Trading we cause you more damage than investing.

[beerlover]

This post is indeed an eye-opener. Many people don't know that trading and investing demand different mindsets, goals, and priorities. Even before I joined this forum, I used to use both trading and investing interchangeably. I thought whether you hodl or trade, it’s the same thing and that one could gain profits within a short period from either of the two options.

This must also be the reason some newbie investors buy Bitcoin and expect gains within a very short time. Others claim to trade and give their trades the same priorities they give their investments, and the worst are those who trade or invest in the wrong coins. You can't really blame those who have been misled by their own false knowledge of crypto because crypto enthusiasts all over social media made them believe all crypto coins are the same and that becoming rich is very easy with crypto.

Wish that they do, because while it could be eye opening for some people, veterans of the situation already know how obvious that is. Trading and long term investing can never be the same, and the idea they are looking at right now isn't the same at all, we should be considering it very different and has to be the most important part on the long run as well.

Obviously that can't be that quick, we could obviously have a lot better results on the long run for both, depends on how good we are , but we need to realize that we need to get better at them. In the end, things aren't that simple, so we just need to focus on the best version of what we can become, and forget about the losses we make along the way until we are great.

[ZAINmalik75]

Well Look, when it comes to profitability, investing isn't necessarily more profitable than trading. However, I agree that investments are easier to carry out than trading because trading is a constant process, and you need to learn and adapt every single day and stay up to date with the market if you want to stay profitable but in investments, the initial analysis and research are probably enough.

That being said, whether someone chooses trading or investing depends on their level of knowledge and also financial goals that they want to achieve. If someone wants to get a specific amount after a certain time, they would probably go with investments because they know they can wait. Someone who needs constant profits even if they are small in size, they would prefer trading because it is only possible through trading.
In general, both have their pros and cons and both can be good or bad based on you carry your actions out.

[Ndabagi01]

Of course investing in Bitcoin is better than Trading even though most guys proclaim that trading is profitable but yet it can not be compared with investing and HODLing for a long period of time. Trading is seen as gambling in the sense that so much stress is attached and emotion is attached in a way that when ther is a lose it causes panic. So in whatever way we think of, Bitcoin investment is far better than Trading in my own opinion.

When you chose your niche and what works for you best, you don’t need to disapprove of the other ones as not been a good option to rely on in the bitcoin space. All methods are good ones and when you have one that works for you best, then the other won’t be a reliable option to go for. Hodling is less risky compared to trading but that doesn’t mean the former is better and you would be more successful in it than the later. Trading is highly risky and can give you more money within a short time as to what Hodling in cryptocurrency is which you have to wait for a longer period of time to get the profit needed after your initial investment. I see it as high risk high reward and low risk low reward type.

[Pi$$]

Of course investing in Bitcoin is better than Trading even though most guys proclaim that trading is profitable but yet it can not be compared with investing and HODLing for a long period of time. Trading is seen as gambling in the sense that so much stress is attached and emotion is attached in a way that when ther is a lose it causes panic. So in whatever way we think of, Bitcoin investment is far better than Trading in my own opinion.

You are absolutely right that's the real truth about it, because trading is just all about taking risks. But still people don't want to hear, they always like quick money without realizing the risk involved in them. Of course Bitcoin investment is far better than trading because once you invest in Bitcoin and hold for a long period of time it most surely yield good profits.

When it comes to growing wealth Bitcoin investment is far better than trading, the process of trading is risky i feel worse to see people who trade Bitcoin, trading should be focused on altcoins not Bitcoin because it's a waste of resources that should have been combined and saved up until the accumulated Bitcoin are large enough. Trading is risky, i can't advise anyone without proper knowledge of trading to do so, it's risky even compared with the disadvantages of gambling, it sucks whereby those who are involved mostly get their capital dried up even before making profits.

[GideonGono]

Trading could also make you earn more than just investing or holding your coin.
Traders use the market movement in order to gain more than what they already invested, taking advantage of a quick buy and sell whenever the market moves up or down, but this could also lead to a loss for them if they make a mistake on their timing and buy/sell order settings.

[MarjorieZimmermanGinger]

Trading could also make you earn more than just investing or holding your coin.
Traders use the market movement in order to gain more than what they already invested, taking advantage of a quick buy and sell whenever the market moves up or down, but this could also lead to a loss for them if they make a mistake on their timing and buy/sell order settings.

Trading has several types and it really depends on what type of trading we choose in maximizing opportunities and maybe the type of trading that people usually do is much more difficult because the risk of losing is much greater when they do not have the right knowledge. If you expect big profits in trading, then we must master market movements so that the moment to buy/sell can be maximized, but it is not as easy as it is said because trading will play a much bigger psychology compared to investing.

