7 Things to Know to Become a Successful Crypto Trader

[bohr]

1) Build a diversified portfolio
Beginners put all their eggs in one basket while a professional would know what to do exactly. The smarter approach is to build a diversified portfolio based on market cap, tech and team behind the project. This decreases the risk of incurring losses.

I disagree with this point, most coins are just copies of bitcoin with a few changes, they do not really offer any diversification, if you really want to diversify your capital then you need to invest in markets others than this one, the market of precious metals, real estate or stocks are good ways to actually diversify your portfolio, look at the market now, bitcoin is going down and altcoins are going down even faster so there is not really any protection taking place.

[Faxmate]

4) Do not loan funds for investing in crypto
Avoid trading in cryptocurrencies with borrowed funds. It is a popular advice in the crypto industry that you invest only what you are prepared to lose. This means taking loans from sharks or banks is not advisable as you are risking your borrowed capital in a volatile market with no guaranteed returns.

i think that is really a dangerous act to take loans for the sake of investment in crypto because nobody know the up and down in the market, and that become terrible when the money of loan come down in crypto. I know a person who took a big loan for crypto investment but unfortunately he lost more than half of that money and then he was unable to return the money to owner. So i suggest to trade with your own money.

[royalfestus]

2) Review your portfolio every 60 days
It is easy to chart your progress and see which way your portfolio is moving. As traders follow their strategy, it is advisable to keep an eye on Bitcoin price and its market capitalization. As Bitcoin’s price increases, its market capitalization increases and this leads to a fall in altcoin prices. This means it's time to hold or exchange for Bitcoin.

I dont believe the 60 days tag, it might not necessarily be 60 days if the plan was to take profit. In the past 2 years it had not been easy with taking profit from bitcoin. The idea for bag-holders is just around 2x-3x of investment, this could be difficult to sell if higher because of the volume and exchange listed. It is always difficult to stay away from internet when the market is doing fine and most of your tokens are kept in wallets not exchanges.

[leowonderful]

I would argue that not only should you avoid risking funds (using those funds) that you can't afford to lose, you also shouldn't be risking funds that you might need in the next year or two just in case an unexpected event happens and you need some source of money to fund that event, because you never know when something urgent could happen.

I would also add that if you're reading guides on how to become successful at trading, you're also likely new to trading and you shouldn't be risking large amounts of money in the first place even if you're perfectly fine with losing it. Most new traders do not make money but rather lose money while learning the ropes, and expect yourself to be no different.

[Shasha80]

Very true what has been mentioned in the opening post, that by complying with it can make us a successful crypto trader. Especially points
number 4 and 5, namely do not loan funds for investing and losses are a part of the process. Because so many traders using a bank loan
money into trading capital, this is very dangerous in my opinion. If we suffer losses we will have difficulties pay the loan installments. And
many traders also consider that there is a trading strategy without losses, even though we are trading will definitely experience a loss. So we
must be able to use strategies so that the profits we generate are greater than our losses.

[Blitzboy]

1) Build a diversified portfolio
Beginners put all their eggs in one basket while a professional would know what to do exactly. The smarter approach is to build a diversified portfolio based on market cap, tech and team behind the project. This decreases the risk of incurring losses.

I disagree with this point, most coins are just copies of bitcoin with a few changes, they do not really offer any diversification, if you really want to diversify your capital then you need to invest in markets others than this one, the market of precious metals, real estate or stocks are good ways to actually diversify your portfolio, look at the market now, bitcoin is going down and altcoins are going down even faster so there is not really any protection taking place.

Just look at the title of this topic, guys. OP is talking about how to be a successful crypto trader, not a stock trader or anything else. Moreover, there are many coins that are not affected by Bitcoin. Even, there are always a few coins against the wave. The market is a series of surprises, do not assert when you can not understand it.

[Reid]

4) Do not loan funds for investing in crypto
Avoid trading in cryptocurrencies with borrowed funds. It is a popular advice in the crypto industry that you invest only what you are prepared to lose. This means taking loans from sharks or banks is not advisable as you are risking your borrowed capital in a volatile market with no guaranteed returns.

I will just take number 4 to quote with.
This is really important.
Use your own money. If you don't have it then don't start at all.
Have a different savings for it. Do not let it be mixed with your budget for bills and other stuffs for your own necessities.
Just allocate a number for trading and also for investing.
That way, if you lose it then you should stop. Save once again then use that only.

[Blitzboy]

I will just take number 4 to quote with.
This is really important.
Use your own money. If you don't have it then don't start at all

I think this is not really necessary, no one decides to engage on the exchange if they don't have any money. And nobody thinks about becoming a trader if they have no economic ability (money). Basically, only people with money think about investing in other things, maybe someone will think of margin mechanism on exchanges, but to be able, they need initial capital.

[JC btc]

I will just take number 4 to quote with.
This is really important.
Use your own money. If you don't have it then don't start at all

I think this is not really necessary, no one decides to engage on the exchange if they don't have any money. And nobody thinks about becoming a trader if they have no economic ability (money). Basically, only people with money think about investing in other things, maybe someone will think of margin mechanism on exchanges, but to be able, they need initial capital.

I doubt that, there were still some few people who wanted to become successful by becoming a crypto trader, they started with just limited amount of money, they are those people who were not contented with their life anymore and they wanted to change something, and I've known a lot of people who has nothing and now has everything.

