Can small investors actually make good profit with bitcoin ?

[Silikiem]

I just want to say that even though I believe in Bitcoin and I think that $250k as a new ATH is inevitable, I still wouldn't advise borrowing money to invest it in BTC with the intention to pay off later, when a new ATH is reached. When you are in debt it makes your life miserable so it's better to avoid that. Invest in Bitcoin every penny you don't need right now, but don't invest the money that you need and never borrow "to invest more."

Exactly. No matter what the reason, borrowing is not the right choice, it shouldn’t even be on the list of options. This is why investors are always advised to invest within a set budget. As part of sound money management, always use discretionary funds (the money left over after your needs are met), their purpose is to minimize risk and provide a safety net in case things don’t go as expected. Besides, we don’t know exactly when Bitcoin will reach its ath again, so if you decide to make a purchase with borrowed funds, there’s a high likelihood you’ll get stuck.

Borrowing to invest in bitcoin isn’t totally written off as there are many investors who’ve invested with the money they borrowed and today their investment is still going well. The problem is not about borrowing to invest In bitcoin, the problem is borrowing  and also depending on the performance of your bitcoin investment to be able to pay back the debts. If anyone must borrow to invest In bitcoin then the person must ensure to have a stable and adequate plan of paying back the loan without getting to rely on the performance of his bitcoin investment to repay the debt.

[Rhow]

Borrowing to invest in bitcoin isn’t totally written off as there are many investors who’ve invested with the money they borrowed and today their investment is still going well. The problem is not about borrowing to invest In bitcoin, the problem is borrowing  and also depending on the performance of your bitcoin investment to be able to pay back the debts. If anyone must borrow to invest In bitcoin then the person must ensure to have a stable and adequate plan of paying back the loan without getting to rely on the performance of his bitcoin investment to repay the debt.

It may be true that some people have gotten good results by investing with loans. But just because you give a few successful examples, it does not make investing in Bitcoin with loans completely safe or logical. Even if someone's investment is in good shape now, the price may fall in the future and the loan installments will still have to be paid. You may not have a plan to not rely on Bitcoin to pay off the loan, which is certainly logical. But in my opinion, there is a problem with investing money with loans. Loans actually create a liability on our future income, so you could have bought more Bitcoin in the future. But if you take a loan in a hurry, you may not be able to do that later.

[Homemade-IQ]

Borrowing to invest in bitcoin isn’t totally written off as there are many investors who’ve invested with the money they borrowed and today their investment is still going well. The problem is not about borrowing to invest In bitcoin, the problem is borrowing  and also depending on the performance of your bitcoin investment to be able to pay back the debts. If anyone must borrow to invest In bitcoin then the person must ensure to have a stable and adequate plan of paying back the loan without getting to rely on the performance of his bitcoin investment to repay the debt.

You are largely right with what you are saying here, but I don't think borrowing to invest is good for everything, like business, because it's more better to borrow money to strengthen an already existing business, than borrowing to start it up, because their are chances that the business might fail, and you will start struggling to pay back the loan.

But in the case of Bitcoin, you are correct with your idea that you can borrow and invest, if you have other means of repaying back the loan, because trouble only start when you borrow and depend on your investment to repay it back as you have said already, so it depends on what you are borrowing for, that is why common sense is very important in what ever you do.

[PhilosopherKing]

Agreed. Wallets and addresses are quite the basics of Bitcoin. These are things anybody should know when buying Bitcoin. Wallets are just something you would read about and understand them immediatly. So I also don't agree that a person can keep his Bitcoin in an exchange while they learn and sort out which wallet they want to use. A wallet is not a technical part of Bitcoin, it's actually one of the first things you learn while learning about Bitcoin. There is nothing complex about it at all. How can a beginner know which exchange to trust, but not know which wallet to keep his coins? If a wallet is too complicated for a beginner, choosing an exchange will also be complicated.

The thing is that some person actually learn how to buy bitcoin from an exchange and that is why the exchange can be more familiar to them than the wallet, and that is why they now have experience of the exchange that is more secure.

