shallow conviction runs from volatility
when bitcoin gives back 1k, watch who sells and who buys
bitcoin had a 4% pullback this week. nothing. and the energy in the room shifted.
people who were bullish on monday were hedging by wednesday.
i've watched this pattern for 15 years. the investors who win aren't the ones with the deepest conviction. they're the ones with shallow conviction backed by capital.
here's the difference: deep conviction says "i believe in this." shallow conviction backed by capital says "i can afford to be right."
the person with deep conviction panics when the price moves against them because their belief is tied to their account balance.
the person with shallow conviction and a big dry powder reserve just buys more.
this is why the best investors in crypto aren't usually the true believers. they're the ones who allocated 2% of their fund to a thesis they didn't fully understand and then had the capital to double down when the market sold.
if you're a founder looking at investors, watch how they respond to volatility. the ones who buy are the ones who will support you through a downturn. the ones who sell are the ones you'll never hear from again.
how deep is your conviction and how far is your capital stretched?