Being a good trader ≠ being wealthy

[Zoomic]

One can be a good trader, make decent income and still not be wealthy. But for a trader who's consistently profitable in their trade, at what point do we consider the person successful or wealthy?

What's the yardstick to determine "wealthy" in this context, an answer to that will help us know how to appropriately respond.

There are traders who make steady return of up to $10k but doesn't look wealthy, that doesn't mean they're bad traders.

Probably, we're confusing trading performance with the lifestyle that comes after accumulating wealth, hence the comparison.

[Webutxo]

The problem about trading myth on social media that you can sit in the comfort of your house and be making hundreds and thousands of dollars everyday is very unrealistic, newbies who believe these lies ends up blowing their accounts in the process of high expectations. Trading is hard and not for everybody, if you understand this simple truth you can avoid being misled by influencers on social media who are paid to influence the public to enter into trading. If a new trader is mentored by experienced traders I'm sure that they won't start trading with more than the amount that they can afford to lose.

People don't know that social media is not real. The real traders that are making figures from trading don't even have time to be making influence on the timeline impressing people and want them to come for signals and pay for private groups. The real traders focus on the chart and tradingview, that's where they have business, if it's not a place to teach people willingly and no lies, you will never see them online looking for validation from people on the social media.

There is something is do tell people, a trader that is making at least 10% on a trade on average after taking out the loss is a good trader. I mean that's 300% a month of you are not a future trader and if you use leverage like 5x of your position, you should be swimming in money that you wouldn't want to work for anyone or give your time to anyone giving private signals.

[Donk1]

Well all I can say is that everyone has their opinions. Sometimes most people just say the word to be a successful trader, you need a good strategy, risk management, a good source of income, and the rest. That doesn't technically mean being a trader is easy it's more like a fantasy of hope to push you to do what needs to be done. Like they always say there isn't any fun in crypto, and to my understanding, everyone needs something that will drive them like a goal. And if your goal is to be a good trader you first of all have to be convinced and entitled to do it. You have to be willing and most times the best push is saying stuff like,if you want to become a successful trader, these are what you must do. Yeah, even outside this forum I still see words like that a lot in most articles, and I think it's not about what they say it's about what they meant. Like a friend of mine said success as a trader doesn't have to mean you will own a lot of luxury. No it means you understand the market and your losses are well below your profit, which means your profits are higher. That's true success because I believe trading is a step and there is no shortcuts about it. That's all......

[Sobz]

Trading is profitable but it doesn't make people to be wealthy, it is possible trading might have given ao many people good profit bit mot wealth.  Wealth people who are traders, it is not with trading they were able to become wealthy. The mindset of trading making people to be rich as made many people to lose more . Some persons need to understand tradig can be another form of hustling for good income but not what can make one to become healthy. Being a good trader doesn't even make one a wealthy trader. Trading doesn't make people to be rich  but for only financial gains.

[nelson4lov]

I understand why people will think that way. If someone is regarded as a good trader, everyone assumes that they are successful by default. Being successful in trading simply means that over the long run, the trader is expected to move from Trenches > Comfortable > Rich > Wealthy . in most cases, I have found that to be true. It is a gradual process but its inevitable with the caveat that the trader is actually good.

 If its not like that, then that trader is a bad one.

[Popkon6]

I’m subscribed to the blog of a really great trader, and he really managed to make a lot of money thanks to his brains, and at the same time he never boasted about Lambo and yachts - all he bought was freedom. Both financial and geographical. And he doesn’t require any paid subscriptions; he just does what he likes, but he hasn’t slowed down and remains just as effective and great a trader - someone who constantly keeps an eye on the news.
And he is an example to me of a person who is living their best life.

Look, some people have a lot of skills but despite having skills, they cannot manage themselves properly. Trading is very difficult, even those who are very experienced in it face risks at some point, so becoming more experienced in trading does not mean becoming rich. Hey, there are traders who take excessive risks and trade and they face losses, just because they face losses does not mean they are inexperienced. I have seen the history of an experienced trader. He was doing well for a few years, when he started trading regularly, he gradually started reducing all his assets.
However, this self-confidence gradually decreased, as a result of which he faced big losses, which was identified as a sign of addiction. He was in a situation where he lost money and later he had no assets, so he gradually pushed himself towards more failures. So those who win a lot of money may face huge losses at some point because the market conditions are not always favorable.

[hormozi]

Exactly.

And in my opinion, part of the problem is social media and the way its algorithms are designed. Instead of rewarding truth and substance, they promote dopamine hits and reward people for creating them.

[jossiel]

Where did this expectation come from?

Social media.

The financial content creators have buffed the trading industry and made it looked easy to do it.

And that's because they have the agenda to sell stuff related to their content to the gullible people hoping that they can have a good result.