Yes there is no much thing technical about wallet security. But you should know that there is also some non-technical side of wallet that when person don't understand properly can make person to loose their coin. For example how to transfer from an exchange to a secured wallet. Yes it may look simple to you since you are already familiar with the process of doing it.

butt for the new person that process can be difficult and so they will now want to be spending time learning it. This is because they know that any mistake that they make will be a big loss for them

Man I can't tell you how many times I watch Youtube video before I was able to learn how to transfer from an exchange to a wallet.

[sotelorene]

It may be true that some people have gotten good results by investing with loans. But just because you give a few successful examples, it does not make investing in Bitcoin with loans completely safe or logical. Even if someone's investment is in good shape now, the price may fall in the future and the loan installments will still have to be paid. You may not have a plan to not rely on Bitcoin to pay off the loan, which is certainly logical. But in my opinion, there is a problem with investing money with loans. Loans actually create a liability on our future income, so you could have bought more Bitcoin in the future. But if you take a loan in a hurry, you may not be able to do that later.

Taking loan to invest in Bitcoin without having an alternative plan of repaying the loans is what marvel's me I mean how can someone that calls himself an investor will went to collect loans to invest in Bitcoin because their friend is investing in Bitcoin, knowing he or she doesn't have a means to pay back, that is really crazy and most of the time these are the people who complains and say all kinds of nonsense about Bitcoin when they are actually the cause of their misfortune. If someone has a  means of repayment then it's cool.

[Curious T]

The thing is that some person actually learn how to buy bitcoin from an exchange and that is why the exchange can be more familiar to them than the wallet, and that is why they now have experience of the exchange that is more secure.

Yes there is no much thing technical about wallet security. But you should know that there is also some non-technical side of wallet that when person don't understand properly can make person to loose their coin. For example how to transfer from an exchange to a secured wallet. Yes it may look simple to you since you are already familiar with the process of doing it.

butt for the new person that process can be difficult and so they will now want to be spending time learning it. This is because they know that any mistake that they make will be a big loss for them

Man I can't tell you how many times I watch Youtube video before I was able to learn how to transfer from an exchange to a wallet.

People can buy their Bitcoin any way or from anywhere they want to buy, that is not my business. All I'm saying is, nobody should tell me learnig about a wallet and address is complicated. If you bring any article or video that is talking about the basics of bitcoin, the first things they will teach are an address, wallet and seed phrase. You don't know anything about Bitcoin if you don't know these.

I agree that transferring from an exchange to an address may be complicated for newbies, but the wallet itself is not complicated at all, except for somebody who is still new to phones or computers. If a person wants to keep their bitcoin in an exchange, that's their decision, but the excuse shouldn't be that the wallets are too complicated. if they want to learn, they will.

[SPIDERMAN008]

It may be true that some people have gotten good results by investing with loans. But just because you give a few successful examples, it does not make investing in Bitcoin with loans completely safe or logical. Even if someone's investment is in good shape now, the price may fall in the future and the loan installments will still have to be paid. You may not have a plan to not rely on Bitcoin to pay off the loan, which is certainly logical. But in my opinion, there is a problem with investing money with loans. Loans actually create a liability on our future income, so you could have bought more Bitcoin in the future. But if you take a loan in a hurry, you may not be able to do that later.

Taking loan to invest in Bitcoin without having an alternative plan of repaying the loans is what marvel's me I mean how can someone that calls himself an investor will went to collect loans to invest in Bitcoin because their friend is investing in Bitcoin, knowing he or she doesn't have a means to pay back, that is really crazy and most of the time these are the people who complains and say all kinds of nonsense about Bitcoin when they are actually the cause of their misfortune. If someone has a  means of repayment then it's cool.

If someone follows the DCA method and starts investing regularly, then I don't understand the need to buy bitcoin with  loan. Investing with a loan creates debt pressure and increases interest, which I personally don't find convenient.

