How I convinced a Stock Trader to Invest in Bitcoin

[fullhdpixel]

I think your uncle became so much interested in bitcoin the moment he discovered his Nephew will walk him through the whole market and teach him how things work out. As a stock trader, the terms may sound different but, may share same meaning to him. Despite the volatility he still fell in love with the market because he is used to that in the stock market. So, what we do at the cryptocurrency market is almost the same with other markets like the stock market. OP, I would want to know if he shared some similarities with you between crypto market and the stock market? they will be a lot to learn from such similar comparison.

As someone who has been a stock trader and investor, I don’t think he would find it hard in understanding how Bitcoin works. The stock market also has volatility, except that it is not as much as we have in the Bitcoin market.

So, there isn’t really much of that difference, all he has to know is that the volatility that is in the Bitcoin market is far much higher than what they have in the stock market. He has had to deal with that kind of risk when he was investing in the stock market, so it wouldn’t be anything new to him at all to see that Bitcoin is also a risky asset for him to take. It would have been difficult for the OP to convince him if he wasn’t some one that was already into investment.

[pawanjain]

The feeling of getting a person who knows nothing about crypto into crypto community is really good.
Even I have recently suggested my close friends to get into crypto. Four of my friends joined crypto and bought some coins.
Even my own brother started investing in crypto after seeing me talking about it all the time.
I keep telling him how good and beneficial it is for the world and how it will be so worthy to invest in it right now.
I literally feel so good when people join crypto.

[Zlantann]

Your uncle found it easy to understand because he already have knowledge with daily trading of stock and as such the volatility got him more interest to it. A stock trader knows the importance of volatility because that is meaning exchange is going on with in buyers and sellers creating high volumes.

Most novices in my area see bitcoin businesses as ponzi schemes. Convincing them would take so much time and energy. But you did a very good job. Your post would be very helpful in my marketing drive.

[Jawhead999]

You're teaching your uncle or your friend? I hope you're teach your uncle because it's your family, if you teach your friend... I must say there's no benefit moreover you can be targeted by your friend since he thought you're millionaire.

You need to teach him to avoid invest in altcoin (shitcoins) because he's like high volatility, he could be scammed if the project rug pulled. I go for 100% Bitcoin if it's for investment, there's no need to diversifications except in other sectors (e.g. gold, real estate etc).

[Leviathan.007]

Even as someone who read many books about money management and other related books I still won't try convincing anyone to invest in something because in this case, you should be responsible if he lose any money and should be responsible for the advice you give him, regardless of that, both stock markets and bitcoins markets may have some benefits for the people who invest here and the price action situation is different in any market for example if someone is a successful investor in stocks market there is no guarantee to say can be a good bitcoin investor after that.

[Obito]

That's pretty impressive, converting a stock trader and to be able to go with bitcoin is a big feat because it's entirely different than stocks with its volatility but the good thing about it is that person likes the volatility of the market which is pretty awesome. I am not surprised that he likes the volatility though as they know that they can make money in the volatile market.

[rudolfaxl]

He was already a stock trader so I think it was easy for him to understand how Bitcoin investment works.

Telling them they have the possibility to buy Bitcoin on PayPal or Binance in 5 minutes is easy.  I do not agree however that being a stock trader makes it easy to understand Bitcoin.  I know enough people who can do stock trading but would not touch Cryptocurrencies.

Things get difficult because so many events affect Bitcoin's price in a certain way.  You have to thoroughly read Bitcoin's whitepaper and understand the technology to know why Halving affects the price long term.  It is not like the average stock trade where supply and demand or quarterly results of a company make the price change.

Bitcoin is hard to understand even for an experienced stock trader.  Change my mind.

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Regards,
PrivacyG

What he is saying is probably the existence of bitcoin, market volatility and how we will profit from investing in bitcoin. I don't think he's referring to the technology, how bitcoin works. The stock traders I know when they hear about bitcoin also quite easily grasp how to make a profit when investing in bitcoin, some are very excited and some are not very interested.

[AicecreaME]

You don't have to convince him actually, because if his expertise is in stock trading, there's no reason for him to invest in Bitcoin, in my opinion. Stock trader purely depends on stock, obviously, while in cryptocurrency lies a lot of new knowledge that he needs to intake first before he invest on it, that might affect his performance in stocks trading, since he will focus on Bitcoin and Stocks.

[mindrust]

Just show the results that you have earned in bitcoin then everything will be done and they will be interested.

Just because you are a successful trader don't mean that he will also replicate your success. That would be deceptive imo. There are lots of successful stock trader. Would you leave crypto and start trading stocks if they showed you their trade history? You wouldn't do that probably. That means you shouldn't ask the same thing from some one else.

[PrivacyG]

What he is saying is probably the existence of bitcoin, market volatility and how we will profit from investing in bitcoin. I don't think he's referring to the technology, how bitcoin works. The stock traders I know when they hear about bitcoin also quite easily grasp how to make a profit when investing in bitcoin, some are very excited and some are not very interested.