[nutella_11]

In my opinion the most important thing to become a good trader is to remember this quote 'never invest more than you cannot afford to lose'. Remember this, all the time. Another important point is to have a reliable trading platform, in the cryptocurrency market you can find a lot of scams! Use only well-known and safe exchanges, for example Kraken or CoinDeal. As far as I know, the second one even has a Swiss VQF which is pretty impressive and it is a kind of a proov that it's a safe place to buy.

[Assface16678]

I will just take number 4 to quote with.
This is really important.
Use your own money. If you don't have it then don't start at all

I think this is not really necessary, no one decides to engage on the exchange if they don't have any money. And nobody thinks about becoming a trader if they have no economic ability (money). Basically, only people with money think about investing in other things, maybe someone will think of margin mechanism on exchanges, but to be able, they need initial capital.

I doubt that, there were still some few people who wanted to become successful by becoming a crypto trader, they started with just limited amount of money, they are those people who were not contented with their life anymore and they wanted to change something, and I've known a lot of people who has nothing and now has everything.

In cryptocurrency trading, we have a different style and different story of how we start trading. Also, for me, one of the most important in cryptocurrency trading is an investment. Make sure you know all the things you needed before you enter into the crypto world it has a lot of path, technique, and skills to be gain before to be a successful trader.  If you still doubt some trials support the beginners in trading, grab this opportunity to learn a lot of things by those free pieces of training.  Learning is the most powerful thing that you must have that always keeps updated what is happening in the market, so you will know when is the right time to buy and sell your coins.

[danherbias07]

Losses are part of the process.
Yes, learn how to swallow the truth. It does happen.
Not every sweet words of those who create videos in Youtube are real.

New traders tend to look at their winnings only and when they lose they go mad and blame anyone even if it is them who decided the last click to buy or sell. 

[clickerz]

2) Review your portfolio and trading strategy every 60 days
It is easy to chart your progress and see which way your portfolio is moving. As traders follow their strategy, it is advisable to keep an eye on Bitcoin price and its market capitalization. As Bitcoin’s price increases, its market capitalization increases and this leads to a fall in altcoin prices. This means it's time to hold or exchange for Bitcoin.

This is a great reminder to me and a timely tip. Since then I started trading, I seldom review my portfolio. I think more than a year now since bearish time, I did not review my holdings. I just sold whenever I need funds, I think I should start reviewing now and every 2 months.

[Oceat]

Losses are part of the process.
Yes, learn how to swallow the truth. It does happen.
Not every sweet words of those who create videos in Youtube are real.

New traders tend to look at their winnings only and when they lose they go mad and blame anyone even if it is them who decided the last click to buy or sell. 

It seems like someone is following a pump and dump groups?
If I were them I wouldn't rely such video tutorials to make a move in the market if I really want to get that profit. It is normal to know when to sell and when to buy. Don't just click buy/sell button if you don't know you are losing already. That should be a trader should have to look at.

[DoublerHunter]

2) Review your portfolio and trading strategy every 60 days
It is easy to chart your progress and see which way your portfolio is moving. As traders follow their strategy, it is advisable to keep an eye on Bitcoin price and its market capitalization. As Bitcoin’s price increases, its market capitalization increases and this leads to a fall in altcoin prices. This means it's time to hold or exchange for Bitcoin.

This is a great reminder to me and a timely tip. Since then I started trading, I seldom review my portfolio. I think more than a year now since bearish time, I did not review my holdings. I just sold whenever I need funds, I think I should start reviewing now and every 2 months.

^ It is different for me the trading portfolio and the holding portfolio, they should be separated accordingly especially if you are holding for the long term period. In trading, I review my portfolio every day and in the long term portfolio, I did not review this even just a couple of months. When the market is dumped I will not review my holding portfolio because I know which buying point I started with. Nevertheless, this thread is very well said and a lot of newly come in trading will be guided.

[TIDOVEE]

Great work. I will like to write a little more about point 4 & 5
Point 4:Starting any business or investment with Loan is not always adviceable to be safer from the hazard of the risk of failure. Boosting investment with Loan is still okay.
Point 5:Every business person should prepare against/for loss
You may only try to minimize the risk of losing much by business strategies. Loss is part of business experience.

[jazmuzika217]

You have a very good tips that can help to the newbies investors and traders. Not only for newbies but also from all of us here in crypto world that do trading. I agree that having loan for business is not adviceable because you will be dealing with very risky activity. I think you forget something, which is avoid too much greed.

[EdwardBrooke]

Awesome areas you highlighted here. Will personally be putting this tips to use

[Darooghe]

I traded a lot, lost some and won some. But then i learned to control myself. it's all a psych game. No retest no entry! patience is a fucking key. April this year i saved up money from my job and deposited it into my trading account. stuck to my same rules and it was the best risk I've taken! I only work 20 hours a week now and by the new year i went quit completely. I figure if i can make 500 USD a week trading I can live frugal and continue to build my capital.

[Wipeout2097]

Relevant information shared,Further lot of things traders must know to become successful trader. Education is priority so spend more time to learn Technical analysis and Indicators. Know the indicators which directly or indirectly affect the market because it affect to the trade.

Knowing overbought and oversold helps to take right decision of buying and selling,Must know t overcome the emotions dont let emotions to ruin your trade just calm and relax.If lost a trade just learn and move one to recover your amount.