I've been on the platform but haven't blogged for a couple of days, as I've been exploring and learning about the community. Gotta say, it is a pretty steep learning curve for me. Just wondering if anybody has ran any reports on how many sign up but drop off shortly afterwards, due to not being able to dedicate the huge amount of time that needs to be invested to make real progress here. Well, I came here to learn, so it looks like it will have to be slow and steady for me to win the race. So back to what I know best for now, which is trading.
From reading through the various posts and comments, it appears to me that many are getting confused between trading and investing!
You invest for long term capital appreciation, and you trade for a weekly or monthly income.
I think this is because the lure of possible huge crypto profits has brought many newbies into the trading/investing arena, who don't have any trading skills. Trading is usually done over a matter of minutes, hours or can run into a few days, even more than a week or two sometimes. But that is it, and anything longer than that is either position trading (for a few months), or investing (years).
Unlike when you are investing, with trading you need a stop-loss in place. You need a planned method to trade, that involves an entry level, stop-loss level and take profit levels. That is trading in it's simplest form. Researching recommendations from others is fine for investing. With trading, you can look at levels touted by others, but you must have your own reasons for the trade, that fit your method. Otherwise you are gambling on hope rather than risking on a tried and tested method of your own.
Now, with cryptos, if newbies have come to speculate long term with capital they can afford to loose or leave tied up for a number of years, then fine. But if they have come to trade the volatile swings, then goodnight Irene!! If you are reading this as one of those newbies, my advice is as stated above, invest with funds you can afford to loose or leave tied up for a number of years. Just make sure you can sleep well at night. Like the advice given to the guy who was long a few thousand bushels of corn and said he couldn't sleep at night. He was advised to "Sell it down to the sleeping level". Taken from a booked called Reminiscences of a Stock Operator.
There just simply is not enough technicals out there yet to go trading these bad boys. Learn to trade in established markets first. If cryptos are all you are interested in, then just speculate long term.
