Don’t FOMO. This is a spot that people most frequently lose money on. A dash of manipulation, two tablespoons of media hype, a cup of CME and CBOE announcements, and a generous handful of FOMO drove Bitcoin prices from $10,000 to $20,000 in December. Since that time, Bitcoin fell to a low of $9,000 and is currently sitting at around $11,000. It’s easy to look back and say, “if only I waited one month, then I could’ve bought at $9,000 instead of waiting for Bitcoin to hit $20,000 again for me to break even.” But the reality is, the combination of 1) being greedy, 2) investing blindly, and 3) FOMO were likely large contributors to the purchase at an all-time-high. Even in the crazy world of cryptocurrency, if a coin pumps that quickly, it will correct — it’s a matter of time. Speculative pumps are almost always followed by dips. While trying to jump onto a train going full speed sounds like something straight out of a James Bond movie, I’m sure most of us can agree we would probably save some limbs if we just waited for it at the next stop.
Identifying sell levels to take profit: Using the order book we identify the areas of resistance that we previously analyzed. It is likely that being resistant, massive supply (a “wall” of sell commands) is present around these spots. The trick is to place our sell commands precisely one step ahead, at a slightly lower price, so in case the demands start to eat away the supply wall – our command has already been placed and sold to profit.
Fundamentals cover things like crowd behavior and news flow. Crowd behavior means that when the “crowd” is piling in while the price is of a coin is pushing upward, maybe you will want to ride the momentum (with caution as these people may end up getting trapped within it), or it could be a situation where everyone is in the thing and now the coin is seeing a downturn, and they are all trying to piling out.
Everything is laid out in a simple step-by step system that is easy to follow. As a student, you can choose between two video courses; a basic and an advanced one. Both of the programs are designed to first give you a strong foundation and then gradually, in a logical succession, build on that knowledge. The basic program will offer you plenty of knowledge and insight to trade successfully on your own, while the advanced course takes it further, equiping you with deep understanding of advanced trading techniques and strategies.
Sia is the very first decentralized storage platform that’s based on and secured by the blockchain technology. Through the blockchain tech, Sia can provide much reliable data storage options that do not have a single point of failure, can offer more storage space – at much lower costs than traditional cloud storage providers. Besides the obvious, investors are readily jumping on the Sia-train for one more reason: Privacy. Unlike cloud-storage provides, Sia’s tech gives you all the keys to your own (encrypted) data, and mandates that no third party will control nor access your files.
Bitcoin (BTC) is King/Queen; Don’t Get Overly Optimistic About Altcoins. Those who invest in BTC tend to get itchy fingers when BTC stagnates and alts go up. Sure, going into IOTA or ZCash can be a brilliant move at times… at other times you’ll be holding the bag while everyone moves back into BTC. Stick with coins you know and like, but consider always being partly in BTC (not 24/7, but in general). This advise applies somewhat to Ethereum as well, but first and foremost BTC is the center of the crypto economy.
The first thing you need to do before you invest in a crypto is to analyze its trading volumes. As a rule, always go for cryptos that have high daily trading volumes, unless there are some big upcoming news about a low volume crypto. High volumes signal to a Crypto’s liquidity, and the presence of an active community. The problem with low volume cryptos is that in most cases, they lack a strong community backing them, and they can easily get delisted from exchanges, leading to losses.
Sub or Substratum is another open-source network with a huge focus on decentralizing the web and on “making the internet a free and fair place for the entire world.” This platform allows content creators to freely host their websites or applications on Substratum host, without any censorship blocks. Network users can then “run” Sub nodes and help the content get forwarded to end web users, who can access all Sub content in regular web browsers without any blocks or limits in shape of censorship.
Is it possible to place a ‘take profit’ and a ‘stop loss’ command simultaneously? As of the time of writing, excluding some leveraged trading exchanges, such as Bitmex, current trading exchanges do not support the placement of the two commands simultaneously. In a perfect world, we could have set both stop loss for trade and levels of profit taking, lowering the chance of substantially loss. Until that happens, we will settle for what we have – I usually set take profit levels for some part of the position, while setting a stop loss level for the other ones.
The problem with this approach is that once you sell, you’ve actually lost money (you don’t lose until you sell), and while in some cases, cutting your losses does make sense, most coins will bounce back in days, if not hours, and then the same people, seeing a surge, buy back at higher prices, only to repeat the cycle. Buying high and selling low is a one-way ticket to going broke.
Technical analysis is the study of past price patterns. This will allow us to identify opportunities for profit. The cryptocurrency market, maybe more than any other market, has a herd mentality. The tendency, especially with inexperienced traders, is to buy when the price is raising, and sell when the price is dropping. We can take advantage of this with technical analysis.