The type of trading you mean is more like spot trading because even though the price goes down we still have control over the ownership of the coins held, but it is different when we are involved in futures trading.

[Peanutswar]

This is the reason why theres must be a risk management on that most of the traders and investors need to know and how to manage. These two have the same risk but before you make an investment you know to yourself that you analyze already what are your plans like how to entry and execute the trader and exit to have profit. In trading you must need to know what are the current market stand if its ideal to trade, to wait, or just skip the token or institution. In investment even though its a long term you must need to have a plan until when you will hold your asset and flip over and find another source. This kind of mindset might help you through our your journey.

[CryptopreneurBrainboss]

It is a myth or misconception that investing is less risky and more profitable than trading. The risk and the profits you make from either of both will depend on the knowledge you have of it. Someone with poor investment knowledge will make poor investment decisions that will end up increasing the risk they take and not maximizing the profits they will make from the high risk.

Isn't not a myth but the reality of things, investors have the highest rate of success than traders. The richest men in the world are investors and not traders, this should give you some Idea on how this statement isn't a myth.

Right here, he isn't talking about those without the right knowledge because obviously, anyone without the right knowledge won't make either a better trader or an investor but when there are equal amounts of knowledge, an investor is still going to come out on top.

Trading looks like the best option but don't let looks deceive you. Investing has less risk than trading when you have got the right information/knowledge and guidance. A trader is just one mistake/musculation away from losing. A trader is always going to lose at some point while trading but an investor can be guaranteed of not losing especially when the investment is in Bitcoin.

[peter0425]

For maximum profit, why not both?

Investing does not take much of your time especially if you are planning on investing in the long term. Trading on the other hand requires much focus. If you do both, you will get quick profits from trading but will also get stable profit from investing.

I do not think trading is bad but it is risky so trade at your own risk.

[Gaza13]

Trading could also make you earn more than just investing or holding your coin.
Traders use the market movement in order to gain more than what they already invested, taking advantage of a quick buy and sell whenever the market moves up or down, but this could also lead to a loss for them if they make a mistake on their timing and buy/sell order settings.

Traders can indeed make money much faster than ordinary investments which require a long process if they want to get the profits we want, but we need to remember that becoming a professional trader is not easy and don't ever look at what they make in trading, but look at how they achieve all this, it takes time and a long learning process. You will never see how they experience financial failure, all you see is their success.

Indeed, not many people want to become a profession like this, as we know, this profession carries far greater risks than ordinary investing, many people change direction to ordinary investing, perhaps because the person experienced quite a big loss there and that haunts them every time they want to try again.

[red4slash]

Even though I don't have any problems with traders but at the end of the day when talking about trading and investing then everything is equally risky, it's just that if we talk about the comparison between trading and investing then in the end investing will obviously be much better.

It does not mean that trading is bad because there are still a lot of traders for now it's just that the resulting risk is clearly much greater when compared to trading so in the end this should be a reference for those beginners because at least they have to get to know risk management first.

So in this case instead of trying something that cannot be mastered especially with a much greater risk, in the end it will be more worth it if we look for other alternatives with a smaller risk and in this case investment is clearly much more able to be maximized properly when compared to trading.

[Muba20]

In general, the purpose of trading and investing is the same, that is, to make profit. However, there is a difference between the two. In general, trading is buying a stock or a security for a short period of time, it can be 1 hour, 1 day or 7 days. The purpose of trading is to make profit from it in a short period of time. The amount of profit can be 2-10 percent or less or more. The easier the trading, the higher the risk. A trader has to know a lot about various things all the time. Otherwise, he will not get a very good return from trading.

By investing, we mean buying a stock or assets over a long period of time. Generally, investments are made with the hope of high profits in the long term. All investors who are willing to invest are encouraged to invest by doing a fundamental analysis of the stock or cryptocurrency or company before investing. In the case of cryptocurrency investment, most of them are thinking of holding Bitcoin. Where there is a great potential to earn long-term profits by investing.

[dezoel]

It depends on your risk appetite because many people have been successful in trading and investing. A mix of both would be the best approach, IMO. Sometimes, it could be advantageous to look at the shorter term, while comparing the investing part to the long term might not be suitable. It's a mix for me, IMO.

Not just risk appetite but other factors are in play here too like knowledge for example. I think there is also capital because I already saw poor people that has a high risk appetite but their capital can't support it. If all are set, I think trading alone can make it more successful and if we include investing on the side it can lessen our risk appetite because investing has a less of it only.

