When to Buy in a Crypto Trade?

[imadmirer]

As a day trader it is regular profit that stands as my constant motivation. Profit in terms of a 'good investment' as well as that gained through a 'good sell' need to be cherished as these are the things that make us a professional trader.

When it comes to buying a coin there are a lot of people who simply buy not really looking into the market on the whole and particularly the market of the coin of interest. Because of this many a time most commonly we find that people spend more money buying and selling at wrong time.

Here is an infographic I have prepared. Please write your comments/suggestions if it captures your interest 

There are a few criteria that one must look into prior to investing in a coin.
    • The coin should have good utility.
    • It should be a product of a good team with decent market cap and volume of trade.
    • The market should show significant volatility.
    • A good opinion on the coin from experts and other traders.

One can take the above points as a reference. One should always look into the market’s behavior before, during and after investment. To buy, it is best when the market is going down and experiencing a slack in growth. However, you as a trader should also buy when the value of the coin has hit a fresh low breaking its previous base. These kinds of quick buys and sells are sure to give short term profits in a big way.

Keeping the above prerequisites in mind one has to take right calls.
    • Buy when the market is slacking and is in a downfall.
    • Keep buying when the market has fallen below its previous base.

You can however take a risk from the above rules only if you have studied the market of that particular coin thoroughly. In such cases, the early stages of the value shooting upwards can be utilized and bought knowing full well that there is a bullish curve to set in based on thorough analysis.

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[Pursuer]

most of the times when you are trading altcoins you are basically gambling. so no matter how "expert"  you are or you think you are, you would be still taking a huge risk and there is a big unpredictability about the altcoins that you can never shake. and that is only because altcoin markets are too  small and too controlled which makes them mostly manipulation and unpredictable as a result.

what you need to do is to study the market. for example you said "buy in a downfall" that is a big mistake. you should buy when the downfall is over not as it is still going on. among altcoins for instance there are many which are still on the downfall and buying them is the worst thing you can do. but at the same time there are others that have reached their bottoms and have been already at the end of their "downfall" which makes them good buys. they are currently getting pumped one after another while the big coins still go down.

[butka]

most of the times when you are trading altcoins you are basically gambling. so no matter how "expert"  you are or you think you are, you would be still taking a huge risk and there is a big unpredictability about the altcoins that you can never shake. and that is only because altcoin markets are too  small and too controlled which makes them mostly manipulation and unpredictable as a result.

Good point. My experience tells me that there are no rules when it comes to buying or selling many of these shitcoins.
They are all prone to "pump and dump" schemes, and you never know when such shemes are about to happen. Unless you have some inside information.
If you decide to trade bitcoin or some of the more established altcoins, you can also be tricked, for example, by a manipulation called "Institutional Order Flow"
In Institutional Order Flow, liquidity is created artificially (by the big players) and the average trader is tricked even when they follow the rules and practices of good trading.
It takes a lot of experience to spot these schemes, and to minimize the risks, but you can never know for sure.

[MMA]

most of the times when you are trading altcoins you are basically gambling. so no matter how "expert"  you are or you think you are, you would be still taking a huge risk and there is a big unpredictability about the altcoins that you can never shake. and that is only because altcoin markets are too  small and too controlled which makes them mostly manipulation and unpredictable as a result.

what you need to do is to study the market. for example you said "buy in a downfall" that is a big mistake. you should buy when the downfall is over not as it is still going on. among altcoins for instance there are many which are still on the downfall and buying them is the worst thing you can do. but at the same time there are others that have reached their bottoms and have been already at the end of their "downfall" which makes them good buys. they are currently getting pumped one after another while the big coins still go down.

It is up to you, that either you trade altcoin like gambling or trading. We cannot consider trading altcoin as gambling, because gambling is a game of luck but investing money in different altcoin you need a good knowledge, experience and skill. If you do not have these specialties then you can consider trading as gambling.