The victims of the dotcom crash would talk about “the smart money,” this group doing that to another group to make money out of them. Narrative is a weak basis for investing. In crypto-times, people talk about whales as if there is a secret level to the game and secret methods available to those who are big enough to trade in great size, where they can’t lose, but you can. The whales won’t let the market do this, or do that, just in the same way as the smart money was dreamt to operate.
Speaking to CNBC, the crypto trader claimed that other coins might have been overhyped as the progress in distributed ledger technology is slower than people expected. Smith said that, “They got really excited about all these other tokens and use cases. And all of the sudden you saw all of these smaller tokens, as people got excited about them, massively outperform. We got way ahead of ourselves.“
Ethereum'is on the trouble! Almost all the altcoins trades above the major counter-trendline but Ethereum'is not on the list anymore. It has a break downwards from the trendline and from the strong area which is not the good sign but we can find something positive also, currently, it has an opportunity to make a new higher low on the market structure and it shows ...
Learn to value coins in BTC. Ether aside, Bitcoin is the current primary currency of the crypto economy (i.e., its what you have to use to buy most altcoins). Those new to crypto tend to value things in dollars. Meanwhile, even seasoned cash traders value coins in dollars. However, enough crypto traders will value coins in BTC for it to matter. If you aren’t aware of the BTC charts, you won’t be able to properly understand the trends everyone else is analyzing and reacting to. You don’t have to make getting more BTC your goal, but you must have the BTC prices of altcoins on your radar. There are times when all coins move up, but altcoins steadily lose value against Bitcoin. Those who know will be the first to dump altcoins for Bitcoin; this will set off a vicious cycle that can result in the stagnation of altcoin prices.
Keeping up to speed with the news on Cointelegraph, seeking independent ratings on ICOs, and gathering as much information as you can on a coin’s background are essential steps before you decide to make an investment. After making a purchase, monitor any changes in price closely – and consider setting higher and upper limits on when you would want to sell your crypto, mitigating losses in the event of a crash and protecting profits after a surge.
The cryptocurrency market is insanely volatile in 2018. You can make a fortune in a moment and lose it in the next whether you trade Bitcoin, another coin, or the GBTC Bitcoin trust. Consider mitigating risks, hedging, and not “going long” with all your investable funds. TIP: If you trade only the top coins by market cap (that is coins like Bitcoin Ethereum), or GBTC, then the chances of losing everything overnight are slim (not impossible, but slim). Other cryptocurrencies are riskier (but can offer quick gains on a good day).
Howdy, Welcome to popular Cryptocurrency blog 'CoinSutra'. I'm Harsh Agrawal, a tech enthusiast & Digital nomad from New Delhi, India.I started CoinSutra to help users around the globe to learn about popular Cryptocurrencies.Here at CoinSutra I write about Bitcoin Wallet, Cryptocurrency wallets, Online Privacy & Security, VPN experiences & making money from Crypto.
One of the basic strategies that you can look into is buying at the right time. It is natural to buy cheap when there’s a surplus of assets lying around. The challenge is to know when the supply is greatly ahead of the demand. Profit can be easily made with the gap between the cheap purchase an expensive sell. Another ideal way to purchase coins is at the time when ICOs (Initial Coin Offering) is introduced.
Suppose you’re watching BTC’s chart and notice multiple Doji candlesticks, a classic indicator of indecision in the market. You have a feeling from a few other indicators that the price is about to rise, so you buy more Bitcoin — but alas, the indecision swings the other way, and you’ve lost money (but hopefully not that much, since you’re placing stop-loss orders!).
Closing a trade in profit. It is important to take your winnings out of a trade. Cryptocurrencies move faster downwards than they do upwards, and you don’t want to be late cashing out of a trade. You also don’t want to be too early and miss out on extra profits. There are a lot of techniques to help you make this decision that are out of the scope of this beginner’s guide.
Dollar cost averaging one’s purchases of Bitcoin reduces risk in sudden changes. This reduces the sting of or sudden pricing changes, reducing reliance on a single point of entry. By increasing your Bitcoin investment over time, you reduce the desire to buy or sell often. If there’s anything we’ve learned from the long run is that Bitcoin is here to stay (knock on wood). Stick to your gut, but don’t ignore others.
Intuitive UX, focuses on the key features for trading, requires an Poloniex account, no fees. Cryptoriot is definitely my top pick for trading cryptocurrencies with my Poloniex account. You just have to fill in your API key from your Poloniex account and you're good to go. Trade all the Alt-Coins you want to with an visual an intuitive interface. You have an overview of your trades. This app really focuses just on trading without the other stuff with is not helpful (talking about candles). Feedback is taken very serious since this is a pretty new app. Try it out, its worth it!
