Funny page - evidently unaware that it is an exercise in self-parody. Was it written by an eighth-grader?

Note - I don't so much 'sell certain amounts at predetermined levels', so much as I buy when it goes down, and sell when it goes up. The objective is to capitalize on the volatility.

So, yeah - I do 'sell certain amounts at predetermined levels', but if you omit the 'buy certain amounts at predetermined levels', it kinda occludes the entire plan.

Mea culpa. Unfamiliar interface. I saw the two outputs, and assumed one was the fee.

Clearly because the purpose is to derail discussion of Bitcoin Cash. Must be a part of Adam Back's admitted paid shill force.

"This video has been removed from YouTube for violation of terms of service"


Hmm. So it cost you either 1/3 or 2/3 of the value you had in the channel in order to close it. Let's presume 1/3 to be generous. We can therefor assume it likely cost another 1/3 to open it. So you spent 2/3 of your nut just opening and closing your channel. Gee - sounds great. Sign me up.
 

Edit: corrected gaffe.

https://en.wiktionary.org/wiki/monero

#justsayin'

Thanks. That interview (linked in the transcript) distills down into a concise half-hour the extent of the gulf between popular cultural norms and rationality.

Nope - I see $1851.57.



After your trade fees in and out, loan fees so you can short, and the drop in price... seems you're well underwater.

So sorry for your loss.

https://www.youtube.com/watch?v=-MsvER1dpjM

Of course, we're only less than a day into your shorting. Shall you compound your losses? Shall we check back in a week, and see how your short is doing?

Percentage of what? Total holdings? Not much. Amount I have allocated to my 'trading stash'? Much better. It's still not a get rich quick scheme. More of an increment your wealth slowly and steadily. I'm not going to divulge specific numbers further than that which I have already. You can model it in something as simple as Excel using historical data to figure out what you would have made if you had been using it up to now.


As posted earlier, GDAX charges 0% to the maker. One of the two main reasons I use GDAX for this type of trading. Other exchanges are more suitable for other trading styles.


Yes, it can certainly be done without a bot. As an existence proof, I do not run a bot. However, in this scheme, my trading is very systematized. It would surely be relatively simple to code up a bot to execute the system. I prefer to run it manually. It requires intermittent attention, but not much effort.

As divulged earlier, I no longer get my panties in a knot if the market moves faster than I do. I have learned it does not have a huge negative impact on results to run it on my own schedule. Mind you, I'd be at the computer for hours each day whether or not I was engaging in this form of trading. If your line of work or your hobbies would interfere with being internet connected most of your waking hours, you might want another form of trading, or a maybe even just bot that you can trust.

I think I understand your point. Yes, if your trading funds are all crypto and no fiat, you need to find some way to fund the buy side.

If you have both Bitcoin and fiat on hand, no problem. You fund the sell side by entering sell orders at your chosen interval, starting at the next interval above the current price. You fund the buy side by entering buy orders at your chosen interval, starting at the next interval below the current price. * Your system is now set up for up market or down market.

Of course, if you don't have fiat to start with, you cannot enter buy orders. If the market first tends down, you get antsy waiting for the price to raise to your first sell.

The solution of course is to sell some Bitcoin at current market price to get fiat to fund the buy side.

Case study: When I set my daughter up on this system, she was starting Bitcoin-rich and fiat-poor. We decided to place about 4% of her total crypto holdings into the trading system. Of this, we sold ~1/3 at market price, and used the resulting USD to fund the buy side. Easy Peasy.

Of course, the buy side funded through this mechanism it was not quite enough to carry the entire December - Jan volatility. She's been in the system, fallen off the low end (all sell orders, no fiat to buy) when the price tanked, back in the system (orders both sides) when the price rebounded, and fallen back off the low end when the price dropped again. Currently waiting for price to again rise to hit her lowest sell in the system.

But in the meantime, she's accumulated some additional Bitcoin**, and even some additional cash profit from when price reversals and human latency led to additional $ profit.

