Bitcoin Forum

Hi,
I'm wandering if there's anyone here who keeps their trading capital in BTC, say at bitmex.
So, never going short or hedging your dollar value, only ever; no position or long. Adding and removing leveraged positions on top instead - as a form of long and short.

I do not trade a lot, most likely I only keep only a few altcoin in my ledger, and my bitcoin in the local wallet that we have which we can freely convert bitcoin to fiat without paying transaction fees (price based on market price). So, whenever I think that the market is most likely to move upward, I keep my money in BTC, to secure my funds when the market is shaky I move my money to fiat.

I believe lots of users do that, but I doubt you'll find a lot of people by opening a thread here (especially because this sub has a lot of activities). Why though? We might be able to help you if you state your problem. For example, by pointing out some threads that might correlate with what you want to know.

For your information, wall observer is one of the most active threads for bitcoin trading (though most of them shares technical analysis or something like that).

Absolutely I think a lot of people do that. It seems only the big whales keep their trading capital in Tether/USDT or some other stablecoin. Most traders I know online keep it in BTC and if we do diversify it is for ETH trading pairs (for ERC20 tokens really). I do not even go that far myself. For me if it can not trade in BTC, it is not worth buying something else for,,, to lose currency exchange twice? Not for me!

Actually I like to keep my capital in Bitcoin and I like to trade with BTC pair. Cause I want to increase my bitcoin amount and I don't care amot usd price.

Of course investors or speculators will always keep their trading capital. Maybe the question is what are they going to do with their profits.

Others move funds around, say invest on altcoins and then get out as soon as they hit their exit plan and then rinse and repeat, while others wait for bitcoin to dip and enter again. I don't like hedging though, I would rather move funds around to keep my profits going.

Keeping the trading capitals in BTC is very much common with Crypto trading industry. Most of the users really do that. However, the only thing that dividing the group is that there are people who take their profit and add it to their capital and a group of people that takes their profit out and staying their old capital as it is. Wisely choose your group.

I do. My goal is to get as much BTC as possible so whenever I invest in altcoins or claim giveaways it's going to be converted to bitcoin. I don't use USD and I don't need it. If I wnt fiat money I get EUR. I almost never spend my coins I'm earning fiat at work and I spend it every day but I collect cryptocurrencies.

We can be sure for our funds to be kept going these days while the market was so volatile, while still recovering towards the highest price. The safest way indeed was keeping our funds on btc is the perfect strategy to do, and if you find a good coins to invest for you'll buy instantly as you're funds ready at your wallet. Don't risk moving funds to an uncertain project when you're in doubt, so make sure btc trading capital will be used wisely.

I am keeping my crypto capitals in bitcoin and in some altcoins but stored mkat of them in my wallet not in any exchanges.Some people think it is better to keep in stable coins or in fiat but they won't get the benefits of price swings if they do.

I personally trade a lot of altcoins, just to increase my funds in BTC, not in USD, as I do trading on the sideline only anyways; Just solely to increase my BTC stack for the long term and not as fiat income.

When I don't have a position, I will save my money on fiat on my local exchange. When I think there is a good time to enter to the market then I will buy some bitcoin for short-term trading until I reach my target profit. Btw, I have few other bitcoin in my personal wallet that I don't use for trading. It's for future use.

With the situation of things in Cryptocurrency today many have moved their funds to Fiat and Also adoption of other Crypto altcoin like ETH and the rest have you.

the only reason why I trade is to increase the amount of bitcoin capital that I have! so hell yeah I keep my capital in BTC. the only time that I make an "exit" is whenever I need money or I see a huge rise and the possibility of a bubble and I want to take some fiat profit out so I sell a small amount to cover the profit and eventually buy back the bottom after the bubble burst.

I'm not sure I understand what you mean to say

Unless you are actually asking whether people are storing their capital in their exchange accounts. Some people surely do, but this is not a good idea overall, for reasons which should be obvious. If you in fact mean using your capital to do margin trading (as collateral), then it is what margin trading is essentially for (i.e. to leverage your capital and let you earn more). Obviously, quite a few people are doing that thing. I for one do basically the same at Bitfinex (apart from minimizing the risks associated with the exchange itself)

If you do mean on storing their trading capital on exchange platforms then for sure there are really people who does because when theres an opportunity on making some
orders you can simply execute it when the funds is already on the exchange yet we do know that time is precious here on crypto,missing out some precious time will already
miss you out the profit opportunity.On my case,i do trade randomly thats why when im done on exiting and profiting i do usually pull out my funds and find for another opportunities
and same as others here,i do accumulate BTC rather than with TUSD.

