Trading and long-term investing

[RockBell]

This is a common mistake many people make they aren't actually suited to trading but they force themselves to do so. Trading is a complex activity that requires mastery of several aspects as it's short-term and the market fluctuates constantly.

And most people are not patient enough to get enough knowledge before they start trading, because without a sufficient amount of knowledge you won't go far and a lot of people have left this journey because they were not patient enough to learn, and this is something you need to take your time to learn and after you start practicing even if it is with demo account people need to come to a realization, that for you to Crack its complexity you need to take your home work seriously because they take trading for a joke instead of learning.

Trading isn't suitable for everyone and it's only suitable for those with a deep understanding. If you don't feel like you have much knowledge about trading don't push yourself too hard. Even if you're interested in the crypto world you can try long term investing as the risks are lower than trading. The most dangerous thing is when people assume trading doesn't require skill but instead assume it's all about luck.

The truth is it is for everyone but it is not suitable for everyone because were do you even start from when you don't have the right knowledge it takes years for you to master, and there people that aside the knowledge there personality won't seat well with trading because they are not even patient enough they just want to make money quickly which is not something that can happen easily when it comes to trading and with the risk that trading comes with it will be the best for them to just buy and hold they don't need to worry about anything, all they have to worry about is the price and when to buy and when to sell.

[GiftedMAN]

Trading is indeed riskier and mentally draining than being an investor. Trading requires continuous monitoring of market movements over a much shorter timeframe than investing. Roughly speaking, investors only need to understand fundamentals and technical analysis in a matter of weeks, months, or years, while traders may need to look at a much closer point, even 15 minutes. Profiting from trading is more difficult than imagined, and many people fail in this field.

The basic knowledge is the same for both traders and investors, but the practicalities are slightly different between the two. And yes, we need a very long time to learn. Never think you can quickly make big profits if you are still learning or trying to get lucky.

Acquiring knowledge about trading is very helpful and support people to achieve their purposes in trading, even though there are ups and downs in it but having the understanding helps them to be able to navigate through them.
And its important for people to accept that there is no shortcuts to success just as you have stated, that is why people should never stop learning both from their mistakes and from those are already into trading or are more experienced, which will help you grow and benefit from it.

[wmaurik]

It's important to be aware of whether trading is right for you. This way, you can avoid having too high expectations. As far as I know, some people who end up trading are simply looking for quick profits, without considering whether they can afford losses.
It's better to acknowledge whether you're suited to it. If you don't feel like you're suited to it and still want to trade, you'll learn more to improve your skills and at least bring them closer to a better level.

If someone has realized that trading isn't right for them, but is still reckless enough to continue trading without any consideration, then they're deliberately trying to lose money in the market, perhaps because they're motivated by the fear of others' profits without considering the risks they're facing. However, if they're more discerning, I don't think they'll jump into any trading activity if they still feel unsuitable for it. However, if someone insists on believing they're suited to trading when they're not, they're probably choosing to suppress their pride rather than admit their limitations to other traders.

[Iranus]

If you’re the type of investor who wants to avoid stress or any headaches with your investments, the best approach is to allocate your capital for the long term. You’ll definitely have peace of mind as long as you put it into Bitcoin; it’s a sure win in the end.

This is exactly what the majority of successful investors do in the crypto space. Even the millionaires and billionaires who accumulate Bitcoin follow this simple strategy until now.

There have been many success stories, and many people have become wealthy thank to crypto. However, if you look closely, you'll notice that most of them are long term investors. There are very few stories, or perhaps I have never even heard of anyone, who has become rich through crypto trading. Meanwhile, every time the market fluctuates or during a bear market, we hear thousands of stories about people losing money and going bankrupt because of trading. Especially future trading.

Long term investment is truly the best approach when it comes to cryptocurrency.

[WatChe]

Apart from the risk in trading, It is necessary for people to know that if they don't have the skill, they have to forget nothing about trading because it can be very risky for anyone that want to trade because they heard that if they can know how to trade, they can make huge money from the market, this can be a fallacy and not an investment everybody can involve themselves.

Everything takes time and those who are new to trading have to spend time along with energies in developing necessary trading skills. In start everyone will face loses and difficulties. The stories we read about successful traders are the one who withstand the initial loses and difficulties.  Don't think that I will start trading today and will become rich in few days. If you want to make money with trading then understand it first because that will help you in figuring out that whether you can do that or not.   

[ChocolateBitcoinK]

Apart from the risk in trading, It is necessary for people to know that if they don't have the skill, they have to forget nothing about trading because it can be very risky for anyone that want to trade because they heard that if they can know how to trade, they can make huge money from the market, this can be a fallacy and not an investment everybody can involve themselves.

Everything takes time and those who are new to trading have to spend time along with energies in developing necessary trading skills. In start everyone will face loses and difficulties. The stories we read about successful traders are the one who withstand the initial loses and difficulties.  Don't think that I will start trading today and will become rich in few days. If you want to make money with trading then understand it first because that will help you in figuring out that whether you can do that or not.   

In the beginning, most of them have the misconception that trading will bring them great success in a very short time, in the first stage they do not take trading very seriously, they think the whole thing is very simple and there is nothing complicated here, but when they gradually start facing difficult situations, and keep facing losses, then they face losses here, but they cannot improve themselves, and later they only get out of trading after facing losses. But a real trader will try to learn more about trading after facing this situation. For those who are new, it is almost inevitable to lose in the beginning, and these losses are actually part of learning. But those who understand this matter correctly and continue to make efforts to learn more, can be successful and skilled traders.

[Royal Cap]

I think many people fail to realize the difference between trading and investing. In trading, quick decision and emotional control are very important whereas in investing, patience and trust in time is needed. The problem occurs when people combine the two together. In my opinion, though, the real risk is not in the method, but in the selection of coins. If there is no good project, there is no point holding it on for the long term. So, trading or investing without research both eventually become like gambling.

[overland000]

Trading mostly loses to long term investing. Investing still implies re-evaluation and possible position rotation once/twice a year, it's not "invest ad forget". Lots of time and effort spent on trading but the same or worse outcome than investing with very little time spent. Same as with stocks.

[tvplus006]

...Investing still implies re-evaluation and possible position rotation once/twice a year, it's not "invest ad forget"...

An investment is considered to be holding an asset for a long time, from 3-5 years or more. What you are writing about is not classic investing, as you regularly perform rebalancing - this can be called active investing or long-term trading.

[alankasman]

In the beginning, most of them have the misconception that trading will bring them great success in a very short time, in the first stage they do not take trading very seriously, they think the whole thing is very simple and there is nothing complicated here, but when they gradually start facing difficult situations, and keep facing losses, then they face losses here, but they cannot improve themselves, and later they only get out of trading after facing losses. But a real trader will try to learn more about trading after facing this situation. For those who are new, it is almost inevitable to lose in the beginning, and these losses are actually part of learning. But those who understand this matter correctly and continue to make efforts to learn more, can be successful and skilled traders.

After experiencing a loss the important thing is to first understand how to deal with it so it doesn't happen again. We need to improve our trading knowledge so that we don't recur misunderstandings about dealing with losses even if the situation is too short. This is only to improve the quality of ourselves so that we have to really understand correctly in facing what happened and make it easier for us to know how to get out so that the defeat we received will not be a loss again. This is because our knowledge already exists after we study the difficult situation further so that misunderstandings will not happen again by making improvements after feeling the losses we have made.

[Dechris_08]

A lot of people confuse trading and investing. They’re two different things, and each one has a different approach.