[Koadharber]

most of the times when you are trading altcoins you are basically gambling. so no matter how "expert"  you are or you think you are, you would be still taking a huge risk and there is a big unpredictability about the altcoins that you can never shake. and that is only because altcoin markets are too  small and too controlled which makes them mostly manipulation and unpredictable as a result.

what you need to do is to study the market. for example you said "buy in a downfall" that is a big mistake. you should buy when the downfall is over not as it is still going on. among altcoins for instance there are many which are still on the downfall and buying them is the worst thing you can do. but at the same time there are others that have reached their bottoms and have been already at the end of their "downfall" which makes them good buys. they are currently getting pumped one after another while the big coins still go down.

It is up to you, that either you trade altcoin like gambling or trading. We cannot consider trading altcoin as gambling, because gambling is a game of luck but investing money in different altcoin you need a good knowledge, experience and skill. If you do not have these specialties then you can consider trading as gambling.

100% true. If you do treat out trading to be like gambling then you can still deal with it but it would be much better to play directly with gambling games on the very start but if you do handle it on a right way where you do make use of your own analysis and researching skills then this would really be good for long term aspect. Lessens the risk on losing money due to the fact we can choose up according with our own research.
On the image above its very informative thanks op on sharing it up.

[usekevin]

most of the times when you are trading altcoins you are basically gambling. so no matter how "expert"  you are or you think you are, you would be still taking a huge risk and there is a big unpredictability about the altcoins that you can never shake. and that is only because altcoin markets are too  small and too controlled which makes them mostly manipulation and unpredictable as a result.

what you need to do is to study the market. for example you said "buy in a downfall" that is a big mistake. you should buy when the downfall is over not as it is still going on. among altcoins for instance there are many which are still on the downfall and buying them is the worst thing you can do. but at the same time there are others that have reached their bottoms and have been already at the end of their "downfall" which makes them good buys. they are currently getting pumped one after another while the big coins still go down.

It is up to you, that either you trade altcoin like gambling or trading. We cannot consider trading altcoin as gambling, because gambling is a game of luck but investing money in different altcoin you need a good knowledge, experience and skill. If you do not have these specialties then you can consider trading as gambling.

Obviously right.You should not confused trading with gambling.Gambling is just a game with some money investment,you will win based on your luck.In gambling,luck favor the role.In trading,your experience in trading will favor the role.The profit from trading is based on your knowledge in trading.Luck doesn't favor role in trading.

[imadmirer]

most of the times when you are trading altcoins you are basically gambling. so no matter how "expert"  you are or you think you are, you would be still taking a huge risk and there is a big unpredictability about the altcoins that you can never shake. and that is only because altcoin markets are too  small and too controlled which makes them mostly manipulation and unpredictable as a result.

what you need to do is to study the market. for example you said "buy in a downfall" that is a big mistake. you should buy when the downfall is over not as it is still going on. among altcoins for instance there are many which are still on the downfall and buying them is the worst thing you can do. but at the same time there are others that have reached their bottoms and have been already at the end of their "downfall" which makes them good buys. they are currently getting pumped one after another while the big coins still go down.

Thank you so much for your inputs. I had made some study prior to making this infographic on the ways people who have been pretty successful with day-trading tend to take. And whatever understanding I have is the outcome of such a study.

Yes, what you say is true, if we do not study the market and simply take a plunge into trading then many a time certainly it amounts to gambling. But that is why the advice I have been given by the expert traders 'do what market tells you to do and not what you feel you should to do.'

About the downfall, you may always by during the downfall as long as you know that the market is not completely crashing. Because you can never know when the downfall has ended. You will know it has ended when the market takes a bullish turn again. And we never know how quickly the rise will be. That is why we mark a 'base' or a point and beneath which we start buying. We wait till the base is reached again and start selling as the bull curve crosses that mark.

When we invest in altcoins, what I feel is a preliminary understanding of the coin and its behavior is taken into account. When the market cap is good and from previous patterns certainly we know that the coin will bounce back which makes it safe in the first place to invest. Since it is safe, I have learnt that there is no harm even in buying during a downfall. Because the market may deceive us, it may hit the bottom and turn bullish for a while and then again take a downfall to a level lower than the previous downfall. I have been shown that I should not predict the market but simply respond to its behavior.

100% true. If you do treat out trading to be like gambling then you can still deal with it but it would be much better to play directly with gambling games on the very start but if you do handle it on a right way where you do make use of your own analysis and researching skills then this would really be good for long term aspect. Lessens the risk on losing money due to the fact we can choose up according with our own research.
On the image above its very informative thanks op on sharing it up.