And more importantly, can we actually change it?

It's already out of hand.

I think it's every individual who can stop it if they have fell for it. Their personal experience of how it's glorified by these media influencers will sink them in the reality of how hard trading is.

[Stepstowealth]

But being a good trader and being wealthy are two completely different things.

A trader can be highly skilled and still have very little capital.

Even a profitable trader may find it hard to become wealthy or rich simply because they lack financial management skill. Trading is a way to get money not a way to manage money And if a trader intends to get wealthy from trading they also need to learn how to manage the money they are making from trading If not only end up making a lot of money to spend unnecessary on things that they cannot trace.

That you are a good trader does not mean you will be wealthy.

[BitMaxz]

That Superyach or Lambo is just their way to promote themselves, service, or books to be sold, but once you buy them, all of their ways are pretty simple and basic; there's no magic that can make you wealthy in a short time or achieve the 10% every month.
If you ever think if his method actually works, do you think big players on the market won't target you? If it becomes saturated, I am sure big players will do something to take you out since we are just small traders.

They are the only one who are going to become wealthy because you buy their service or product where most their guides can learn for free if you just do some deep research.

Honestly, achieving 10% monthly is pretty huge, actually, for traders that I know, and even for me 1% to 5% is achievable, sometimes negative in one month depending on the whole month's market conditions. More than that, it's hard to hit 10% for me; it's impossible. I don't know those who have pretty good strategies.

[Silverstonez]

Something that I find surprisingly strange, and that I have noticed in quite a few replies to my previous post, is how many people still seem to believe that being a good trader automatically means being wealthy.

The people with this kind of reasoning doesn’t really understand what being wealthy means, being wealthy is more than just having plenty money.  Before we can say someone is wealthy, we need understanding that being wealthy means having enough resources, freedom and security to live life on your terms.  So being a professional trader doesn’t necessarily make you wealthy or rich, there are some professional traders who makes money from trading but they still lack financial security, freedom, stability and sustainable wealth.

[Bitcoin_people]

The main reason behind this unrealistic expectation of people is the fake lifestyle of social media, and as far as I see this is the trap of greed that most new traders fall into. I think the amount of mental control and patience it takes to become a skilled trader is almost impossible to maintain under the pressure of these huge expectations with small capital. There is another aspect here, having less capital does not mean that a good trader cannot earn. If a skilled trader wants, instead of his own small account, he can go to a good prop firm's funding program and get the opportunity to earn from profit share using the company's capital. Of course, these programs have drawdown and other rules.

Nowadays, people often claim to be experts by relying on social media and artificial intelligence. Many individuals begin trading based on signals from social media or Telegram channels, driven by the greed to make substantial profits in a short period. However, the traps set by scammers are often perilous a fact many overlook until they fall victim themselves and realize their mistake.
Novice traders are particularly prone to such errors, often losing their composure along with their capital. In contrast, skilled and experienced traders never lose control they possess the expertise to protect their capital and generate profits effectively.
Experienced traders can earn through various avenues such as using prop firm accounts with minimal initial investment leveraging their deep knowledge and proficiency. Having mastered the necessary skills, they navigate the process successfully, fully understanding the rules and regulations before they begin.

[Junii]

A trader can be highly skilled and still have very little capital.

Yes i definitely agree with u actually if u want to be a good trader there are many factors that give benefit to a person who want to become profitable but the one factor is a good capital because a good capital benefits a person psychologically if some one has 10k and he master his strategy and open a trade a small risk to reward ratio is enough for him if he lower his greed on the other side if some one has just 100$ and he opens a trade he will wait for atleast 10% which is risky and maybe when he opens a trade he is in profit but if he wait for a good return in most cases  the market moves against him. So what we seen on social media we don't know the whole story of a person and majority of  people think trading is a way to become wealthy in short time.

Where did this expectation come from?

Those expectations came from reels.

[henmark]

The main reason behind this unrealistic expectation of people is the fake lifestyle of social media, and as far as I see this is the trap of greed that most new traders fall into.

Usually they point out to misleading ads and shill's but not realized that even before, people already faked almost all things in social media. Or they only highlight the positive stuff. Although it may also inspire people and if they are mature enough, they will accept that failures are only part of the game.

I think the amount of mental control and patience it takes to become a skilled trader is almost impossible to maintain under the pressure of these huge expectations with small capital.

It is only normal that not all times we can't maintain what we are trying to achieve. What important is that we never quit. Small wins can still grow big. And when it comes to becoming a skilled trader, I don't think small capital is a hindrance. You are actually skilful now, if you can turn a small capital into a big one but it does not also mean that you will do it overnight. Skilled trader also works systematically.

[Abu-Naim]

A trader can be highly skilled and still have very little capital.

