Does having a lot of investing money make trading for a living much easier?

[maydna]

So you have a problem with the trading fees? My suggestion is you don't have to think much about the trading fees because as long as you can profit more than the trading fees, you should not worry about that. At least, your profit will still bigger than your trading fees, so you can still trade without thinking about that.

If you just think about the fees, that will be too complicated, and I don't think that people will think deeper about the trading fees because that can waste their time to calculate it. It is better to make as much profit as you can from the market and let the fees be like that. I am sure that you will make a big profit, and once you make it that, you will not think about the trading fees.

[exstasie]

Let say you want to make around 50k a year for someone in the US trading  As im sure lot of US ppl know, if you trade short term, you have to pay like 35% on your short term gains.

That's only near the very top tax brackets, if you're making $200K+ a year. You pay your ordinary tax rate on short term gains. For some people, that means 10%, not 35%.

Are you from the US?

If so, you say thats only the highest tax bracket percentage... I dont think you are correct here.  Aren't all short term profits doesn't matter the amt taxed at that rate though?  Im pretty certain it is?

I'm from Canada but I've been living and paying taxes in the US for a long time.

I didn't say 35% was the highest but that it was near the top. The top tax bracket is 37%. Short term gains are taxed at your ordinary tax rate, which is dictated by your tax bracket.

Net short-term capital gains are subject to taxation as ordinary income at graduated tax rates.

https://www.irs.gov/taxtopics/tc409

Well if you buy btc only like in my example and never sell it unless its higher than your bought price... then you don't lose right?

Sure but if you buy at the wrong time you could be sitting on losses for years. Someone who bought in December 2017 or January 2018 is still in the red 2+ years later. That's not an effective way to trade.

[akram143]

Earn Money => Invest it => make more money => Repeat it.

So you actually don't need huge money to make your life easier but don't forget that it takes lot of time to achieve your goals so don't expect any changes overnight.Taxations changes depends on your origin and if your country collects more taxes for your crypto earning is it okay but if they charge every crypto transaction as profit then it is not possible to trade on those region.

[Akiko]

1. No you don't need to use large capital just to earn large amount of money . Its actually wise decision if you will only start with small capital mostly if you know you don't have enough experience in trading .

2. Its too risky idea that you want to use all of your money in trading if you know you don't have other source of income and it's hard  to recover once you lost it all

3. If you want passive income openyour own business than risking all your money in trading many traders feel broke because of wrong decision to enter in the market that they don't know and have enough knowledge make sure you aware about that.

4. Dont look only in possible scenario think also te negative side which can also decrease it's price in the next more days or months and that means lost.

[Dorodha]

It will depend on your skills whether investing a lot of money will make the trade easier for you to make a living. If you don't have any knowledge about trade then investing big money will bring loss. Loss of business quickly and frustration can make life difficult so use your experience to trade strategies and try to invest a small amount. If you can understand the business trends in the right way business will become easier when it comes to currency selection.

[Lorence.xD]

1. No you don't need to use large capital just to earn large amount of money . Its actually wise decision if you will only start with small capital mostly if you know you don't have enough experience in trading .

Isn't large amount of money makes sure that you will profit even bigger? I agree that small amounts will be a good start but there are times when you need to just trust the investment and let it go up. Nobody gets rich by playing it safe.

[matchi2011]

1. No you don't need to use large capital just to earn large amount of money . Its actually wise decision if you will only start with small capital mostly if you know you don't have enough experience in trading .

Isn't large amount of money makes sure that you will profit even bigger? I agree that small amounts will be a good start but there are times when you need to just trust the investment and let it go up. Nobody gets rich by playing it safe.

Logically right! if you won't take the risk you'll stay breakeven, though learning is a process and once you already gained that experience and confidence, putting decent amount of money to invest is a wise decision if you are aiming for bigger returned.

It's always  your good understanding and confidence that will bring you huge opportunities to convert coming from this venue of business.

[iamsheikhadil]

Yes they do.

And that's why they continue to be richer lmao.

Thing is, it's not that easy to be honest. The risk is there as much as there's a potential to make money. Simply put, if a very rich person puts sell order when Bitcoin is growing in price, if it's a huge sell order, the prices will actually plummet by influencing the market

Making money with money is what big investors and businessmen do. That's how you grow and that's exactly what they do

[michellee]

Suppose you invest in a lot of money that will not always make trading easier, especially if you don't have many trading skills. No matter how much money you will use, you better have the skills to analyze the coin, so your chance to make a profit will wide open. If you don't have many trading skills, you should learn more about trading, and you need to practice the lesson so that you can trade with better, and you will have the chance to make money from trading. If you have high skills in trading and use a lot of money, your profit will be bigger. So the important thing here is having skills in trading to make a profit.

[EdenHazard]

The key is patience, good money management. Always.
An investor have 7% profit yearly as a target ( of course with safe investment that has not much volatile)
While a trader have that 7% profit daily as a target , taking advantage on the market volatile.
Let's say if you do both the investment and trading at once ,  things will makes your income stable if only you have a strict money management, otherwise even if you have huge amount of money invested and got a little loss in your day trading ... guess the whole money you have invested could always dragged down to zero due your awful money management. So yeah things never easier said than done.

[Ridwan Fauzi]

I don't you will be ready to trade when have a lot of money especially when you have ever traded. Trading with a huge money will make you tempted to sell quickly when the coin that you invested increase just for 1%. You will get a lot of profit in it and otherwise you will sell quickly when the price fall because you will be afraid to loss a lot of money.

