The Copium Matrix (Down Bad Edition)
Ok so tbh we all know that one guy in the discord who is down like ninety percent on some random altcoin and he's literally typing paragraph after paragraph about how the fundamentals haven't changed. Like bro, you are literally inhaling pure, unfiltered copium right now. Copium is what happens when you refuse to take a loss so you just convince yourself that the project is still going to the moon even though the developer literally ran away with all the money. It's actually so embarrassing to watch ngl.
So basically I made this calculator because people don't understand basic math when they are holding huge bags. If you lose fifty percent of your portfolio, you don't just need to make fifty percent to get it back. You literally need to make one hundred percent just to break even! And if you are down ninety percent like my friend Tyler, you literally need to make nine hundred percent just to get back to zero. Like bro, you are not making nine hundred percent on a coin that hasn't had a single github commit in three years. Stop the cap.
This is why I call it the copium matrix. It mathematically destroys your hopes and dreams by showing you exactly how crazy of a return you need just to get your money back. Like literally, people will hold a stock until it goes to zero because they don't want to admit they were wrong. Just take the L bro. There is no shame in taking an L, but there is massive shame in holding a bag for five years while inflation literally eats the rest of your money.
The math behind the bag
So basically the formula is just calculating the required gain to recover from a drawdown. It's literally just division but nobody wants to do it because it hurts their feelings.