* You need to leave a gap of one interval near the current price. Can be either a missing sell or a missing buy. Think about the first few trades after setting up the system - if you understand the system, you'll see why this is necessary.

** Used to extend where the high side of the system 'tops out' - a sell at the next interval above that previously funded.

Of course you do. Current price on CoinMarketCap: $1811.16 in USD.

♫♩♩♩♩♫♫
One of these things is not like the others
♫♩♩♩♫♫
One of these things ain't really the same

Not the beaches again. Grrr. i was kinda hoping for the hills this time.

I received a PM asking for some clarification on my trading system. I figured I'd add the reply here, in case others might find it of some interest. First, the question, then the clarification:


Hi -
You've got the basics. However, you correctly have detected a risk in such trading. If your trades at each increment are a significant percentage of your total holdings, then you risk running out of Bitcoin before the price rises very high. You will run out of Bitcoin when the Bitcoin price is (interval * 1/percentage) + price_at_start.

The solution, of course, is to make your trade at each interval a smaller percentage of your overall holdings.

For example, if you start today to trade one-onethousandth (0.1%) of your base at each interval, you won't run out of Bitcoin until the Bitcoin price is ($250 * 1/0.1%)+~$12000 = ~$262,000.00 per Bitcoin*.

If we ever get that high (I would not be particularly surprised), you'll be selling your last tenth-Bitcoin for $26,200. Not too bad.

*Actually, if you take your profits on the Bitcoin side rather than the $ side, this is a worst-case scenario. The volatility between today and the time we hit $250,000 will result in additional profit in the form of additional Bitcoin. This will extend the upper range at which you will run out of Bitcoin. Will it extend it to $300,000? $500,000? $1M? Interminably? No way of knowing in advance. But safe to assume it will extend it somewhat.

I suggest running out a bunch of scenarios in Excel, playing around with interval, percentage, and volatility profit, and map out a scenario with which you feel comfortable.

I'm not sure whether or not this is the 'best' trading strategy. However, it removes the need to be prescient in where the market is going. As long as the overall direction of the market is up, it will return consistent profits. It can also generate profits in down markets (that's when you build your Bitcoin holdings). It also maximizes return on market volatility. And the Bitcoin market is famously volatile. Most importantly, it is automatic. It removes the mistakes you might make due to overexuberance or panic.

It may be worth mentioning that I leave many open orders on both the buy side and the sell side. This has two benefits:
1) It ensures that quick market moves will not outrun my ability to enter new orders.
2) It reduces my trading costs.
To explain 2) further, exchanges charge a fee for trading - that's how they profit and are able to stay in business. Different exchanges have different pricing structures. Each exchange allocates fees to each side of the trade. This can be allocated to the buyer and seller roles, or it can be allocated to the maker and taker roles. I do this trading at an exchange that charges only the taker side of the deal. Limit orders (the type of orders I enter) are the 'maker' role, so there is no fee for this trade.

Of course, leaving open orders on the exchange requires you having value locked up on the exchange. Many exchanges 'have been hacked' (sometimes probably a synonym for 'owners ran away with everybody's money'), leaving their customers Bitcoin-less. This counterparty risk is something you need to be comfortable with.

Of all the exchanges available to Americans, I trust GDAX the most as far as counterparty risk. Further, their price structure is 'free to maker'. For these two reasons, GDAX is where I do this trading. YMMV.

And the square root of millions is...?

OK, seeing as you are barging in here with yet another assertion, how many bitcoiners are there?

Umm.. That's not data.

mmhhmm, mmm hmmm....

Looks like the 'source' did not originate with Bloomberg (like they'd really know anyhow...):


OK , and Aaron Brown is...?

Oh:

... well, that seals the deal right there. How can one question not only a Bloomberg, but an actual Prophet?

Sorry, unconvincing so far. Shall we read on? From whence did our esteemed Mr. Brown derive this nugget of truth?


Nope. Still not seeing it. This looks to be merely one of the multitudinous 'bits of veracity' floating around this space. One that everyone 'knows to be true', yet nobody ever bothers to verify.

Until you kick forth a primary source, I'm calling bullshit.