And if there is an opportunity to invest in an asset where it is possible to get a return from that asset after a few days of investing with a loan and that return is more than the amount of loan repayment, then it is worth taking the risk of investing.

But after investing in an asset like Bitcoin, there may be no return from it for a long time. It is possible for the market to be down for several years. So, investing in a volatile asset like Bitcoin with  loan does not seem right to me. Doing DCA regularly with a small fund is a less risky and stress free method.

[Obulis]

I just want to say that even though I believe in Bitcoin and I think that $250k as a new ATH is inevitable, I still wouldn't advise borrowing money to invest it in BTC with the intention to pay off later, when a new ATH is reached. When you are in debt it makes your life miserable so it's better to avoid that. Invest in Bitcoin every penny you don't need right now, but don't invest the money that you need and never borrow "to invest more."

Exactly. No matter what the reason, borrowing is not the right choice, it shouldn’t even be on the list of options. This is why investors are always advised to invest within a set budget. As part of sound money management, always use discretionary funds (the money left over after your needs are met), their purpose is to minimize risk and provide a safety net in case things don’t go as expected. Besides, we don’t know exactly when Bitcoin will reach its ath again, so if you decide to make a purchase with borrowed funds, there’s a high likelihood you’ll get stuck.

Borrowing to invest in bitcoin isn’t totally written off as there are many investors who’ve invested with the money they borrowed and today their investment is still going well. The problem is not about borrowing to invest In bitcoin, the problem is borrowing  and also depending on the performance of your bitcoin investment to be able to pay back the debts. If anyone must borrow to invest In bitcoin then the person must ensure to have a stable and adequate plan of paying back the loan without getting to rely on the performance of his bitcoin investment to repay the debt.

Wow! This is a very simple but hard decision to take, "borrowing money to invest in Bitcoin", the simpler it seems the hard it is. Of course, people have borrowed money to invest in Bitcoin and the investment went well but borrowing money to invest in Bitcoin is riskier than investing in Bitcoin, this makes it double risk (borrowing to invest is risky and investing is risky). Even if you borrow money to invest in Bitcoin and do not depend on how the investment would go, such risk is still not less and not necessary and then when you borrow to invest in Bitcoin and depends on the performance of the investment, that is obviously not far from trading. Even when there's adequate repayment plan, borrowed funds are funds you can not afford to lose, so why borrowing to invest when you are supposed to have healthy investment from funds that you can afford to lose (discretionary funds).

[Rhow]

It may be true that some people have gotten good results by investing with loans. But just because you give a few successful examples, it does not make investing in Bitcoin with loans completely safe or logical. Even if someone's investment is in good shape now, the price may fall in the future and the loan installments will still have to be paid. You may not have a plan to not rely on Bitcoin to pay off the loan, which is certainly logical. But in my opinion, there is a problem with investing money with loans. Loans actually create a liability on our future income, so you could have bought more Bitcoin in the future. But if you take a loan in a hurry, you may not be able to do that later.

Taking loan to invest in Bitcoin without having an alternative plan of repaying the loans is what marvel's me I mean how can someone that calls himself an investor will went to collect loans to invest in Bitcoin because their friend is investing in Bitcoin, knowing he or she doesn't have a means to pay back, that is really crazy and most of the time these are the people who complains and say all kinds of nonsense about Bitcoin when they are actually the cause of their misfortune. If someone has a  means of repayment then it's cool.

Having an alternative loan repayment plan can reduce the risk of taking out a loan to some extent, but it cannot be called a completely good or safe investment. Because today, you may have enough reason to repay the loan in the future. But the situation is not always the same. We know that the price of Bitcoin can remain low for a long time. If an investor uses borrowed money, he will have to manage the loan schedule along with the market conditions. This increases the stress and creates the possibility of selling Bitcoin when necessary.

It is clear that borrowed money is not discretionary income. The money that is left after meeting one's necessary expenses and other liabilities is discretionary income or suitable for investment. When someone invests with a loan, a part of his future income is already created as a liability.