However if we don't mind this risk appetite thing, both can always be done together. There are advantages of doing it. Obviously we can earn for the short term in trading but maybe smaller amounts only and then we can still earn bigger amounts in investing later on.

[slapper]

Trading is reactive, investing is proactive. That’s the core difference. Trading pushes you to react every second to market chaos. You become a slave to screens, graphs, and indicators; the moment you hesitate, you lose. People burn out because it's a psychological warzone, not because trading is "bad"

Investing is like to be long term player. You give long-term value, accumulation, and foundations top priority. But don’t let the “less risky” label fool you. Investing takes a different kind of discipline. You have to be patient, not only with the market; you are banking on the future. Early quitters stop investing because they become bored, start to panic, or pursue rapid gains elsewhere. The ones who win? They remain committed and hold through the cycles

You have explained it so perfectly, it is exactly how you explained it, and that is going to make a lot of people understand the difference without a doubt. I know that it is not that easy to make the difference because too many people don't know the difference this easily.

But the reality is that we are going to see this have a lot of difficult period when you want to be reactive. That's the trick, when trading, people end up with wrong reactions sometimes, to movements in the market, to news, to anything really, and they may end up losing. With investing, you do literally nothing, once you bought it, that's enough and you stop and do nothing else. The difference there is the reason why many make more money by investing.

Man, that's the kind of reply that drives me to high-five my screen. Appreciate it! You get it, you really get it. Trading screws with your head as it is all reaction, all impulse, all split-second judgments that may destroy everything. Investing, meantime, is only purchase, hold, breathe. Simple, but not easy. And yeah, the trick is that most people think they can outsmart the market in real-time, but the market loves humbling people. Investing allows you let time do the tough work and back off. The less you interfere, the better your chances. Crazy how the largest flex in this game is just "nothing"

[Zadicar]

This is the reason why theres must be a risk management on that most of the traders and investors need to know and how to manage. These two have the same risk but before you make an investment you know to yourself that you analyze already what are your plans like how to entry and execute the trader and exit to have profit. In trading you must need to know what are the current market stand if its ideal to trade, to wait, or just skip the token or institution. In investment even though its a long term you must need to have a plan until when you will hold your asset and flip over and find another source. This kind of mindset might help you through our your journey.

Everything matters about risks management on which this will really be always recommended whether you do deal up with trading or investing on which these things are really that involved with risks and its inevitable. The level of risks will really be basing up on how well you do make out such engagement on which we know that trading is a skill that you wont be able to obtain out in a short period of time and same goes with investing on which there's a risks on losing money too but these two isnt something that impossible that you can be able to succeed. It do all matters on how well you do handle yourself on dealing up with these things accordingly. Neither trading or investing will really be that bringing out that damage because when we do speak about on the money spent or talking about capital then it could be just that the same. They might be differ on how they've been that need to be dealing on with but it all do shared up with the same goal.

[zeuner]

Most of the time, you will need a marketplace to trade or invest, which will usually charge fees for doing so. More frequent might lead to more fees, which is an incentive to avoid unnecessary buying and selling. Above that, some jurisdictions make it more attractive tax-wise to hold for a longer time.

But I don't understand why you imply (if I understand correctly) a harmful effect from short periods alone. Profit comes from selling higher than having bought. How is this more or less risky if the price difference happens over a shorter or a longer time interval?

[landheer]

Everything matters about risks management on which this will really be always recommended whether you do deal up with trading or investing on which these things are really that involved with risks and its inevitable. The level of risks will really be basing up on how well you do make out such engagement on which we know that trading is a skill that you wont be able to obtain out in a short period of time and same goes with investing on which there's a risks on losing money too but these two isnt something that impossible that you can be able to succeed. It do all matters on how well you do handle yourself on dealing up with these things accordingly. Neither trading or investing will really be that bringing out that damage because when we do speak about on the money spent or talking about capital then it could be just that the same. They might be differ on how they've been that need to be dealing on with but it all do shared up with the same goal.

It is clear that the goal is the same to earn income, whether trading or investing, there is always a risk, but again by looking at the risk side that exists, it will be a thought to always be considered before entering it, by considering the smaller risk that we will take between trading or investing, all there are choices that must be taken according to the abilities we have.