Yes i definitely agree with u actually if u want to be a good trader there are many factors that give benefit to a person who want to become profitable but the one factor is a good capital because a good capital benefits a person psychologically if some one has 10k and he master his strategy and open a trade a small risk to reward ratio is enough for him if he lower his greed on the other side if some one has just 100$ and he opens a trade he will wait for atleast 10% which is risky and maybe when he opens a trade he is in profit but if he wait for a good return in most cases  the market moves against him. So what we seen on social media we don't know the whole story of a person and majority of  people think trading is a way to become wealthy in short time.

Having trading capital is one important factor to have satisfied before thinking of becoming a trader, if you have capital, half of your problem is solved because others are just to pay attention and learn, nothing more.
This capital you have cannot determine your success in trading, it will only give you higher profits whenever you take a bigger risk, it gives more profit than that of smaller capital.

The main thing is to learn about the trading itself. Trading is all about knowledge and experience, if you don’t have good knowledge and experience about trading don’t jump into trading because no matter how you capital can be, you will lose the capital. Therefore, if you have good knowledge and experience about trading and you have the right information, you will make more profit with bigger capital than ring fee dollars. Although it is good to start with small capital if you wish to start small and grow, but mind you that can lead to greed because the profit will not be enough for them, they will want to be greedy to maintain the trade until more profit is achieved, and they end up losing the bet or getting liquidated.

[Shinpako09]

Some are even showing only their percentage gains, not the value or amount itself, and later they will sell their course or signals. How funny, they claim to be profitable, but at the same time, they are desperate to sell their courses to the point they deceive others to make a sale. Becoming wealthy in trading is hard, especially if you have low capital. Maybe the most realistic is at least becoming financially stable. Just enough to buy things we want and need but not lavish, and have some savings.

[mirakal]

Traders don't get wealthy through trading alone. So even if you are a good trader, that wont guarantee that you will end up a wealthy one. The most proven effective to become wealthy in life is when you own diversified assets and make them work and profitable in the long run. Trading outcome is nothing compared to the multiple profits you will gained from diversified assets.

You can be a good trader and earn sustainable amount of profits, but aiming to be wealthy is far from happening if you only stick to trading alone. Instead, set your horizon outside your comfort zone, that's the only time you will achieve the big things and become real wealthy in life.

[Joy- maker]

This kind of mindset only exist because of trading Youtubers as they continue to convince the people that getting rich is highly possible for good traders. That if you continuously making a good trade, eventually you'll end up a wealthy trader in the making.

But they lied on the idea that trading can be easily learned, because in real life trading is highly risky and complex. Its not that constant trading in the market will make you learned, but the possibility of losing your money every time you trade will definitely motivate you to be a good trader so that you can avoid those losses and increase the chances to trade for profits.

Being a good trader isn't connected to being wealthy. But you can get rich with high-end investments even if you do not learn about trading.

I pity those who believe everything that is coming out from the mouth of trading YouTubers, most of them don't have money they are just living a fake life. Last year a trading YouTuber who has been flunting fake lifestyle on online was exposed in my country, and what I liked about the guy was that he admitted he never owned all those luxury cars and houses he was flunting online.  Trading or being a professional trader doesn't automatically make someone rich or wealthy, and the earlier people understand that most of the trading YouTubers are not rich or wealthy the better for them.

[EL MOHA]

I pity those who believe everything that is coming out from the mouth of trading YouTubers, most of them don't have money they are just living a fake life. Last year a trading YouTuber who has been flunting fake lifestyle on online was exposed in my country, and what I liked about the guy was that he admitted he never owned all those luxury cars and houses he was flunting online.  Trading or being a professional trader doesn't automatically make someone rich or wealthy, and the earlier people understand that most of the trading YouTubers are not rich or wealthy the better for them.

I think I will say that YouTubers are more better in terms of trading than those social media self acclaimed traders who are content creators. On certain YouTube channels you would learn trading yourself without paying a dime other than subscribing to their channel and then you learn base learn strategy depending on the analyst that you follow but change this to social media, all you hear is that the intending trader should simply register for their class online to learn. You would never see them analyze the market in real other than they made so and so amount in the last trade.

If you look at the number of student they have in their physical class and online class that amount is enough to fund their lifestyle not to talk of the ambassadorial role they collect from exchanges or prop firms too. This is actually what brings their own profit and not the real trading they are preaching

[Questat]

Its true that being a good trader is not equal to being wealthy. You can be a good trader because you have avoided some negative trades, but that does not mean that you automatically gained significant profits. Some aren't losing, but they aren't profiting as well, they just managed to balance the outcome of their trade.

However, consistent and long term profits in trading will definitely lead you to a wealthy trader. But of course, most rich traders aren't just trading alone, they also have high end skills and big investments that have contributed a lot to their financial gains.