[ndutndut]

It's not a bad idea to expect profit in your Bitcoin investment, but it becomes a problem to you when you put it at the center of your investment, because the quest for profit may compel you to trade or sell off your Bitcoin holdings for minimal gains. In addition to that, it's going to keep your hopes too high to the point that if your Bitcoin investment is not going as expected, or it's declining rapidly you may sell in panic or your hopes may be shattered, because profit is not guaranteed in Bitcoin investment, so seeing it as a store of value is the best.

Do my thoughts have to match yours? I don’t think so. In this regard, we’re too quick to judge something that isn’t actually the case, considering that every investor has their own strategy and not all of them are willing to easily change their strategy to seek profits—as you mentioned—by selling or trading.
Trading isn’t always a bad thing either if the goal is to buy back Bitcoin in a different quantity at a lower price—and there’s no denying that some people do exactly that at certain times.

This is why many people have to do their own research or have their own strategies in investing and trading because everyone has different finances and different goals. 

I actually see that neither of your statements is wrong because you both have your own strategies. The truth is, everyone basically expects profits from investing or trading, and that's very normal. Some people make profits from trading so they can have capital for Bitcoin investment, meaning they take advantage of opportunities to keep earning profits, but there are also those who just focus on buying Bitcoin and holding it long-term without watching the market. So indeed, everyone has a different way of investing in Bitcoin, but the mindset is still the same you have to see Bitcoin as a long-term store of value.

[Stive009]

It may be true that some people have gotten good results by investing with loans. But just because you give a few successful examples, it does not make investing in Bitcoin with loans completely safe or logical. Even if someone's investment is in good shape now, the price may fall in the future and the loan installments will still have to be paid. You may not have a plan to not rely on Bitcoin to pay off the loan, which is certainly logical. But in my opinion, there is a problem with investing money with loans. Loans actually create a liability on our future income, so you could have bought more Bitcoin in the future. But if you take a loan in a hurry, you may not be able to do that later.

Taking loan to invest in Bitcoin without having an alternative plan of repaying the loans is what marvel's me I mean how can someone that calls himself an investor will went to collect loans to invest in Bitcoin because their friend is investing in Bitcoin, knowing he or she doesn't have a means to pay back, that is really crazy and most of the time these are the people who complains and say all kinds of nonsense about Bitcoin when they are actually the cause of their misfortune. If someone has a  means of repayment then it's cool.

Having an alternative loan repayment plan can reduce the risk of taking out a loan to some extent, but it cannot be called a completely good or safe investment. Because today, you may have enough reason to repay the loan in the future. But the situation is not always the same. We know that the price of Bitcoin can remain low for a long time. If an investor uses borrowed money, he will have to manage the loan schedule along with the market conditions. This increases the stress and creates the possibility of selling Bitcoin when necessary.

It is clear that borrowed money is not discretionary income. The money that is left after meeting one's necessary expenses and other liabilities is discretionary income or suitable for investment. When someone invests with a loan, a part of his future income is already created as a liability.

Having a good plan to repay the loan may seem a bit less risky but I would not consider buying Bitcoin by borrowing as a normal investment. Because the responsibility to repay the loan remains, but we do not know when the price of Bitcoin will rise or how long it will remain low. On the one hand you have to pay the loan installments, and on the other hand if the price of Bitcoin decreases you will have to handle that pressure. So, additional pressure may be created on the investment.

For me accumulating Bitcoin with discretionary income is much more comfortable. That is gradually building Bitcoin from the money you have after meeting basic expenses and other necessary expenses. In this, there is no need to invest beyond your means and there is no separate pressure from the loan.

And there is no guarantee that the income with which I assume I will repay the loan in the future will always come as planned. If there is a change in job or business there may be a problem with repayment. If the price of Bitcoin is also low the situation may become more difficult and eventually it may be necessary to sell Bitcoin.

So I would say it is more reasonable to accumulate Bitcoin first depending on your financial situation. Both Bitcoin holdings and backup funds can be built together although they don't have to grow at the same pace.