It is still hard to understand by someone with experience in stock markets only.  It is easy to buy and sell and APY's are great!  But do you still find it a good investment when you purchase Bitcoin and looking at it drop 50 percent in days?  It is not like traditional stocks.  Binance announces Bitcoin depozit freeze, Bitcoin goes down a slippery slope.  Russia wants Bitcoin, it goes back up.  China cracks down once again on Bitcoin, things go bad.  A new strain of Covid makes it drop like a barbell to the floor.  We do not even know what outcome it will have the next financial crisis.

Cryptocurrency markets are hard to predict and making a profit by trading requires a decent amount of knowledge.  With stocks it is easier.

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Regards,
PrivacyG

[Peanutswar]

Some people would like to more on stocks because it's less volatile than cryptocurrency also it's all about the economic supply and demand too. Some of them don't want to change into crypto because they already know the things in the stock market why do they need to risk with their assets to a thing they don't know how it works, even though its a decentralize its volatile even though you make a technical analysis still there's a changes immediately than the stocks. But of course good to have a lot of source of income.

[Kakmakr]

Well, it was a clever move to tell him that Bitcoin will be the currency of the future, but there are no grantees that it will ever happen. Something that I frequently use as a counter for the people who says "Bitcoin does not exist physically" is to compare it with digital items that are sold in online games.

You buy a custom Counter-Strike skin for your in-game weapon and you pay for example $500 for it.... is this skin real (physically) ...No it is not, it is a digital piece of code... just like the bitcoin token is something digital. Well done OP.... I am pretty amazed at your accomplishment, because these Fiat traders are very difficult to convince. 

[Fortify]

Bitcoin is an incredible thing for an outsider of the crypto industry. My friends always show their curiosity about Bitcoin, and they are pretty interested in getting into the Bitcoin ecosystem. But when it comes to traditional investors, it's challenging to mean them the crypto industry. Recently I faced this kind of situation.
My uncle (mother's brother) is a stock trader. He frequently trades like a day trader and invests a lot of money in mutual funds.
One day in the family gossiping, I comprised his investment plans and my investment plans. He put his money in mutual funds and did day trading. On the other hand, I put my money on Bitcoin with some substantial projects, a yield farmer, and I use crypto properly.
After listening to some opportunities about the crypto market, he started to show interest. But one question he asked that why anyone invest in something that does not have an actual existence?
I was like, how can I meant him the whole ecosystem. I just answered, Here's the game. We are in the digital world where Bitcoin would be the future worldwide currency.
I told him some benefits and opportunities are having an investment in Bitcoin. I remember I googled and found some point to point benefits of Bitcoin investment.

Advantages Of Bitcoin       

• High Potential for great returns.
• Variety of Payment option.
• Instantaneous Settlement, International Transactions.
• Diversification, Greater Liquidity

(On the other hand, I mentioned some risks also, Account hacking and High volatility).

After showing Bitcoin's historical APY numbers, he started showing curiosity, but I was surprised that he loved the market's volatility. Usually, any newbie does not like this much volatilities, but he was like, significant volatility, many opportunities of making profits from trading. I told him the fundamentals of the Bitcoin ecosystem, how the blockchain works, how anyone can send and receive the Bitcoin just having an address. I give some Youtube videos link to watch for learning more about the crypto industry.
After one week, We again sat together to talk about the market. In this one week, he learned many things about the industry. Then he was ready to invest in Bitcoin. As I knew before that, he was a day trader; that's why in the beginning, I suggested him invest in Bitcoin for the long term. After learning about the market, you would diversify your plans and strategy.
Later on, the next day, I told him about the market exchanges, DEX, CEX, where to store, how to keep your holdings safe, etc.
I described the term "Not your keys and Not your coins." That day, I suggest some Youtube videos to watch and learn properly before investing in the market.
After two days, I brought him 100$ worth of Bitcoin, suggested that he buy when the market is in dip or don't buy at once, and buy with calculating DCA. (he was pretty good in market analysing terms)
When the market fell, I gave him 50$ worth of Bitcoin as a gift for his new journey.
In our country, After the 2011 stock market crash, the market took a long time to recover the losses. Still, most of the mutual funds are at a loss. He would diversify his income by investing in the crypto market or could get a massive return in the bull market.
Maybe it's just a start, day by day, he could be more mature about the market, and I'll constantly give him the market updates.

It's funny to hear about "stock traders" these days, many people picture this glamorous and fast paced world where people are buying and selling frenetically all day. It's nothing like that, the sort of things you see in 90's movies do not have a reason to exist any more. High speed trading and all sorts of automatic programs make it almost impossible for a day trader. Stock trading doesn't work that way, professional outfits are looking at 3 month+ buy and sell trades, not trying to flip huge profits around in an hour. This stock trader you claim to have magically won over to the cause must have been deaf and blind for the last decade if he wasn't aware of the potential trading activity in this sector, so they couldn't have been very good at their job in the first place if they're only now getting into it.