Here again, it is important considering a number of factors when choosing a stop loss level correctly. Most traders fail when they fall in love with a trade or the coin itself. They may say, “Here it will turn around, and I will get out of this trade with a minimum loss, I’m sure”. They’re letting their ego take control of them and unlike the traditional stock exchange where extreme daily movements are considered 2-3% in value, Crypto trades are a lot more riskier: in my life as a trader I’ve seen a coin dumping by 80% just in a few hours! And nobody wants to be the one who is left holding it.
Bull markets, bear markets, corrections, and bot manipulations. All part of the cryptocurrency trading world that has gotten people so interested in trading crypto and being part of the game that’s sure to change the investing world forever. These new markets are right now looking for new investors, but how to invest if you are a beginner? Here are some cryptocurrency trading strategy tips.
Consider Bitcoin as the base layer coin for the market as many of the exchanges price their altcoins against Bitcoin. Also, Bitcoin is often used as your base currency to get started with an exchange. What I mean by this is you will not be able to buy with your regular credit card, you will need to transfer in your Bitcoin and use that as the currency to purchase.
Bitcoin is a volatile asset (relative to FIAT) and this fact should be taken into consideration, especially in the days when the Bitcoin value is moving sharply. Bitcoin and Altcoins have an inverse relationship in their value, i.e. when the value of Bitcoin rises then Altcoins are losing their Bitcoin value, and vice versa. When Bitcoin is volatile, our conditions for trading are kind of foggy. During fog we can’t see much ahead, so it is better to have close targets for our trades or not to trade at all.
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Read Part 2 of BTCManager’s series, ‘A Guide to Trading Cryptocurrency,’ here. In Part 3, we look again at another complicated trading style that focuses on your inner self and human behavior. Markets are chaotic. Cryptocurrency markets, even more so. But just because the markets are random and sentiment can shift rapidly does not mean you cannot profit from fluctuations…
You don’t have to buy a whole coin. You can buy fractions of coins. Bitcoins are expensive currently in 2018, so consider buying fractions of a coin to start if you don’t have a big bankroll. It has historically been a mistake to buy only ETH and LTC because BTC costs more. You should consider which one is most likely to increase in and retain value. Buying all three in equal dollar amounts, and ignoring how many of each coin that amounts to, is one way to avoid making the wrong choice based on price tag per coin.
A successful strategy regarding this is placing very low buy orders. About a week ago a crazy dump occurred, selling off Augor coin down to 25% of its value! After a short while the market recovered slightly and anyone who had low buy these low orders could easily double or triple their investment. Placing buy orders requires special care, don’t wake up when you’re far away from the market to find your buy order is suddenly higher than the current market price!
Read Part 3 of BTCManager’s series, ‘A Guide to Trading Cryptocurrency,’ here. In Part 4, we look at a very easy to pick up technique that, like the Ichimoku Kinko Hyo, originates from Japan. Renko charts are another Japanese technique that is easy-to-use and reliable for making profitable trades. Similar to candlestick charts, Renko charts are even easier to analyse…
Leverage is money that a broker loans you. Unless you’re a professional trader, you should stay away from leverage until you’ve learned everything you can learn about making trades with your own money. While leverage can help you make greater profits with short cryptocurrency movements, it can also amplify your losses when the trade takes a wrong turn.
The smart selection of assets ensures the fund avoids the biggest pitfalls of the industry. Only assets with excellent fundamentals and growth potential pass the strict filtering process. Continuous review minimizes the exposure to bad assets. The portfolio is diversified across the whole blockchain industry, with different cryptocurrencies, technologies, industries, fiat currencies, and traditional assets all represented. The cryptocurrency market runs 24/7, and PentaFund ensures that the funds are protected at all times.
Only invest what you can lose. During the recent crash in January 2018, hobby-investors got burned. Reports of frustration and losses came at the cost of broken monitors, smashed laptops, and heavy monetary losses. While the rules are in more particular order of importance, it’s safe to assume that this is the most important rule, the rule to rule the rules. As soon as your money is converted into cryptocurrency, consider it lost forever. There is absolutely no guarantee you can get it back. Losses don’t simply come from dips in the market; extraordinary factors such as hacks, bugs, and government regulation can mean you’ll never see any of your money again. If you are investing money you can’t afford to lose, you need to take a step back and re-evaluate your current financial situation, because what you’re about to do is an act of desperation. This includes: using credit cards, taking out mortgages, applying for loans, or selling everything and traveling the world (as glamorous as that sounds).