investors to understand the industry, attracting more capital and giving rise to more unicorns, similar to what happened in the internet and consumer industries. These core techniques are also becoming increasingly standard for retail investors looking for the highest-potential investments across a long-term investment horizon.
The market forever swings between bull sentiment and bear sentiment, between greed and fear, between unsustainable optimism and unjustified pessimism.
As the industry gradually matures, we are discovering that traditional financial valuation methods can help push past the hype to identify the projects with sustainable growth potential — whether due to being undervalued by the market or
due to the size of the yet-to-be-tapped market opportunities.
You only need a solid framework for making investment decisions that is based on value rather than speculation.
https://cointelegraph.com/news/6-steps-putting-valuation-digital-assets