Thank you. It’s a summarized informative chart I thought will be useful for simple reference. I wish to really gather more inputs from all members both for myself for my application and improve the charts and informative tools further for everybody’s use. More the ideas the better we innovate.


I do really thank the members for your inputs. Will be happy to further learn from the comments.

[Webberson]

In my own opinion, the best time to buy in a crypto trade, is whenever i see market price settling in its support range - reason being that, at that range the price should (in anticipation) start going up in a favorable direction.

[supergorg27]

I think before buying in crypto trade we need to observe the market trend before making an investment., And it is important to buy when the current value is under the value of its latest base.

[tina87]

Pysteria around the crypto currency does not subside - on the contrary, the higher bitcoin rate jumps, the more talk about this phenomenon and more willing to become crypto investors.
So, you can also join in any time. Mb will become hodler

[gantez]

That is suppose to be at the support level when the price drop has been exhausted at that moment or day. This will help for a quick gain because the market is set for another round of movement.

[Pursuer]

most of the times when you are trading altcoins you are basically gambling. so no matter how "expert"  you are or you think you are, you would be still taking a huge risk and there is a big unpredictability about the altcoins that you can never shake. and that is only because altcoin markets are too  small and too controlled which makes them mostly manipulation and unpredictable as a result.

what you need to do is to study the market. for example you said "buy in a downfall" that is a big mistake. you should buy when the downfall is over not as it is still going on. among altcoins for instance there are many which are still on the downfall and buying them is the worst thing you can do. but at the same time there are others that have reached their bottoms and have been already at the end of their "downfall" which makes them good buys. they are currently getting pumped one after another while the big coins still go down.

It is up to you, that either you trade altcoin like gambling or trading. We cannot consider trading altcoin as gambling, because gambling is a game of luck but investing money in different altcoin you need a good knowledge, experience and skill. If you do not have these specialties then you can consider trading as gambling.

I didn't say trading altcoins is like gambling! I said sometimes you are gambling when trading them. and I explained the case. please read it again.

About the downfall, you may always by during the downfall as long as you know that the market is not completely crashing. Because you can never know when the downfall has ended. You will know it has ended when the market takes a bullish turn again. And we never know how quickly the rise will be. That is why we mark a 'base' or a point and beneath which we start buying. We wait till the base is reached again and start selling as the bull curve crosses that mark.

that is the main point to it though and the hardest. to know that the market is going to recover at some point and rise back up. in other words you need to be sure that the coin you are investing in has some real potential and is not all hype.
for example when an altcoin is pumped from 100 satoshi to 10000 satoshi, that is all pump/hype. you shouldn't even touch something like that because it will fall down to 100 satoshi and below and may take months to actually see another pump.
but when bitcoin drops from $20k to $6k it doesn't matter if you buy on the downfall because you can be nearly sure that it will recover. in fact there are many investors who are buying bitcoin with their salary every month. for example each month you put $100 of your salary in bitcoin no matter what its price is that month.

[FalcoonRed]

my advice if you want to buy your coins is not enough to see a market, look at some markets with different countries because it will greatly affect your trade.

[whirlcoin]

Just buy the crypto currencies when the prices are low and sell them when the prices are high but the fact is we don't know about the bottom and top level so we need to decide what os the price we need to buy amf sell but it is a high risk in doing crypto trading.

[trickyriky]

I think before buying in crypto trade we need to observe the market trend before making an investment., And it is important to buy when the current value is under the value of its latest base.

We have to watch the fluctuations of the market for a very long time before taking the decision how to trade and when to buy the cryptocurrencies. The choice of the altcoins is also very important.

[hasmukh_rawal]

It looks like you have got a good experience in day trading. Its good that you are sharing your experience here on the forum but not everybody have the guts to take up the risk and that's why they avoid day trading. I know it has got good profits but not everybody gets profit everyday. There would be times when even you would have suffered losses. Sometimes the market plays opposite to our trades and that is what keeps many from taking this risk.

[Cryptogid]

Buying at dip can be right, but one has to be careful as to not buy when others are dumping,you might end up being future partners..