I seem to not understand your questions. Anyways, here are my thoughts:

Obviously, traders are into bitcoin, (at least in my case and from what I read above). I don't practice hedging, I immediately withdraw if I profited already to my personal wallet which I have control with. And then see what the current sentiments before investing again, rinse and repeat.

I always keep my capital in BTC most of the time, only convert to Fiat when I need cash in real life
basically it depends on trading focus/preference of each trader... BTC/Fiat or BTC/altcoins markets
I think big capital traders most likely will concentrate on BTC/Fiat markets, hence Fiat based trading  
while most medium/low capital traders keep their capital in BTC, trading altcoins to increase BTC holding amount

Yeah, many traders do that, as most are comfortable with BTC being their center coin. Remember that BTC is still the top 1 coin so it's safer and more practical to keep your trade in it. Besides, it's easier to convert it to fiat if you want to cash out, or with any other coin if you want to accumulate more of it.

I do the same thing when I trade but I do it sparingly.  I try to pick up altcoins if the btc ratio drops really low and attempt to flip it for a small gain.  I wouldn't suggest trying to trade for only USD gains because this market can move rapidly fast and you will be left behind with a stack of dollars when you should of been in crypto.

OP is just saying that, this Bitcoin is a volatile crypto (we all know that). So if you invest say $1k into bitcoin to trade, do you always hold the 1k capital in dollars? or only in BTC? If you hold it in USDT, then you protect yourself from volatility and you always know you have $1k. Therefore holding it in dollar value stablecoins is a form of hedging. That's all.

I hold only in BTC because I am anyway a long term holder.

Most people literally do this by just keep buying or selling instead of doing anything more? I mean if you are looking for just people on bitmex I am sure most people on bitmex use leverage or do futures and shorts in order so they could be the favorite part of the bitmex since there is no reason to trade there if you are not going to do any of those things but there is literally billions of dollars going around in binance where there is absolutely no futures or leverages going around neither.

I am one of those people and when I think bitcoin is going to go low I just turn into fiat on the exchange and than I try to buy at what I think is the bottom and when I think its going to go higher I just keep holding it basically so those are my basically shorts and longs and I never risk anything above my money.

Out of curiosity ... do you leave your BTC at the exchange or transfer it back to a safe wallet? If I send my coins back and forth every time, I probably would have lost money quickly due to the transfer fees ;-)

I think it's not a good thing to tether one's Bitcoin at this time because it's looking like a bull run for Bitcoin now. Doing that may likely leave your investment depreciated. In 2018, that sad experience with market crash gave rise to so many stable coins coming up to serve as tethering alternative and these coins are doing very well now, I must say. But I am better off leaving my investment in BTC than tethering them right now.

I mostly trade to increase my BTC stash as well, though I do cash out on some occasions to fiat for when emergencies come up or unexpected costs arise. I used to dabble with stablecoins like Tether in the past as well, though I mostly just keep my trading balance on Bitmex and do a few trades here and there.

If you're looking for other stablecoins to use instead of Tether, though, USDC and TUSD are two alternatives that I see being mentioned a lot. USDC is backed by Coinbase AFAIK, should be better than Tether for that reason alone.

Yes, many people now keep their trading capital in BTC. In my opinion, it is actually profitable when Bitcoin value increases and their increased capital increases. There are many people who keep BTC from the capital acquired from trading. Bitcoin value has always been increasing, but now the price has decreased, but it will increase again in the future. As a result, those who keep their capital in BTC will benefit from rising prices.

I can openly,  say that i do the same.
Whenever i trade or buy any coin,  i always compare its value with BTC.
I still wonder why i do so,  but can't get the answer myself.
Maybe because BTC is considered as the backbone of cryptocurrency,  for that reason i do so.
I mainly trade in Binance and yes there my trading capital is BTC and i find it easier to trade with that.

The very reason why you should research everything first, if you plan to keep your bitcoin inside the exchange make sure to use a good reputable exchange,
as you are correct that you will lose portions of your money when you keep transferring your coins from time to time, safer as  if you are dealing with huge amount of money.

I do keep most times my trading capitals in bitcoin and some times flip it with usdt or any of the stable coins. I think it is more safer to keep our trading funds in bitcoin than any of the coins in the market.  I also do believe that bitcoin can easily give us value in holding than every other coins.

I always keep my capital at USDT. I open my trade with the few best coins and close it trading into USDT. I calculate the profit in USDT and with the earnings i buy other best coin with cheapest price. I at times wait until the price falls down as like anyone else here. I prefer the stable coin USDT.

