Here's a great article:

http://bitcoinmagazine.com/7961/mastercoin-a-second-generation-protocol-on-the-bitcoin-blockchain/

I recommend basically everything that this guy writes, he knows what he's talking about and he's good at explaining things.

China creates 'ringfence' around Bitcoin economy in order to allow growth and development in a safe test environment.

Buy up all the cheap coins.

Ah, I get it now!

Good joke. 

Thanks for the lesson.

Good for you. Honestly I mean it, I'm glad you won this time.

Just be careful, I have seen enough people caught in bear traps to know that this is generally the less common outcome.

They shouldn't delete the thread. Censorship is bad. Just hope that people will have a bit of common sense and treat it with a healthy dose of scepticism.

Successful trade completed with bitexch.

Thanks!

Is it 0?

33,000 ^ 0 = 1

Use the dips to buy more! 

Can I make a suggestion?

If your Dad has $1 million to lend you for a year, surely you could just borrow $50k more or less indefinitely. You will find this much easier to invest in one go. Try to buy on a dip. Sit on it for at least 1 year, no matter what (preferably 2 years). Follow the market closely but don't sell in a panic. Be prepared to lose the full amount (you would have to be prepared to lose the $1m, so this is less of a risk).

Okay, if Bitcoin really takes off in the next few years, we may well see a further 20x, and you get your $1m. Pay your Dad back and enjoy your newfound wealth.

If it fails, you owe your Dad $50k - a failed business venture. You have some hope of paying that back, or perhaps if he is as wealthy as your post suggests, he may write off the debt.

I suspect this thread is a troll, but if not, that's a lot of money to be throwing at something which you obviously don't have much understanding of.

I have learnt not to trade BTC/USD - I lose more often than I win.

Try trading LTC/BTC instead.

+1

Is that you Fontas?

Maybe or maybe not. I would say yes, on this occasion, there is a good chance of going that low. But the only predictable thing about short term swings is that they are mostly unpredictable. Very easy to lose money trying to pick tops and bottoms. Instead, figure out your long term projection of price, and then devise your strategy to eliminate the risk of short term volatility.

Buy and hold is the simplest way to do this.

@MatTheCat: I hope we do go below $800, and you get to buy your cheap coins. Out of interest, if we recover from here, and go above $1000 again, do you have a price at which you will buy back in, if it continues to climb?

NorbyTheGreek gets it.

EDIT: Note that if you successfully sell at $900 and rebuy at $800, you would be better off than just holding what you bought at $1000 and buying more at $800. The reason for not selling at $900 is to hedge against the possibility that price doesn't make it to $800, and instead goes back up to over $1000. Buying back after this leads to a loss.

For the benefit of OP:

Now that we seem to be dropping, here's a tip - You don't sell for $850 what you previously were unwilling to sell for over $1000. If you were unwilling to sell for $1000+, you should jump at the opportunity to buy at $850. Or wait, and see if it goes any lower. Point is, you can't predict where the bottom will be, so if you sell hoping to buy lower, and it turns around again, you end up buying back at a higher price and therefore you lose money.

If you believe that BTC will trade at $1000+ at some point in the future, there's no need to worry about a little dip back to $500 or so.

My thoughts exactly (by this stage).

Good post.

Added to the list of examples of how not to do it.

-MatTheCat (this thread)
-joburgtaxi (https://bitcointalk.org/index.php?topic=358584.0)

First they buy, then price drops, so they sell in order to 'limit damage'. Then when its going up again, and its 'proved' that it is now on an upward trajectory (after having climbed quite a way), they buy back in. This buy high sell low strategy is not a good way to make money.

OP is the perfect example of how NOT to do it.

Make sure you have a backup of your wallet!