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Thanks Triple (and everyone else)! It’s starting to make more sense!! Leaving it in the same alt currency makes perfect sense and Bitcoin fluctuations are irrelevant. That I now see!! The part about having $200 more in Bitcoin than when I started kind of makes sense but once I convert the alt back to Bitcoin won’t that rate be the deciding factor in profit or loss and determine if it was all worth it or not? I assume the Bitcoin to Ripple rate is always changing.
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So when calculating my actual profit/loss in relation to my initial investment, I need to calculate the alt coin value AND THE BITCOIN value to arrive at the actual result of my investment. Still not sure if I get it? If I use Bitcoin to buy Ripple and made the equivalent of US$200 in the very short term (e.g day trading) that could be wiped out in seconds with the normal fluctuations of BITCOIN? Why bother trading the alt coins?
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So what I can’t understand is - Why invest in alt coins if any decline in Bitcoin will wipe out my alt coin profit? What am I missing? Thanks
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Can someone explain why most people use Bitcoin to buy other alt coins rather than converting back to $. I understand for tax, price fluctuations, wanting to only use cyptocurrency, etc. But doesn’t it mean I am actually investing twice? Rise or fall of alt coin and rise and fall of Bitcoin. If I make make a profit out of my alt coin but the Bitcoin price falls I have lost my profit. An explanation in simple terms would be much appreciated. Thank you.
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