$100 USD vs $10,000 USD Trading Capital

[StephenJH]

Thought about it for a moment and the best answer is to find why the traders usually risk more than what advised by professional traders. Compare the two traders, the first one can make 10% per month with $100k trading capital while the other trader takes more trade positions in order to make %30 per month with $30000. The profit is ~ the same but the risks, money management, losses are not equal.

Definitely it was so true, be it worth $100 or $10000 this was still risky. The difference between this two kinds of investment was how the investor could manage this two kinds of investment. Some believes that the higher you pay out for your investment, the higher you may get the return of your investment but of course the higher the risk. Some believes also that in order to save them from losses ahead they were try in a small amount of investment, believing with small ROI too and of course small risk. Hut at the end of the day, the one who manage their investment wisely was the one who can harvest grain at the end.

Whatever the newbie traders do is the material for learning more in the hard trading journey. The mistakes can teach the priceless experience and this experience is required to get more profit by correcting the stop-loss orders and take profit orders. The revenge trading and chasing the losses with increasing the trade size on the next order is the aggressive form of making newbie mistakes but they prefer to blame the volatile market conditions. Revenge trading and other emotional trading decisions will melt the balance as soon as possible, my suggestion is to accept the loss and go forward. Other opportunities will be there waiting for experienced traders on another day.

[CryptopreneurBrainboss]

So, does trading capital really matter at all?
Are there any disadvantages to having a low capital the higher one?

Think about it in this manner, if you're already experience and skilled to tackle the market, you'll need extra motivation to continue in this path and that's where the profits pays a major role. With low capital you'll easily get discourage from engaging yourself with trading as you'll be of the opinion of saving yourself all the stress of analyzing the market and risking your funds just to get tens of dollars.

Meanwhile you can get more if you just Invest in a promising coin or coins then sit and watch your investment grow. But assuming you were making huge profit as a result of your big capital, there won't be any discouragement unless when the losses start coming.

With the big profit, the idea of becoming an Investors won't pop into your head as you're already making more than any Investors would in the same timeframe with similar capital as yours provided you're good and not an average trader.

[tranthidung]

The image was taken from https://www.binance.com/en/trade/ETC_BTC

If you have $10000 and you invest it all into one coin, ETC ie. You therefore can be a 'small' whale in ETC/ BTC trading pair. If you set up your buy or sell orders at a single price, you will create a wall of buy or sell at that price. Your wall will become resistance or support (just temporary). You are not a true whale so if the market turns opposite to your expectation and trade orders, your orders will never be filled.

I took the image to help you understand how whales have difficulty to enter and exit the market without significant impacts on price actions. It is the art of whales.  

[ChrisPop]

If you have $10000 and you invest it all into one coin, ETC ie. You therefore can be a 'small' whale in ETC/ BTC trading pair. If you set up your buy or sell orders at a single price, you will create a wall of buy or sell at that price. Your wall will become resistance or support (just temporary). You are not a true whale so if the market turns opposite to your expectation and trade orders, your orders will never be filled.

I took the image to help you understand how whales have difficulty to enter and exit the market without significant impacts on price actions. It is the art of whales.  

Yep, whales have their own set of problems to deal with when trading. They have to engineer enough liquidity to fill their order. They often end up driving the price in the opposite direction just to trigger some stop losses. That's when we see those big wicks or shadows if you want on the charts.

[sana54210]

I am not sure if ETC is a great example of being a small whale because ETC has been 51% attacked so many times in a row now, but there is also a problem with being a small whale as well. I have been involved with some projects before and I have met with a lot of whales in there as well and the problems whales have in small time coins is the fact that there is not enough volume for them to get out when they want to.

If there is like 50k volume for the whole day and you get in with 10k of your own money, you can't just sell all 10k and get out, it would destroy the market and it would mean you could lose as much as half of your money because of that. Hence, if you have 100 dollars it is wiser to get into smaller coins since you can't disturb it but go into big ones if you have 10k.

[Yatsan]

It depends upon what type of trader you are. For beginners it is advisable to just start up on having small capital at first for we all know the risks associated on doing trading so better when you are just trying to learn from experience is you just need to have a small capital so that whatever will happen, only small amount will be used and you can still be able to fastly recover from such loss. The difference between having a small and big capital is the amount of rewards you can possibly attain but still that is dependent on the asset or crypto you have chosen to trade with. The amount you will capitalized is at stake starting upon the choice you have made on which coin you will entrust your money. Diversify your capital into various crypto and to not stack it all in just one. Contentment is the first thing you must have as a trader before you slowly but surely raising your capital inputted into a crypto. Start small before going big to lessen the probability of acquiring risk that can lead to loss.

[Stedsm]

It doesn't look differential to me to think it this way that higher trading capital can gain much more. But people may think that with higher capital, they can try and manipulate the markets (which is next to illegal) and it is true to some extent if they have got a group who does that for profits. For the lower capital ones, the case may be like they can afford to lose that capital and still not worried. Still, for some, it's a higher low capital, while for others it's a lower high capital, for other types, higher high and lower low capital.

For higher low capital, they can afford to lose a big number in their trading despite having a big size account.

For lower high capital, they can't even afford a small balance loss because they believe that their loss is very big, even though their account size is very less.

For higher high, if these people want to, they can just lose their entire capital and considering they are whales, they don't give a damn while for lower low, these people can't even afford a penny and will be very miserable in terms of using their trading capital very wisely.

[tvplus006]

I know many examples of how beginners with a small Deposit tried to increase it by opening an order for the entire amount. And they managed to do this for a while, but only as long as the price went in their direction. A good trader will not make a deal for the entire amount, allocating 3-5% of his Deposit, this allows you to avoid losing the Deposit even if the transaction is unsuccessful. But this trading tactic is only available if you have a large deposit to trade.