Of course there may be situations where someone's finances are strong enough to pay off the loan without depending on whether the price of Bitcoin increases or not. In that case, the issue is different. But in general starting with basic accumulation or DCA and staying within your discretionary income is a more natural approach for me.

[Princess Leah]

It is possible for those that don't have a huge capital to make profit with Bitcoin, I decided to be very selective with my choice of words because I didn't want to use the phrase "small investors". it is actually wrong for investors to think of themselves as small investors even though they are not starting out with a huge capital. Having such a mindset would discourage you and you might give up along the line.

I respect your opinion but then if someone isn't investing heavily into Bitcoin the fact still remains that the person is putting little into the investment which make such person a small investor, or haven't you heard of the crypto term whales and shrimps, whales are those who invest heavily, i mean those holding huge amount of money while shrimps invest little.

 However, a shrimp can end up being a whale in the future if the person hold longer while maintaining consistently but at that point when what the person is putting into the portfolio is not very big such person is a shrimp or small investor, it might sound annoying or belittling based on how you see it but no, a small investor is a small investor.

[obuoma]

This is why many people have to do their own research or have their own strategies in investing and trading because everyone has different finances and different goals. 

Investing is totally different from trading, so putting them side-by-side might make some people think that they are the same. Since the post is about small investors, it is therefore better to keep trading away from the discussion because bringing it in might make some people develop the wrong notion of multiplying their small income through trading before investing to hold. This approach will ruin most of them because you will agree with me that trading is not an easy thing especially for someone desperate to be right or person with huge expectations. If such investor put the money in Bitcoin and hold for many years, such small income can grow into something big and that is the better decision to trading.

[Rockson1]

It is possible for those that don't have a huge capital to make profit with Bitcoin, I decided to be very selective with my choice of words because I didn't want to use the phrase "small investors". it is actually wrong for investors to think of themselves as small investors even though they are not starting out with a huge capital. Having such a mindset would discourage you and you might give up along the line.

Many investors that are big as of today started very little, they did not start as whales, I do not think that there is any harm in starting small, Bitcoin more about showing interest, if an investor can start with 1$ for instance, such investor can still invest more than that, since he has shown interest and also working towards the course.
No one should look down on his or her little beginning, because that little beginning might grow over time, as long as the individuals in question are very determined and patient to build a much sizable Bitcoin portfolio, it takes being consistent to achieve, there is a saying which we know, " a journey of a thousand mile starts from a day or a mile, it means we must start from somewhere to get to our target.

[Proty]

It is possible for those that don't have a huge capital to make profit with Bitcoin, I decided to be very selective with my choice of words because I didn't want to use the phrase "small investors". it is actually wrong for investors to think of themselves as small investors even though they are not starting out with a huge capital. Having such a mindset would discourage you and you might give up along the line.

Many investors that are big as of today started very little, they did not start as whales, I do not think that there is any harm in starting small, Bitcoin more about showing interest, if an investor can start with 1$ for instance, such investor can still invest more than that, since he has shown interest and also working towards the course.
No one should look down on his or her little beginning, because that little beginning might grow over time, as long as the individuals in question are very determined and patient to build a much sizable Bitcoin portfolio, it takes being consistent to achieve, there is a saying which we know, " a journey of a thousand mile starts from a day or a mile, it means we must start from somewhere to get to our target.

It is true, majority of the big investors we are seeing today most of them started with a smaller amount.The most important thing is to start first regardless of how small the amount maybe. By accumulating a smaller amount of bitcoin over time, the person can be able to position or accumulate a reasonable amount of bitcoin. As long as they remain consistent and focus , they can be able to build a good bitcoin holdings.Therefore it will be a bad idea for anyone not to start investing in bitcoin because they don't want to start small when most of the big investors started small and was able to position there bitcoin holdings by being patient and consistent.

[Itz-prisigold]

It is possible for those that don't have a huge capital to make profit with Bitcoin, I decided to be very selective with my choice of words because I didn't want to use the phrase "small investors". it is actually wrong for investors to think of themselves as small investors even though they are not starting out with a huge capital. Having such a mindset would discourage you and you might give up along the line.

