The traders I
see losing money in trading crytpo's are the ones that take a short term outlook. They think they can scalp these cryptos by trading shorter time frames. Ive been a trader for 15 years and trading these cryptos you must take a longer term trade perspective. It like if you bought a gold bar how willing would you be to sell it if it lost $200 in value. You probably would take the time to do this and instead just wait for it to regain value. Cryptos unlike other instruments are more of a marathon trade than a short term like trading futures or Forex. They also are a bit thougher to short as there isnt the opportunity to trade some of thecryptos on the short side. When you buy a crypto i would personally see a 3-4month trade horizon and then when it gets sold off look at it as a buying opportunity and average down your cost. Do not trade on margin as this will eat up your gains over a longer time horizon. When i analyze these charts i am always looking at 4hour and 6 hour charts to spot opportunities. If you want something fast and short term then i would stick to Forex. While cryptos can have big pops it may take 3-4 months of consolidation before a big 50% pop comes to fruition.
Don't day trade anything. It is a fool's game.
STEEM On !!
Dave
I agree. Now they have pump and dump rooms on Telegram.
Having a long term perspective seems logical considering the potential blockchain has to be an industry disruptor. These changes don't happen overnight. Personal computers weren't immediately mass adopted either. Bitcoin traded from early 2009 till April 2011 below 1USD. After that it took off. Nobody knows the exact date a product takes off.
https://steemit.com/bitcoin/@remyremy/a-50-drop-in-a-couple-of-days-and-a-35-recovery-in-24-hours-should-you-worry
good point!!
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