The verse contrasts two paths: the path of righteousness and the path of wickedness. God knows who is righteous and who is wicked. His reward is for the righteous, but his punishment is for the wicked. There is no escape from the all-seeing eyes of God (Hebrews 4:13). 
In the Lord, there is no mystery as to the path of the righteous, for the Lord is aware of all those who are His blood-bought children. Our Lord knows those who have been covered in His righteousness by faith, and He remains with us throughout our earthly lives. For the unsaved, however, the path of the wicked will indeed bring them to destruction. Although the solemn warning was originally intended for Israel, the principle applies to all nations and peoples alike. 
God's Word is true, and those who deny it and refuse His offer of salvation will perish. In the end, they will be separated from their God and Creator forever. However, it is a blessing that Jesus knows the way of the righteous. While we endure the trials that befall our souls and the inevitable challenges we face in our lives, He has promised to draw us ever closer to Himself as we follow the right path.

Dear Heavenly Father, thank You for knowing and caring about the difficulties I face in my earthly walk. Thank You for accompanying me through the changing scenes of life and for being with me in all my daily tasks. Let me rest more in Your love each day, in the assurance that You are leading me on the right path and finishing the good work You have begun in me. 
In Jesus's name I pray. Amen.