For me I don't think starting your investment with a small amount is actually a problem, the most important thing is whether the amount you are using to invest actually suits your financial situation,  and whether you will be able to continue your accumulation journey. Another important thing, do not approach Bitcoin investment will a profit mindset, because when your mindset is fix on profit any short term price movement will put unnecessary pressure in you, and you might end up making emotional decision.

If you want to start investing in Bitcoin, you can actually start with a small amount today because that's what your discretionary income allows for now,  then maybe with time when your financial situation improves then your ability to accumulate can change too. So don't allow yourself to be discouraged just because of your starting point. Long term accumulation is a gradual process, so your small beginning can eventually become something very meaningful.

[Olatundespo]

There are definitely ways to make money from Bitcoin as a small investor. To make money, avoid focusing on making money in the beginning. This is the primary condition. Stay and attention to holding Bitcoin and accumulate Bitcoin every week with the amount of financial capacity you have. This is the second condition. Considering your personal financial situation, set a target to accumulate Bitcoin consistently such as 4 years or a cycle or 10 years. This is the third condition.

Small investors can definitely make money from Bitcoin if they can meet these conditions. To meet the conditions you will need to be disciplined in long term investment and logistical support will be needed such as creating an emergency fund and increasing your source of income to actually increase your financial capacity.

[icebar]

Trading isn’t always a bad thing either if the goal is to buy back Bitcoin in a different quantity at a lower price—and there’s no denying that some people do exactly that at certain times.

Though it sounds good to sell Bitcoin and buy it back later at a lower price, no one knows whether the price will actually decrease. Since the price of Bitcoin is uncertain, its price will not fluctuate according to your expectations. Many people make the mistake of selling in the hope of buying it at a lower price. Later, the price does not decrease, but on the contrary, it increases and they are forced to buy it at a higher price. In this, instead of increasing their Bitcoin, it decreases.

The basic concept of Bitcoin investment and trading is different mindsets. Investment means patience, regular savings, acting according to your ability and considering the necessary expenses and making decisions after considering them. In trading, you usually have to make quick decisions, which is why there is a high chance of making mistakes. If you make a mistake, the losses are also fast, and the mental stress is also very high. So, I would personally suggest that the first goal for a small investor should be to save Bitcoin without pressure by keeping all your necessary expenses aside and using discretionary income and not trying to make capital by trading.

[Betwrong]

~

It's not advisable and has it's own risk but to people who have a plans on settling it and avoiding complications it's called a leverage, when i mean plans  i meant those who can comfortably settle it without affecting the investment. Business owners do it alot to support their business and investors adopt it too.
 But i don't support it, instead of going into debt for an investment that's for the future, it's better to buy gradually with what's available, i don't support things that can complicate an investment that's i think it's not cool.

Yeah, I mean, you are right. No need to go in debt and turn a great thing like Bitcoin into something bad that made you to go in debt. Answering the OP's question, small investors can profit from investing in Bitcoin, but it doesn't mean they should risk everything they have to profit more, if it seems to them that what they can invest is not enough for a "good" profit.

[Chilwell]

Borrowing to invest in bitcoin isn’t totally written off as there are many investors who’ve invested with the money they borrowed and today their investment is still going well. The problem is not about borrowing to invest In bitcoin, the problem is borrowing  and also depending on the performance of your bitcoin investment to be able to pay back the debts. If anyone must borrow to invest In bitcoin then the person must ensure to have a stable and adequate plan of paying back the loan without getting to rely on the performance of his bitcoin investment to repay the debt.

When it comes to any investment borrowing is not an option for everybody, but those that are in the game for a very long time can borrow to expand their investment. A lot of people usually fall for all this kind of issues, because they don't want to be patient, I quite agree that everyone want to make money, but there are some certain things which are required from us before we start make money, the biggest part of it is patient, because most people are backing off just because they could not wait a little bit longer. At least we should start small with the little money we have at hand and gradually we will continue to build to the level we wanted.