Bitcoin Forum

The bad side of Trading:

http://image.prntscr.com/image/32fb2efacec14fb49422b52c04fd623d.png

All my coins except LTC and MAID is in negatives.

This is to show the beginners that there is not always good days in Trading.

Now the solution to the above? Diversification.

As you can see, I have about 10+ coins and among them only 2 are doing great. LTC was an obvious one, due to the news. So, what I did was I bought some more LTC before the news showed it's effect in the market.

Also, with some extra BTC, I bought those who are falling. Why? Because it reduces the breakeven point, and helps you to profit much more easier. (Not always a good idea, sometimes all can be lost, so play safe).

Those who didn't understood that, say if I bought an item at $2 then the price dropped to $1, I either need to wait for the price to jump up double, or I can again buy the item at $1, now my break even point is at $1.5

So, using that method, I spread my diversification further.

And even with 80%+ of my portfolio going negative, I am still in a profit of 10.7%

Share your techniques, your experience here :)

P.S. The results are not typical, use your own research.

i think you need to waiting for a while because i think its because of btc price is increase so almost all of the altcoin is getting red. and this conditions is not just for you, i am sure that there is many of traders that have the same conditions like you and maybe they are only waiting for the next up price.

You realize you are showing the daily changes to the coins and not the change to your holdings from the moment you bought them?

These numbers mean nothing if we don't know the price you bought in.

Example: You buy a going and it goes up 10% one day, and next it drops 2%, it will still show -2% the next day even though you are still at 8% profit.

There are many of my friends now jumping into trading seeing other's result. I just wanted to give a healthy warning mate, nothing else.


I am fine with a small dip mate, I know the price will rise in the long term :)


Yup, I realise that. Just wanted to show the beginners that the coins price can't be predicted 100% correctly and there predictions can go wrong. For sure, you can make speculations, calculative risks, etc.

More important than that though is that trading isn't a get rich quick scheme.

Cryptocurrency trading can be the most profitable form of investment, just like penny stocks.  The price goes way up and way down all the time, often even with pump and dumps and people can be drawn in by that thinking that they can get in on it too.

But the reality is that the giant swings aren't things that everyone profits from.  The experienced people profit from it, and the way that they do it is by exploiting the newbies and weak hands so that they can get more out of it, especially with things that have a low enough trading volume like cryptocurrencies.

Exactly! This is what I wanted to warn the new members :D You explain well mate :)

you have to know the situation when the price of the bitcoin will increase; sometimes altcoin price tends to decline.
It was okay, just be patient and the market will return to normal.

The way you have explained is not too bad well done ! :) Being diverse is a must for many things in life not just trading. As you say you can be losing with 8 coins out of ten but the last 2 make all the deference. As you gain experience that loss gao of that 8 coins will close and even perhaps become profitable. For example you now have 3 coins in the plus and 7 in the neg but the 7 in the neg is not as bad as before because you bought and sold on the market to reduce the loss.

Correct. Trading is not so easy task for everyone. You need to monitor market very closely and ready to accept some losses and sell at right time to reduce more losses but it is very hard to do it. Particularly these cryptocurrencies are not monitored by any government so big whales will play many things create fake news. Don't put more money in any one coin just try to diversify your money in many coins and wait for the right time to sell.

Obviously, in investing, diversification is a good practice. "Don't put your eggs in one basket" as they say.

As for the trading, I also think that we must all monitor the current price of bitcoin specially alt-coins because there are a lot of entities that manipulate the price behind and we don't know when are they going to dump it. And if you are a newbie, once you saw all the FUD around this forum, you will panic and sell your alt-coins. So I must say to the newbie that monitor the market and used your judgement to whether to sell or not.

Definitely having multiple coins is the way to go, along the way it is almost certain that there will be a loss at some point but in this game the profit is usually not too far behind, you have to have a strong gut and just hang in there sometimes, if you believe in a coin and what it has going for it you will experience a lot of ups and downs along the way.

I know your stragety OP its called Sizing or (Averaging Down). I made that many times when my coin dumps, well all we need is wait patiencely until it pump again, i see that all coins in poloniex are pumping but we don't know what time it would pump so jusy buy at dip/dump and sell at pump

You took positions when value was too high, there's no good reason for you to be losing on ETH, ETH's value increased a lot in the last 2 months or so, same for DASH, LISK.

You're buying at the top, don't be afraid of losing the train, there's always another one coming.

Read about FOMO: https://en.wikipedia.org/wiki/Fear_of_missing_out

The good part about your portfolio is that it has all good coins.One thing I see about some newbies is that they invested in shitcoin and lose their money for good.
If you trade with good coins, you will sooner or later recover your investment.

That's why it's called prediction, because it's a guess, sometimes based on facts, but won't guarantee anybody of an accurate results. The term itself explain it well.

For me, trading is more of a trial error.

thats good for you mate, and now i am sure you have your face with big smile because the price is increase. some of your coins is increase too like eth, maid, xrp, and bitcoin is increase too than yesterday. its good for waiting like i said yesterday and now you can make your own profit.

Don't look into the deep research about the best altcoins and worst ones. I will suggest you to invest only in bitcoin trading and able to make profit continuously due to price volatility and potential of the bitcoin.
Instead of go with the shit altcoins. you can easily trust and do bitcoin trading which most worthy other than any investment methods.