$100 USD vs $10,000 USD Trading Capital - page 3.

StephenJH

hero member

Activity: 1470

Merit: 521

No more Rekt and Bust

Quote from: Boov on October 29, 2020, 07:38:05 PM

Quote from: StephenJH on October 29, 2020, 06:37:50 PM

Thought about it for a moment and the best answer is to find why the traders usually risk more than what advised by professional traders. Compare the two traders, the first one can make 10% per month with $100k trading capital while the other trader takes more trade positions in order to make %30 per month with $30000. The profit is ~ the same but the risks, money management, losses are not equal.

Definitely it was so true, be it worth $100 or $10000 this was still risky. The difference between this two kinds of investment was how the investor could manage this two kinds of investment. Some believes that the higher you pay out for your investment, the higher you may get the return of your investment but of course the higher the risk. Some believes also that in order to save them from losses ahead they were try in a small amount of investment, believing with small ROI too and of course small risk. Hut at the end of the day, the one who manage their investment wisely was the one who can harvest grain at the end.

Whatever the newbie traders do is the material for learning more in the hard trading journey. The mistakes can teach the priceless experience and this experience is required to get more profit by correcting the stop-loss orders and take profit orders. The revenge trading and chasing the losses with increasing the trade size on the next order is the aggressive form of making newbie mistakes but they prefer to blame the volatile market conditions. Revenge trading and other emotional trading decisions will melt the balance as soon as possible, my suggestion is to accept the loss and go forward. Other opportunities will be there waiting for experienced traders on another day.

BuNga_cute

full member

Activity: 1736

Merit: 116

The most important thing in trading is not how much capital we use, but our ability to analyze the market. The better our analytical skills,
the better our trading results should be. Sometimes with a capital of $ 100 we can make our capital continue to grow, if we have good
analytical skills. But if our analytical skills are poor, $ 10,000 in capital could run out.

rijaljun

sr. member

Activity: 1274

Merit: 267

Having higher capital or having a small capital doesn't do anything with your trading performance you could be a good trader even with a small capital and you can be a bad trader with higher capital or vice versa. I doesn't matter if you have small or high capital the only matter in trading if you would be able to take profit or not.

barbara44

hero member

Activity: 2450

Merit: 605

Yeah, people are trading with low amount and are looking for huge rewards and it doesn’t work that way. And the amount of money you’re trading with doesn’t make you better or worse.

If you’re not a good trader, no matter how much you’re given or how much you have, you’re still going to be losing and that’s worse if you’re trading with so much money as a novice, because you’re going to be losing that money compared to when you’re trading with less.

Another thing we need to know is that there are people who $100 is a huge money for them, people should learn to put things at their level and know risks are involved.

Trade with little money and over time you will cover up; this is how I have slowly become a profitable trading in crypto markets.

iamsheikhadil

full member

Activity: 1022

Merit: 133

With a higher capital, one can invest in various coin/stocks which will reduce the risks of losses and will benefit the trader hugely. But with low capital, it's really hard to put money into multiple stocks/coins and make a good average income out of it. Risks are higher with higher capital, but as you said, it has great advantages as well!

Kupid002

sr. member

Activity: 1036

Merit: 329

Quote from: MCobian on October 30, 2020, 04:37:48 PM

It seems that all traders know that using large capital can get big profits with great risks too. Therefore whales when trading will use large
capital to get a profit that is much greater than the capital used. In fact, we find some traders borrowing money from banks to be able to
trade with large capital. It must be admitted that large capital can make us rich quicker, even though the risks faced are certainly very large.

If you plan to make a loan and invested it in Bitcoin or crypto currency Maybe you should think twice first . The possible return you can earn by borrowing money can be larger .but it's also have the same risk to lose large amount so if you are just borrowing it in a bank then you will be in debt if you make wrong a decision .or if you don't get the right timing of buying. I know a person that's in debts because of wrong decision he make before and now he has a hard time figuring out how he can pay off what he owes .

Ridwan Fauzi

full member

Activity: 1330

Merit: 147

I think a high capital won't make you success in crypto trading or you aren't guarantee to get a profit. It doesn't makes sense when you have $10000 in your capital and start trading but you have no strategy to start. Yeah, rely on someone else signal is useless at the end it just make you a short term profit.

But, when you have many understanding against trading you have a chance to success in crypto trading, believe me. Moreover now, there is a laverage system who will make you have a high capital, it will be the same when you have $100 and you use 10 laverage and you will feel you are trading with $10.000 and that is real. And it is good for you when you have a good knowledge how to trade well.

SquallLeonhart

legendary

Activity: 2422

Merit: 1102

I understand that when you are losing you are losing bigger with the big capital as well but isn't that normal? I mean if you make more you also lose more that is the risk we are having with a big capital. I have seen people who got into trading bots with 100 bitcoin and lose 20 bitcoin in return, that was such a huge amount later on because he lost his job and had to live with that 80 bitcoin for a while.