Well,  I dont trust USDT so I dont stay with that or trade using it.

BTC and ETH is the storing point for me before withdrawal in exchange. The good part of it is when BTC goes down or up, every altcoin does or we could say a higher percentage of all the altcoin do move the same with bitcoin.
I guess that could also tell you are safe. The value stays and you are safer with bitcoin with a much better chance of going upwards for a better trade.

I do that. however, I save it not only in the form of bitcoin, but also in ETH. well, I think the potential of both is the same, so when my token has a bitcoin pair, then I will store it in the form of bitcoin, and if in the form of ETH, I will save it in that form.

And you're one of the smart ones who don't use USDt and won't become their victim. I knew they were hiding something when they refused to do an audit and then hired some company to vouch for them. They had no money in 2018 and it's only getting worse now. Today they said they have 70% backing instead of 100. They are done.

BTC is going up maybe all the tether bagholders are moving their money? ETH is to weak to use as store of value.

I think if you want safely investment, you have to save your capital on fiat too, sometimes the crypto market is bleeding and if you
only have backup funds in Bitcoin it will certainly hurt you too. I save capital on fiat also just in case when the price falls..

Most of the traders here do that,increasing your bitcoin amount rather than dollars is so good because when bitcoins price pump you can have more dollars.But there are some users who preffer dollar as capital rather than bitcoin because of being afraid to lose money

I do. I have some btc capital in bitmex. And glad that I made it grow bigger than before, by doing some long and short entries. But i didn't keep it long. I just transfer it into fiat when i have enough profits and leave my capital there. I do some altcoin trades, too. And exchange it into bitcoin after a while.

Not for me, in this bear market I always put back my capital into fiat. Because we don't know what might happen in next few days, I guess it's better safe than sorry right.

I don’t think there is anyone that never does that ,everyone who is into trading does it. I keep my trading money in BTC most of the times , though I do convert some to dollars and keep, but that’s mainly a part of the profit then I continue to keep the rest as BTC for trading. The only time I don’t keep my money in BTC is when I’m not going to trade for a long time, so that I don’t take losses that I’m not even aware of when they happened.

It's good to only hold Bitcoin at bear market if you want to play safe. But, if you have been holding Ethereum since last few months or a year ago, you must have lost your portofolio value because Ethereum price has been falling in the whole 2018 years. Well, that should be an experience for you to only hold Bitcoin in the bear market.

Yeah I keep most if capital trading in btc, so whenever I don't trade I still can make profit if the price going up, but in bear market its better to switch to fiat or usdt, but if you want actively trading then btc is the best form to store your capital, because you can trade any coin using btc and btc price tend to be more stable than any other alt coin

Why not, I keep all my trading capital in btc or most of the time in stable coin, bitcoin controls the market and no matter the coin you leave your trading capital in, you might still acquire some loss if the price of bitcoin dumps, so I leave my coin in bitcoin anyways, though I didn't say everyone must leave their coin in btc, I am leaving it their because that's the choice I have made, every trader can make their own choice on where they want to leave their trading capital and no one would say anything about it since it's their choice to make.

Do most people keep it in tether or usdt as oppose to btc?  Also the question refers mainly to trading altcoins right?  If you are trading btc only or ltc, then arent you going to deal with usd only mainly or usdt?

I believe that mostly traders kept their capitals into btc form rather than to be a USDT or any altcoins aside from ETH. We often to see btc price keeps on moving and also it fluctuations is so high which will give us a way to generate more profits from it.  There is a huge demand in btc in which it never takes so long that our buying and selling price will be filled easily.

While most would say never store you BTC in an exchange site, traders will still keep an amount of BTC in their exchange site so if there's an opportunity, they have enough funds to jump in and trade. Just make sure that your account is using all possible security options available in the site like 2fa and a  strong password to make sure you BTC is safe if anyone tries to hack your account. Just pray that the site itself have a great protection against hackers.

Saving trading capital in bitcoin is of course, but I chose to move it in my big wallet, as it has been talked about a lot if the exchange is not appropriate for storage, because something bad might happen like hacking. Therefore I'm sure some traders will save their trading capital to bitcoin but of course to be safer we will leave the exchange to secure the capital.

BTC is simply a more reliable cryptocurrency, the leader. Meanwhile, I hold the other altcoins as well. For instance, Ethereum is supposed to pump - why not keep it for a long time?

I do keep my capital exchanged into USDT. I do find this as a best practice as USDT is a stable coin. Traders with minimum investment $500, would keep their capital in USDT when trading. Would keep buying bitcoin or other coins and get back to USDT with profits.