In the fast-paced world of cryptocurrency, where prices can swing wildly overnight, it's easy to get caught up in the chaos. But as Raoul Pal, the macro guru and founder of Real Vision, reminded us in a recent tweet, much of what we see is just "noise"—especially if you're not using leverage and have a long-term perspective.

Pal's message came right after what some are calling the greatest liquidity flush in crypto history. According to replies in the thread, around $19-20 billion was wiped out in just 24 hours, with over 1.6 million traders getting liquidated. Major assets like Bitcoin (BTC), Ethereum (ETH), and Solana (SOL) saw drawdowns of 10-15%. For meme token enthusiasts, these events can feel even more intense, as coins like those inspired by internet culture often experience amplified volatility.

Here's what Pal had to say:

All of this is noise if you don't use leverage.

There are only 2 questions you need to ask as a long term holder:

Will tomorrow be more digital than today?

Has the liquidity cycle and business cycle topped or is it still rising to finance the $10trn that needs to roll in the next 12 months?

If both answer are yes then it's all noise. If your time horizon is 5 yrs + then the second part is just noise too.

BTFD and Don't Fuck This Up.

Thanks

Let's break this down in simple terms, especially for those diving into meme tokens and blockchain tech.

First, leverage refers to borrowing money to amplify your trades. It's like betting with someone else's cash—if you win, great; if not, you can lose everything fast. Pal's point? If you're not leveraged, short-term dips shouldn't shake you.

Then, the two key questions:

1. Will tomorrow be more digital than today? This is about the big picture. We're in an era where digital tech—think blockchain, NFTs, DeFi, and yes, meme coins—is exploding. Meme tokens, often built on communities and viral trends, are a prime example of how digital culture is evolving. From Pepe the Frog to Dogecoin-inspired pups, these assets represent fun, accessible entry points into crypto. As the world goes more digital, their relevance could grow.

2. Has the liquidity cycle and business cycle topped? Liquidity cycle means the flow of money in the economy—central banks printing cash, low interest rates fueling investments. The business cycle is the ups and downs of economic growth. Pal mentions $10 trillion in debt that needs refinancing soon, suggesting more money might flood in to keep things rolling. For meme coins, this could mean more capital chasing high-risk, high-reward plays.

If your answers are "yes" to both, Pal says ignore the noise. And for horizons over five years, even the cycles don't matter much. His acronym BTFD? That's "Buy The Fucking Dip"—a cheeky way to say scoop up assets when prices drop.

This fun image from a reply in the thread captures the spirit—frogs (a nod to meme culture like Pepe) chilling and toasting to Pal's wisdom. It's a reminder that in the meme token space, community and humor often outlast the storms.

But why does this matter for meme insiders? Meme tokens thrive on hype and sentiment, making them prone to massive swings. During liquidations like this one, leveraged traders get "rekt" (wrecked), but true holders—those with conviction—see it as a buying opportunity. As one reply noted, "Leverage dies. Conviction compounds." For blockchain practitioners, this reinforces building knowledge around solid projects, not just chasing pumps.

Pal's advice echoes through the replies. One user shared frustration with the stress, but Pal responded: "Price keeps going up over time. It's your time horizon that is impatient." Another highlighted how HODLers (long-term holders) absorb supply during dips, strengthening the market.

In the end, whether you're into Bitcoin, Solana-based memes, or the next viral token, the takeaway is clear: Focus on the exponential growth of digital assets. Tune out the daily drama, avoid leverage unless you're pro, and position yourself for the long game. As the world digitizes, those who don't "fuck this up" could reap the rewards.

Stay tuned to Meme Insider for more insights on navigating the meme token landscape and the latest blockchain news.