[Mahanton]

It doesnt matter on what amount you do start off- This is just the same when you do ask out neither you do start with $10 or $100.
It wont really be that a serious issue even though there are really difference in terms of profits but overall you would still need the
same strategy and ways for making yourself to be profitable in the end of the day.If you are just a beginner with this trading career then its better to start with small
amounts so that in case you do lose it all then it wont really be that hurting much compared on losing a thousand bucks in a short span of time
and this is one of the advantages but dont expect for big profits on having smaller capital.

[Wind_FURY]

I hear some people that doing trades and complaining about their trading capital.

So, does trading capital really matter at all?
Are there any disadvantages to having a low capital the higher one?

My point is, having a higher trading capital will make you a good trader or successful trader?
Because what I think is if you have high capital, the risk is high for sure yet the reward is also high, but when you have low trading it's still the same, you got low risk and still low reward.

To be a "good trader", maybe no. To be a "successful trader", a lot of times, yes! Because how do you measure "success in trading", if it isn't measured in $$$.

[Renampun]

it has become a formula "big capital = big profit, on the other hand, small capital = small profit"...
It is very rare to find a case like Bitcoin which gives an ROI of 9000% to investors for 10 years, if you trade in the top 20 cryptocurrencies don't expect to get big profits if you have small capital.

[crzy]

It doesn’t matter for me because no matter how much your capital is if you don’t have knowledge on what you are doing, you will still ended up broke so I suggest to always start small and just increase it if you already gain the knowledge, this is what matter to me and I can always make capital what challenging to me is to sustain that capital and make profit out of that.

[davinchi]

Honestly you could risk a lot more with $10k instead of 100 dollars. With 100 dollars between fee's and other stuff you are going to have very hard time putting your money into multiple stuff, you are probably going to stick with just one thing and you need to hope that thing works and if not you are done with.

However with $10k, you could separate like maybe $7-8k for regular bitcoin/eth type of investments which will make you over $10k+ soon anyway and you will be back to square one, while doing that, you could spend $3k on 30 different coins 100 dollars each and you could hope that one of them will become something huge.

Not all of them will, some of them will be dumped at launch, some of them will never survive, but maybe few of them will go super high and you could make extra $10k+ just that way if you are lucky.

[death69]

Trading capital does not affect the way you trading if you are a professional trader. A professional trader consider 100$ capital same as $10000 capital. They care about is the risk/reward ratio as well as the percentage of profit. Novices only care about the real number of money they receive after every trade. That is a huge different which distinguish real traders from newbies.

Dont let the amount of money make your trading route obscure. I know that people are in need of money. But trading is way more better that just making money. There are lots to learn and vary of skills are necessary. And for your information, only 10% of traders actually generate income monthly while others only lose their money continuously

[santiPOGI]

I hear some people that doing trades and complaining about their trading capital.

So, does trading capital really matter at all?
Are there any disadvantages to having a low capital the higher one?

My point is, having a higher trading capital will make you a good trader or successful trader?
Because what I think is if you have high capital, the risk is high for sure yet the reward is also high, but when you have low trading it's still the same, you got low risk and still low reward.

Well to be honest, if you know to yourself that you are good in trading obviously in 100$ you can able to get profit with suitable to that this amount while in 10, 000$ it will only same goes only. But their difference only is that in 10K$ you can possibly get a big or huge amount of earnings in cryptocurrency trading, very simple to understand isn't?

[Tingtong]

I hear some people that doing trades and complaining about their trading capital.

So, does trading capital really matter at all?
Are there any disadvantages to having a low capital the higher one?

My point is, having a higher trading capital will make you a good trader or successful trader?
Because what I think is if you have high capital, the risk is high for sure yet the reward is also high, but when you have low trading it's still the same, you got low risk and still low reward.

Only high capital can not make success trader. If you have big amount you can make big profit and can be big loss. After few mont i come back in trade. Started with 200 usd and one month 2k usd. After i buy a coin 2k usd now this price is 400 usd.

[Bitcoin Seller]

Trading capital matters a lot. However, there is some “but” here. If a guy has thousands of dollars but a zero knowledge about crypto trading, he has a great chance to lose everything. 100 USD is an OK sum for a beginner. Even if he makes mistake,m it will not be the biggest fail.

[Lanatsa]

Trading capital matters a lot. However, there is some “but” here. If a guy has thousands of dollars but a zero knowledge about crypto trading, he has a great chance to lose everything. 100 USD is an OK sum for a beginner. Even if he makes mistake,m it will not be the biggest fail.

We aren't talking about knowledge in trading here yet its quite understandable that knowledge is important among the rest for you to be better in trading.

Of course trading capital would matter in most cases because with bigger one you can really be versatile and there would be lots of adjustments and set-ups that you can do.

Just like what others had said that it had its own cons and pros which is true.It doesn't matter if you do have a 100 bucks of capital but doesn't mean that you wont be
profitable.It all matters with skills in the end of the day.

[samcrypto]

Your capital will depend on how much you can afford to lose and you should not compare yourself to anyone especially if you can’t afford the $10k capital, you can always start at your own level of risk. Capital is your first step on achieving financial independence in any market, and the next one is a lot more harder which is to learn about investing and how to multiply that capital without losing everything.

[AakZaki]

Whatever capital is used in trading, if you don't have good trading skills, you will have the same risk of loss. Trading capital on the other hand is also important to get more profit, but the losses that are experienced when trading wrongly will also be greater.

Having a large capital does not necessarily make you a good trader, because some new investors who have a lot of money and start trading are just beginners who do not understand trading.