Introduction to Trading Crypto
Bitcoin can be bought and sold, that is, it can be traded on crypto exchanges for profit and loss. Profit, or extra income, is my interest. Go #crypto #bitcoin #btc #xbt.
This site started as a simple journal of my ongoing experience, and a shortlist of dos and don’ts. It is my growing knowledgebase for how best to trade crypto assets, that sort of thing. Documenting what I figure really helps me see my progress, avoid making costly mistakes, and become a better trader.
So, peruse the site’s content and get a good start at trading bitcoin.
At the same time, nothing on this site presents financial advise to visitors or members. Please know that I am far from being a pro and am no certified financial adviser. I am a simple speculator on a shoestring budget and do not mind sharing with others what I have come to understand.
As such, I find myself not holding positions for very long, but swing trade a lot, and occasional day-trade & scalp a bit. That’s just how my sense and sensibilities pan out. “A bird in the hand is worth two in the bush.” True? I think so. Which way are you leaning?
In spite of that, or otherwise, please read on.
Basic and In-depth Content
All the basic explanations about chart patterns, candlesticks and technical indicators, etc., are freely accessible on this site. Why not, most of it can be found elsewhere in the cloud. But a novice must be careful. Simply “digging the free stuff” does not make anyone a successful trader.
Free stuff is promoted everywhere in the cloud to make a newbie feel instantly confident in buying and selling assets like stocks, forex and crypto. That then gets the beginner to join and pay trading platforms and/or paid membership groups their fees – to make them wealthier first and the trader second at best.
As a new trader, please understand that profitable trading takes a few years of learning.
As a novice, I got my start with bitcoin in 2013 on the now defunct Mt.Gox exchange, and restarted my swing trading on Coinbase in Winter of 2017. Coinbase is a simple, easy-to-use spot exchange and fiat on-ramp to buying bitcoin and/or some altcoins.
Have I made some Money in the past while trading Bitcoin?
Yes, no big deal. Have I ever lost some money? Yes, as well. Nobody makes money on every trade all the time. Here’s why.
“Because I have a tendency to be overly optimistic and get overly excited about something that is too good to be true. Then I do not pay enough attention to the basics. Too many times did I believe that I deserve a break and great fortunes finally must be heading my way. FOMO (the Fear Of Missing Out) had gotten the better of me on many occasions. Sometimes I am greedy and I want it all so badly.”
I say all that only to make my case in point. The above mentioned realities are ever so persistent in many a professional trader’s life. These are what trip up beginning traders alike. Keeping emotions in check is key to doing much better! That, though, will take a bit of experience.
In any case, a few successful big trades will usually more than compensate for the smaller, losing trades.
It’s a psychological Battleground
The digital asset market, like most any other financial asset market, is a psychological battleground.
Do you have what it takes? What does it take? Patience, patience, patience, some smarts, an analytical mind, and something totally different to balance out the unavoidable stress. A dog, a mate, friends, family, a real hobby. Something.
And you will eventually encounter your predatory instinct, if you have one at all.
Manage Risks to avoid losing Money
You need not be a trading machine to be profitable. It’s OK to be on the sidelines and just watch. It’s OK to be in cash in your trading account, that is in USD or stable coin. It’s OK to wait for an opportune moment and then pounce. It’s OK to only make a handful of trades per year. Golden opportunities are not that plenty, but a few are always coming down the pike.
To start off with, be cautious and do not yet trade long or short on margins, that is with borrowed money. In my first year of trading, I did not buy long with leverage or short the market. It’s OK to let others be heroes, daredevils, and trailblazers.
Do not ever “sell the farm” for crypto; but ease yourself into wealth.Are you ready?