[Kemarit]

Everything matters about risks management on which this will really be always recommended whether you do deal up with trading or investing on which these things are really that involved with risks and its inevitable. The level of risks will really be basing up on how well you do make out such engagement on which we know that trading is a skill that you wont be able to obtain out in a short period of time and same goes with investing on which there's a risks on losing money too but these two isnt something that impossible that you can be able to succeed. It do all matters on how well you do handle yourself on dealing up with these things accordingly. Neither trading or investing will really be that bringing out that damage because when we do speak about on the money spent or talking about capital then it could be just that the same. They might be differ on how they've been that need to be dealing on with but it all do shared up with the same goal.

It is clear that the goal is the same to earn income, whether trading or investing, there is always a risk, but again by looking at the risk side that exists, it will be a thought to always be considered before entering it, by considering the smaller risk that we will take between trading or investing, all there are choices that must be taken according to the abilities we have.

Of course there are risks and pros/cons of trading vs investing. For investing, it's easy as just like buying and doing DCA for the rest of the cycle, the only catch is that you need to be mentally strong and willing to grind it out hard every week or whatever your buying period using the DCA method. So there could be some who will be consistent in the next 6 months then falter along the way because of so many reasons.

For trading, needs more time in your end, as you look and study the patterns and then jump it when you know that you are going to profit and then sell later. But still, most of us doesn't have the time and skills. Although there are bots that might help us, it is still not a guarantee that you will make profits because you also need technical analysis before you can set the parameters correct.

[@nn@_pen9]

Even though I don't have any problems with traders but at the end of the day when talking about trading and investing then everything is equally risky, it's just that if we talk about the comparison between trading and investing then in the end investing will obviously be much better.

It does not mean that trading is bad because there are still a lot of traders for now it's just that the resulting risk is clearly much greater when compared to trading so in the end this should be a reference for those beginners because at least they have to get to know risk management first.

So in this case instead of trying something that cannot be mastered especially with a much greater risk, in the end it will be more worth it if we look for other alternatives with a smaller risk and in this case investment is clearly much more able to be maximized properly when compared to trading.

Of course we all agree that trading means the risk we face of losing money is much greater than ordinary investments. Trading often involves rapid and sharp price fluctuations, which can lead to large losses in a short period of time. And on the contrary, regular or long-term investments tend to provide much better results in terms of protecting your assets or money.

The difference in trading is certainly clear that trading requires a deep understanding of technical analysis and market behavior, this can be a challenge for beginners. When investing, we focus more on fundamental analysis of the coins we want to invest in.

Indeed, achieving something as a trader is not easy and most of us give up because the desired results do not materialize and experience significant losses and for most people or beginners, long-term investments may be more suitable because of the lower risk, less time required and the potential for stable growth.

[stomachgrowls]

Everything matters about risks management on which this will really be always recommended whether you do deal up with trading or investing on which these things are really that involved with risks and its inevitable. The level of risks will really be basing up on how well you do make out such engagement on which we know that trading is a skill that you wont be able to obtain out in a short period of time and same goes with investing on which there's a risks on losing money too but these two isnt something that impossible that you can be able to succeed. It do all matters on how well you do handle yourself on dealing up with these things accordingly. Neither trading or investing will really be that bringing out that damage because when we do speak about on the money spent or talking about capital then it could be just that the same. They might be differ on how they've been that need to be dealing on with but it all do shared up with the same goal.

It is clear that the goal is the same to earn income, whether trading or investing, there is always a risk, but again by looking at the risk side that exists, it will be a thought to always be considered before entering it, by considering the smaller risk that we will take between trading or investing, all there are choices that must be taken according to the abilities we have.

Of course there are risks and pros/cons of trading vs investing. For investing, it's easy as just like buying and doing DCA for the rest of the cycle, the only catch is that you need to be mentally strong and willing to grind it out hard every week or whatever your buying period using the DCA method. So there could be some who will be consistent in the next 6 months then falter along the way because of so many reasons.

For trading, needs more time in your end, as you look and study the patterns and then jump it when you know that you are going to profit and then sell later. But still, most of us doesn't have the time and skills. Although there are bots that might help us, it is still not a guarantee that you will make profits because you also need technical analysis before you can set the parameters correct.

On the moment that you do decide whether you do make out some engagement in between two then its impossible that you cant be able to determine about the risks involved in between. Some people do even think that trading is investing because holding can be considered investing on which you can hold up and sell out later on. Just like on what everyone is saying that both things could really be that having the risks on losing money. Being consistent will really be that challenging and not all would really be able to achieve out such success.

When we do speak about damage then it could really be that financially destructive and thats why you would be needing out to set up some plans and analysis on which it will really be basing up on what you are that currently dealing up with. When you are really that trying out to become that being too positive then it will be bringing out that kind of a expectation on which we know that it isnt really that need up to have such behavior.