However they do this because it could be life changing, if you get involved with 10k and get lucky just once from some crazy coin, we are talking about buying a house with it, like let's say you make 5x profit and you have 50k, you could buy house in many parts of the world and even in the places like USA or UK it could be down payment. Hence losing bigger is just worth it compared to what you can win.

sarmrakib

full member

Activity: 1292

Merit: 101

Vave.com

I think capital is one of the most important thing on trading .If you have enough funds you will get a good profit ratio .It helps to recover when you get few losses .However you have to be experienced on trading platform either you can make huge losses .So i think capital is not factor but you have to be a good trader .

DoublerHunter

hero member

Activity: 2590

Merit: 644

Quote from: MCobian on October 30, 2020, 04:37:48 PM

It seems that all traders know that using large capital can get big profits with great risks too. Therefore whales when trading will use large
capital to get a profit that is much greater than the capital used. In fact, we find some traders borrowing money from banks to be able to
trade with large capital. It must be admitted that large capital can make us rich quicker, even though the risks faced are certainly very large.

^ The risk will always be the same whether you trade either small or high capital it will always give you 50% chance of winning and another 50% chance of losing and that is the reality that will never change or you may not trade at all just for you not to take the risk anymore lol. However, the chances will give you always the same outcome either win or lose but it may still vary on the rate depending on how you manage your trading skills and your emotion on it, for example, if you are eager enough to win and doesn't control your emotion over it then you might end up trading all your capital without holding back for some that make you go beyond your limitations then chances are you will be in a mess and you will forget your trading strategies. Nevertheless, I conclude, that it doesn't matter whether you have a small or a big capital, winnings will still depend on how you manage your trading skills.

carlfebz2

hero member

Activity: 2926

Merit: 722

DGbet.fun - Crypto Sportsbook

Big or small it will always matter on someones fund or risk management because even if you do have big trading capital then dont think that you arent susceptible to losses compared to those who have less.

Just like what mentioned by others where you can risk out a portion or percentage according to your likes with each trade.On having bigger amount will really just widen up your movement just because
you do have bigger funds which in comes to versatility then you do had the edge unlike on having that limited one.

All matters on how you do trade because those small amounts can be big if you done it well and those big capital of yours would vanish if you do suck with trading.

Bitcoin_Arena

copper member

Activity: 2114

Merit: 1813

฿itcoin for all, All for ฿itcoin.

Quote from: GreatArkansas on October 29, 2020, 06:27:19 PM

I hear some people that doing trades and complaining about their trading capital.

So, does trading capital really matter at all?

It doesn't matter at all. I tend to focus on percentage profit rather than the zeros someone has made. A trader using a strategy to make 90% profit from a capital of $100 which is $90 in profits is far better than one using a strategy to make 9% profit from a capital of $10,000 which is $900

Quote from: GreatArkansas on October 29, 2020, 06:27:19 PM

Are there any disadvantages to having a low capital the higher one?

The most common one is probably greed and the need to over achieve which makes the trader to over risk and might end up losing all the capital. When a trader makes even a profit of $90 from $100, most would feel they haven't done enough and would continue over risking getting $1000 or $2000 in profits. But if someone is able to keep their greed in check, then everything should be good

Quote from: GreatArkansas on October 29, 2020, 06:27:19 PM

My point is, having a higher trading capital will make you a good trader or successful trader?

Nope. Consistent higher percentage returns do.

MCobian

full member

Activity: 1190

Merit: 117

It seems that all traders know that using large capital can get big profits with great risks too. Therefore whales when trading will use large
capital to get a profit that is much greater than the capital used. In fact, we find some traders borrowing money from banks to be able to
trade with large capital. It must be admitted that large capital can make us rich quicker, even though the risks faced are certainly very large.

dunfida

legendary

Activity: 3122

Merit: 1140

Quote from: GreatArkansas on October 29, 2020, 06:27:19 PM

I hear some people that doing trades and complaining about their trading capital.

So, does trading capital really matter at all?
Are there any disadvantages to having a low capital the higher one?

My point is, having a higher trading capital will make you a good trader or successful trader?
Because what I think is if you have high capital, the risk is high for sure yet the reward is also high, but when you have low trading it's still the same, you got low risk and still low reward.

Simple people arent really just contented on the profits that had been generated when you do have less capital but actually its all the same yet someone can adjust it up basing off
into your entire funds. spending 5% neither on big capital or small one would be just the same.People's mindset do always stick out that if the bigger the fund the more chances that
they can make profit which is true in terms of intensity, the difference only is on numbers but people do believe on wrong way thats why people who do just recently engage
with the market have that belief that they can fasten out to be profitable if they do directly make use of bigger capital but sooner or later they would really realize that
expectations would meet out the reality which isnt supposed or easily can happen.

