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While You’re Crying, I’m Buying: Why Market Crashes Make Me Rich and You Poor
How Elite Investors Turn Market Fear Into Generational Wealth
You want to buy an iPhone. You go to the Apple Store and see that the latest model is on sale for a 25% discount.
Do you panic when your favorite phone is on sale? Or smile at the chance to get a good-quality phone for 25% less?
That’s exactly what happens when the stock market crashes, yet most people react with panic instead of grabbing the opportunity.
I understand why people get anxious — watching your investments decline by 20% or 30% is psychologically tough. But that’s just it — it’s primarily psychological!
Market crashes are psychological.
Risk is psychological.
Risk isn’t even inherently real.
Let me explain…
The Psychology of Market Crashes
Most of the risk related to market crashes comes down to investor behavior.
People do stupid stuff when markets crash: After the crash, they panic-sell, and then they FOMO buy only after the market has run up.