Unless, you are professional trader, it means you are used to experiencing such things and you'll know where the direction the movement price to. Also, you don't need to spend a million money too, there is future trading which can make you feel trading with a large capital. Such as in binance exchange you can use 100x leverage from your capital if you want. But it is too risky, I myself actually not comfortable to use a high leverage I just use 10× laverage in maximum.

[MWesterweele]

Earn Money => Invest it => make more money => Repeat it.

So you actually don't need huge money to make your life easier but don't forget that it takes lot of time to achieve your goals so don't expect any changes overnight.Taxations changes depends on your origin and if your country collects more taxes for your crypto earning is it okay but if they charge every crypto transaction as profit then it is not possible to trade on those region.

I'll bet yes you don't really need to have a huge amount of investment to make your life easier. Well if you are lucky enough to have a previlege of living with a silver lining then this is the way you can say even investing your money and never get that emotion of being lose and i bet this investment is too little to compare if ever. But if you're like us, especially me which i honestly admitted that life for me isn't easy then you have to pay attention on your skills and learned the technique on how trading in cryptocurrency goes well. This thing might be a big help to you when it comes to trading of cryptocurrency.

[so98nn]

Now imagine someone with a million dollars as investing money... decide to buy 100 btc with the price at 10k a coin to make it simple.  I don't want to use an altcoin as an example because those are risky and you can easily lose everything as coins do drop to zero... so basically stick with the top coins on the list.  Now let say btc went up and down for the next few days and then btc went up to say 10500, now the person sells all 100 btc for 1.05 million dollars.  Let say trading fees are 0.25% fees.  Is that the rate now for trading btc?  Now in the first transaction, to buy a million dollars worth of btc.. fee would be 2500 dollars right?  Then when you sell the btc... fee is 2625 dollars... can anyone confirm the math here?

Well you know what we are in crypto space and the first principle is anonymous transaction, at the cost of public ledger, complex nodes forming giant blockchain and all that to confirm your transaction over blockchain through exchanger or whatever medium it is.

I guess having that 0.25% fees is fair otherwise how whole stuff will work in the first place ?

Coming to the point how much money needs to traded, well that depends on how much you want to earn keeping in mind “your expenditure limits”. If you want to earn more then you either need to have million times good luck or either he’ll lot of money to spend.

[bittraffic]

0.25% is too little actually to consider not to trade all because of it.  If you could try if on binance, just buy some BNB for the trading fees so won't be wasting BTCs going to be used as fees.

You can start trading with just $500 and just trading when there is an obvious pattern that is moving. But you may just have to start with one pair like BTC/USDT because its where the volume goes.

[alisonwonder]

0.25% is too little actually to consider not to trade all because of it.  If you could try if on binance, just buy some BNB for the trading fees so won't be wasting BTCs going to be used as fees.

You can start trading with just $500 and just trading when there is an obvious pattern that is moving. But you may just have to start with one pair like BTC/USDT because its where the volume goes.

If you use very little capital, 0.25% will not be felt, but when you use very much capital, even more than $ 1 million, it will make it an important and very significant influence, at least don't overlook something small even though it's not valuable but without realizing it it is very valuable and important.

[slaman29]

Its easy to become millionaire when you have billions of dollars i.e way of losing it. Bu tit is other way around difficult to make a million into billion-dollar because it requires a lot of patience, right investment/trading startegy, time and above all a discipline in finance. Trading is worthy for those who want to do it part time as well and make some quick bucks in a short time or if you are a full-time trader then it is different story.

The truth hurts but it's true. A lot of wealthy people talk down to us as if they were smarter but the fact is, money makes money so the rich get richer because they simply have more access and more ways to make even more. We are nothing but plebs. It doesn't mean we can't make money, but it does mean we can't make it the same way.

[goldade]

 

Everyone knows that with more more as your investing power comes more profit. It is only simple mathematics. 10% of $100 is $10 while 10% of $1000 is $100. Even if both made the same ten percent of their capital, the difference in the amount of profit is dependent on the size of their capital.
It's a long standing truth that money makes more money. Only one with much capital can make much in little amount of time

[MCobian]

It is true that the more capital we have, the greater our chances of getting big profits. But the problem is trading is not as easy
as we imagine, it cannot guarantee 100% certain profit when trading. In fact, many of the traders still experienced a greater
amount of losses than the profits they made. So if you want to be successful in trading, not by increasing the amount of capital
we use. However, learn more about trading strategies, because by having good trading knowledge, with small capital can get big
profits too.

[xZork]

I never done trading so curious on this.  Also don't have the money to trade as it would be for small amounts so I don't think I could make much.  Is that true or false?  You need a lot of money to start if you want to make enough trading for a living right?

Daily trading on the cryptocurrency market can bring you a lot of profit but is also risky, if you are a novice in the market then you should not invest too much money in daily trading.
To be able to trade well everyday you need to learn many things and need a lot of experience, it is best to start with a small amount of money before deciding to invest in cryptocurrencies.

[J1mb0]

I think that trading success depends on your skill, it's very little depends on the amount. Many people started small and achieved success, and many lost all of their money.
If you have never engaged in crypto trading, investing large sums of money in this market is risky. I think you should run something in real life out there, that would be easier.