ChrisPop

legendary

Activity: 2310

Merit: 1035

Not your Keys, Not your Bitcoins

A professional trader will make money whether he has a small account or a big account. With the leverage available in the markets nowadays you can start trading with extremely low amounts. Although you cannot make a living with a $100 account in most countries, it is CERTAINLY a better start for beginners to refine their skills before going into a higher tier.

If you trade with a $10,000 account it does not mean the risk is higher. It all depends on a person's position sizing and net worth. A $1000 position represents a 1% risk for a $100,000 account and 50% for a $2000 account. I hope I made myself understood.

boyptc

hero member

Activity: 3024

Merit: 680

★Bitvest.io★ Play Plinko or Invest!

You can fail and gain a lot of experience with bigger capital.

For a newbie, it's not advisable to trade like that. But if you sees that there's an opportunity in trading, you can think of a better amount that shall be sufficient to you to gain experience and knowledge as you trade.

$10,000 is for an expert and maybe an additional of $100 to $100 could be enough for you not be burned when you trade. But, there are also traders that are good with smaller amounts and they can manage to grow it on their own.

A matter of experience, wise decision making and probably luck too.

Ucy

sr. member

Activity: 2576

Merit: 402

Bisq is a Bitcoin Fiat Dex. Use responsibly

Well, I think it's best to learn trading without risking any money or too much money... You could start trading with "big" amount when you become good at trading. If you wish to trade or learn with money without skills/experience, then start with amount you can afford to lose/risk. I think you can gain experience this way if you are serious about trading.
I guess there are really wealthy people who can afford to risk "learning" with $10,000 as newbie to gain experience. There are people who can't afford to risk $100 in trading without the required skills/experience. Better to start with what you can afford to risk/lose and then gradually increase your fund as you become consistently profitable in your trades

bitgolden

legendary

Activity: 2926

Merit: 1130

Leading Crypto Sports Betting & Casino Platform

Having a higher trading capital will make you a better trader without a single shroud of doubt but not because having money automatically means better results, it just means easier way of trading when you have that much money.

Of course it depends on the trader and how smart he is or what his goals are, however one thing is for sure, when you have $10k, and you make about $1k per month in trading profits, that s 10% per month and even though that is awesome and definitely a big goal, it is still doable, whereas if you are a trader with 100 dollars, if you do 10% which is awesome and unlikely, you still make just 10 dollars, which ends up with you trying to make 2x instead of 10% which makes you a risky trader and end up losing you money. This is why having capital is very very important.

goldade

full member

Activity: 896

Merit: 104

The Standard Protocol - Solving Inflation

Quote from: GreatArkansas on October 29, 2020, 06:27:19 PM

So, does trading capital really matter at all?
Are there any disadvantages to having a low capital the higher one?

My point is, having a higher trading capital will make you a good trader or successful trader?

In my years of trading, I have come to realize that having a higher trading capital doesn't make one a good or successful trader.
The only advantage (which is also its disadvantage) of higher trading capital is the high returns of investment. You make more in a short period of time trading with a high capital.
It is however also its disadvantage, like I mentioned earlier, in that with more trading capital comes more risk. You run the risk of losing more if the trade didn't go in your favor.
What makes a successful trader isn't the trading capital but how much of skills and knowledge does he have? How well can he manage his risks? Does he understand money management? Can he keep his emotions under control when trading? These are what makes a successful trader

wxa7115

hero member

Activity: 2702

Merit: 704

Quote from: GreatArkansas on October 29, 2020, 06:27:19 PM

I hear some people that doing trades and complaining about their trading capital.

So, does trading capital really matter at all?
Are there any disadvantages to having a low capital the higher one?

My point is, having a higher trading capital will make you a good trader or successful trader?
Because what I think is if you have high capital, the risk is high for sure yet the reward is also high, but when you have low trading it's still the same, you got low risk and still low reward.

Your trading capital will not make you a better or a worst trader, in that sense the size of your trading capital does not matter, but at the same time in trading and investing money is everything, if you make a trade and earn 10% out of it if your capital is 100 dollars you earned 10 dollars if it is one million you earned 100k, the same trade despite being executed in the same way produces a massive difference in profits.

This is why if you want to trade professionally and for a living your initial capital needs to be quite high from the beginning, another instance in which capital plays a factor is on the risk level you may want to take, there are many people investing in altcoins with a very high risk because they need the coin to make 100x just to earn something decent, but if your capital is high you can just invest in bitcoin, get 2x or 3x and make enough money for yourself.

Topic: $100 USD vs $10,000 USD Trading Capital - page 3. (Read 734 times)