Hello guys š¤.
My name is Ismail ,and I have been in the cryptocurrency world for quite a while, so far Iāve managed to cross my way over into the professionalism. well, there are still things to be dealt with but in general the puzzle pieces are starting to reassemble , and the shape of the game is starting to appear for me.
The purpose behind this article is that I want to shed light on some of the bad behaviors in my opinion that the majority of newbies and even some traders are attracted to and which they are ready to defend at any cost, and Iām sure that Iām going to receive all sorts of judgments only for bringing up the subject but at least for me I will provide the arguments behind this train of thoughts of mine.
We can all agree that the cryptocurrency market is still in its early stages and not as mature as traditional markets even though the technology behind it is quite promising .but letās talk numbers:
A simple 24HR volume comparison between both the cryptocurrency market and some traditional market can easily led you to the conclusion that it is a fragile market and vulnerable to every sort of manipulations. consequently, people with big money(whales) will always be one step ahead of you in addition to the fact that they have the ability to influence other retail investors using their 100K+ followers twitter accounts, so on the one hand they want you to keep trusting them and you keep believing that they provide you with useful knowledge but on the other hand it is a race for money āeveryone wants to win others money, right?ā. So ,the next time an influencer told you to do this, or do that try to rethink that through another perspective. And by this and that Iām referring to :
HODL š¤
In traditional markets, if you maintained a position without a stop-loss order for a long period of time and you didnāt react to the ups and downs of the market even when you are down-say 30% or more. Well basically this is called a suicide but here in the cryptocurrency market they have found a fancy way to address it :āHOLDINGā or āHODLINGā they say, well some might told me that hodling in the past was very beneficial and I totally agree with that ,xrp for example is up by approximately 35.000% in 2017,but things now has changed and thatās why:
The total market capitalization was at around 17bn $ on January 2017,this indicates a very low interest in cryptocurrencies back at that time ,the market cap of the major company here in morocco(Maroc Telecom) has a similar market cap and thatās one single company in a humble country (when it comes to economy).
However, now, the current market cap (at the time of writing of this article) is at 260bn $ down from an ATH of 835bn $ back in January .therefore, this is a clear indication that the market now is more mature and there has been a run due to new money flowing in with an accelerated rate and now 6 months after this ATH we still havenāt found the bottom quite yet and no one really knows when bitcoin is going to reverse and start looking for a new bull run ,it could be months or years no one really knows and by holding your assets for a long period of time, not only you slip on major scalping opportunities but also you prevent yourself from learning and acquiring new skills and a better understanding of the market sentiment because you have no fiat left to trade, you are too afraid to look at prices frequently because thatās goanna give you a headache .and, in order for you to specialize in trading you need to do it the hard way and that is by losing money my friend, filling trades and trying new strategies and skills otherwise youāre going to stay the same.The cryptocurrency market now can be played both ways(and that is the most crucial point that few people are really considering it when it comes to āhodlingā). As you may have heard back in November of last year that two of the biggest option exchange and derivative exchange in the U.S had started to issue the bitcoin future contracts ,Iām not going to dive into the details of what futures are (the internet is all yours) but this had opened the possibility for a new practice of dealing with bitcoin and that is shorting the market or betting against cryptocurrencies assets mainly bitcoin. With a much bigger volume because they can provide you with a high leverage .and through the years being a bear has been more effective than being a bull I call it the gravitational law because things are much easier to go down than it can go up and that is true when it comes to markets.so the next time you see a big red candle you shouldnāt link it to only that people are selling their initial positions but instead think that there is an army of professional traders that are selling and rebuying at a cheaper price and you instead of following the market movement you stand in front of your chart and you hope for the best -the best that 6 months now had yet to come .
The discussion is not over my friends ,it's just that I try to keep my articles as brief as possible so in the next article Iām going to keep enlighten you about how to deal with the market psychology and how to get rid of other bad practices that some big players are instructing us to do .
My next article will be next Monday.
Until then, happy trading
No holding is not bad for our health but regularly seeing market means daily and seeing market movement and taking some stresses of loss that is bad for health.
" If I have an patience then I work in like that market otherwise this market is bad for my health "
No,my point is that you don't have to be exposed to the market all the time,you only needs to make some trades when you spot an opportunity ,by doing that not only you are minimizing your risks but also you only needs to deal with the market when you are there watching every movements so when you go to sleep even if bitcoin went to zero you are totally safe my friend.
and thanks for stopping by i appreciate it š
You got a 7.16% upvote from @upme thanks to @ismailkah! Send at least 3 SBD or 3 STEEM to get upvote for next round. Delegate STEEM POWER and start earning 100% daily payouts ( no commission ).
Congratulations @ismailkah! You have completed some achievement on Steemit and have been rewarded with new badge(s) :
Click on the badge to view your Board of Honor.
If you no longer want to receive notifications, reply to this comment with the word
STOPTo support your work, I also upvoted your post!
Do not miss the last post from @steemitboard!
Participate in the SteemitBoard World Cup Contest!
Collect World Cup badges and win free SBD
Support the Gold Sponsors of the contest: @good-karma and @lukestokes