[Falconer]

That's pretty impressive, converting a stock trader and to be able to go with bitcoin is a big feat because it's entirely different than stocks with its volatility but the good thing about it is that person likes the volatility of the market which is pretty awesome. I am not surprised that he likes the volatility though as they know that they can make money in the volatile market.

I believe that it was a good experience for the OP, but it wasn't the first. I'm sure most stock traders already know about bitcoin and its huge potential but they haven't decided if they can weigh the volatility and risk. When the previous stock market collapsed at the start of covid then quite a lot of stock traders turned to bitcoin which at the same time increased demand.

In fact, I also believe that some investors and traders today are people who know stocks first, whether they are traders or stock investors. So I don't think the OP's story is anything impressive, but he's just telling other people about investments that might benefit them if done the right way.

[Emitdama]

Nice to see your uncle got convinced into coming into our crypto abode  I wonder though, it's really very hard to actually explain crypto to people who heavily invest in traditional assets like stocks or mutual funds because in those, there are tangible businesses and news of markets can be decrypted easily to translate into what the outcome of a company's stock will be, which is very hard to predict in cryptocurrency (hence the volatility?). I would recommend that he keep investing in stocks and mutual funds as well and not do more than 50% into crypto, because the volatility if goes in the negative side can give someone nightmares enough to run away from trading

Because, those people have already invested in other types of investments and for them they already made a right choice and wont consider other things for now but maybe later they would change their mind for some reasons like what happen to the op's uncle where he sees a decline on his investment but after op explaining btc to his uncle that btc is independent and can still rise no matter what happens in the traditional market he then agrees with it.

It is also depend on the people. Not all people are open minded and they will think they are more better than you so they wont believe on what you are saying maybe not until you show a solid proof because that could make them convinced too.

[laredo7mm]

if i stock trader as my main job i will also trade other instrument as simple as that. 

my friend of mine trade on stock and dont believe in crypto but after i screenshoot proof of my gain now he move to crypto maybe half the portofolio he convert to crypto

Very soon he will get back to stock again when he saw a 30% fall in an hour. Why so many stock traders do not want to turn into crypto? Because of its market manipulation and high risk. Some people are happy with a 3% to 5% gain. If you really want to convince someone to invest in Bitcoin you need to explain to them about its long-term potential. Show them why it is the ultimate system of storing value.

[Ryu_Ar1]

Just show the results that you have earned in bitcoin then everything will be done and they will be interested.

Just because you are a successful trader don't mean that he will also replicate your success. That would be deceptive imo. There are lots of successful stock trader. Would you leave crypto and start trading stocks if they showed you their trade history? You wouldn't do that probably. That means you shouldn't ask the same thing from some one else.

It's true because things like that will obviously make it seem as if being a trader we will become successful when in reality there must be learning and experience there.
But on the other hand, by showing this I think it will give curiosity to learn about this.
On the other hand the OP should also explain from the start that this is not something instant get rich and should explain that this is full of risks.
just to increase confidence I think this will be quite successful because the majority of beginners including me. because I also started to be curious because of this before deciding to follow and learn how to trade and invest in bitcoin in 2020 ago

[Rengga Jati]

Really appreciate what you are doing, moreover convincing somebody about Bitcoin investment is not easy.
Fortunately, he is also a stock trader, so he probably has known about how a good management of risk and funds should be implemented. Later, he only needs to learn more about cryptocurrency, about how the market goes, and how the volatility is always happening and changing very significantly.
There are several differences between trading in the stock and crypto market. However, if he has had the basic of trading, I ma sure that he can understand more easily than if we are convincing common people without trader basic.
However, one to note, we should also describe about the weakness of the Bitcoin market so that he will not be surprised and angry with you if he is experiencing loss. There is also no guarantee that trading in crypto will be more promising and worthier than trading in stocks. He needs to try it based on awareness, not only desired thing massively.

[tabas]

He's a stock trader and investor and that's why he's fond and got used of the market's volatility there. So, it isn't surprising that he like the volatility and he's no longer a newbie.
The skills that he has in stocks can be applied in investing and trading in bitcoin. Congratulations to the both of you and for sure your uncle will be happy in the near future once he starts to see those big gains that he should have.

[Oilacris]

He's a stock trader and investor and that's why he's fond and got used of the market's volatility there. So, it isn't surprising that he like the volatility and he's no longer a newbie.
The skills that he has in stocks can be applied in investing and trading in bitcoin. Congratulations to the both of you and for sure your uncle will be happy in the near future once he starts to see those big gains that he should have.

The good thing when you are already experience is that you could easily take grasp into a market which might be different into your past experience on which you could really make out some adjustment

but in overall skills and experience then it would really be just the same from those technicals and fundamental application analysis since they do only differ about volatility level which as a stock trader

then you wouldnt really be having that big problem on dealing this market if you do tend to switch up but well always remind about the risk because the more volatility it is the more risky it is,
but people do mainly looking up for potential income or profits thats why they do really took some risk.