Bitcoin Forum

I have a line of credit through my bank, 250k. The interest is 6%, settled monthly.  I've been considering drawing 100k to purchase more altcoins.  Bad idea or potentially genius?

Currently have 25k in the market with a 31k profit, timeline about 45 days. I put another 25k in yesterday.


And what coins would you buy?

Depends on how big a problem it would be for you to lose 250k. If you have 250k credit you probably already have a decent amount of money somewhere.

I don't think the altcoin season is going to last forever, in fact, it could do a 180 degree any moment. Look at reversal on the charts around 10 December, the opening of the CBOE futures.

All the financial advisors that I've seen are saying that no one should put money into cryptocurrency unless you can stand to lose it all. In other words, treat it like gambling in a casino. Matter of fact, most casinos offer lines of credit but the only people that gamble with credit in a casino are people with an addiction problem.

I can afford to lose 100k, although I wouldn't be happy about it.

Well personally I am not an risk taker when it comes to money so I would never even try to do what you are doing. I've got friends who do that and 50% of them have done really well from borrowed money. Couple of them are are now really rich. I am not talking about crypto sphere but my friends deal in different markets like stocks, property, land, commodity etc.

So it is generally up to how much risk you can take and reward compared to the risk. Most of the people wouldn't take a risk and would advise the same.

You already made 31k profit so that is really a good start.  I wish you a good luck.

I do not think it is wise to use a credit to invest in altcoin because the crypto market in general is quite risky. So in my opinion, you should only invest in the altcoin of the savings you have and make sure that the loss will not have too much impact on your family's life. This is my share after a nearly one year involvement in the crypto market.

thats a very risky move but if you know what you are doing and you are confident then go this is worth to risky but be careful bro.

You're already in the market, that's good enough I wouldn't suggest you get a loan to buy altcoins.

At first glance Bitcoin would seem to have a better interest rate than most credits

But I'm worried that a continued bear market could seriously leave you indebted

Generally speaking that's a bad idea. More specifically, how long would it take you to pay back the money assuming your position was totally wiped out? And keep in mind, the risks don't exclusively include trading/price risks. Your wallet--or an exchange's wallet--could be hacked.

Speaking of which, in the past we've heard about hacked centralized exchanges or odd behavior like closing accounts. It was advised to use decentralized exchanges instead, because those are not relying on the exchange owner's server and you get to keep your private keys. But yesterday attackers took control over the Domain Name Server of the decentralized exchange EtherDelta.com. If you visited that website during that time you'd be sent to the attacker's website which steals all the Ether and tokens from your wallet.

Thats the last thing i would do,its a suicide move credit for bitcoins but if you aer confident and good in trading why not just be careful my friend.

if you ready to loose 25k it can be good option. But anyway now the area is growing a lot and fast, so you can easily pay your credit back in short time. For long time investment I would prefer ripple and dash

dear brother and sister,
as my point of view are the high risk to take any line or credit to buy altcoin, because i'm very secure people. high risk mean high return,
low risk mean low return.you should know or understand yourself , how much risk you can take.
different people got different risk score.
are you married ? got any child ? parent ? house loan?
do a calculation and you will know how much risk u can take.
i hope this will help u.

The main rule of investor is "Never invest in cryptos more than you can afford to lose and always try to keep them in your own wallet!". Here you need to answer a question - would you be able to pay for the credit without the profit from crypto? Even if the answer is yes you need to think about your nerves and how will you handle with drawdowns.

The crypto-currency market is a big risk. The golden rule of both a trader and an investor: put as much money on the market as you can not lose. Therefore, in my opinion, the idea of a loan is a bad idea. After all, you can earn as much, and lose a lot.

I will not draw a credit from my bank to invest in any crypto coins. I will rather use my money and start small.Since you have already gotten the credit .I will advice investing in bticoin. That is the only crypto currencies am sure of not failing anytime soon . Yes the price will fluctuate but with it you will definitely make profit.Just wait for the right time to sell and pay off the loan

Why do people keep saying the risc is extremely high? Yes, there is a risc, but i doubt its more then a traditional stock market. The crypto's keep growing as well.

The mistakes you can make in this game, is betting on the wrong horse coin.

All investments in altcoins are based on trust and promises made. Some of them are actually slowly starting to deliver. Dash for example has quite some merchants accepting dash already.

You need to decide what altcoin will rise above the rest, and will be mainstream. Once it becomes more accepted and used, it WILL grow. Thats a guarantee and not speculation. BUT.... Wich one will do that? Out of the 1000+ coins out there, only a few will.

In my opinion it's a totally bad idea! There is a possibility of a long recession like at 2014-2015. It has a very low chances, but it is. What will you do with your credit obligations if something like that happens once again?

I wouldn't hesitate to put 100k in crypto if I could afford to lose it. However I would keep at least 50% of the money in btc

The number one rule of making investments is don’t put the sum of money that you can not afford to lose. Maybe your project will be successful but I think this is too risky plan as for me. This is my opinion.

This depends on if you can afford to loose invested money or not. Cryptocurrencies market is risky and you can loose your money even you are a good trader.

You should never invest credit money in the crypto currency or other types of investment even if the low interest rate. You need to invest only the amount that you are not afraid to lose.
         

Man youre good! Youre enjoying the benefits of being a trader. Heres my advice. Hold your horses first. Dont be so excited. 100k is a big amount of money. I know that youre already knew the risks of being in trade industry. You must buy the coins that you can afford to lose. Regarding to your question that if what coins to buy, I think you need to gain more knowledge when it comes on picking the right investment. You should take time to read articles and dig a lil bit more research. My method on trading is im buying the coins that a lot of traders is buying also. Like going in the flow of panic buying. Goodluck!

No,my opinion i can only invest.i can't afford such risk