Topic: Do not ignore the small profits in Bitcoin investments. - page 6. (Read 3202 times)
I understand the small profit you are talking about with the scenario of bitcoin in March and bull from May. Yes, dropping off for some profit is cool deal but people get scare of that with the feeling that price will always keep rising without a break. Also, when to buy again is hard to determine, you can buy and it keep diving down more
Actually i do not ignore small profit even if only 5% or less but if i have a chance to get profit then usually i will sold my bitcoin and indeed reinvest our profit is not good idea and after get profit back to our initial money should be good however small profit can be high profit if we can able to get it consistently for each day for an example 2% profit daily and we can get 60% monthly profit and i think that number is good
and like always bitcoin is a currency not an investment or a speculation tool 
Currencies are investment and speculative tools as well. If we look at the forex markets and their volumes, then it's safe to say that currencies such as the US dollar and the Euro are generating more speculative volume than volume by usage as money.If currencies weren't used for speculative purposes the demand for them would decrease, and so would our purchasing power. Speculation brings liquidity to the table. Where would Bitcoin be without that liquidity?
The price of Bitcoin has grown tremendously because people are speculating that the price will keep booming. If we were to solely rely on the currency aspect of it, we could just as easily hover below the $1k mark without problems.
I must agree with you, but there are some things that prevent you from getting enough profit from trading bitcoin every day. The main problem is the exchanges and their high fees
A lot of people make the same mistake by being too greedy, and ignoring the small profits and not using the proven recipe for success in Bitcoin by buying low and selling high.
and that is for a good reason.
most people aren't traders and are not willing or capable of spending that much time analyzing the market and riding the waves to make some profit in day trading. not to mention the risks that this type of trading has which drives most people away.
on top of that we have the issue with exchanges, they aren't trustworthy!
when you want to make profit by "buying low selling high" you have to do it on exchanges, and all your hardwork of months could go up in smokes in a second as the exchange scams you or gets hacked. we have had hundreds of cases, dozens every year!
and like always bitcoin is a currency not an investment or a speculation tool
Do not re-invest your profit, because your first goal must be to get back your initial investment.
It always depends. This rule is best for people that invest money they don't really afford to lose. And I'm doing somewhat the same.
But the big rule use to be "don't invest money you don't afford to lose". And by that rule it's actually OK to wait for the jackpot.
Imho the "don't be greedy part" matches with another rule of investing: make a target and cash out when you've reached that target, no matter what the market does afterwards.
One common reason for people ignoring the small profits seems to be them trying to go for maximum profits by attempting to call the bottom and / or top (ie. trying to time the market). If people were better at accepting the impossibility of this notion fewer people would fuck themselves over. Just ease your way in and out of the market. It may not be an optimal strategy but it's less risky and more importantly less likely to make you tilt and FOMO.
...not using the proven recipe for success in Bitcoin by buying low and selling high.
To be fair, this is much easier said than done. I wouldn't even call it a recipe as much as a goal -- nearly everyone has their eyes on this, considering an opportunity can arise at any time, but the lows and highs are never easily identifiable in the moment. It's easy to say it's a quick way to profit in retrospect, but as they say, hindsight is 20/20. I'd say simply hodling long term is still a far better course of action for inexperienced traders (so most hodlers lol).
As for oiling merchants' gears, profit doesn't always have to be involved. You spend fiat regardless of whether you have extra, so Bitcoin shouldn't have to be different. To each his own, of course, but I've been seeing way too many people take up the approach of only ever spending their profit.
It all depends on the mindset you had when investing. There are some investors that are not ready to sell their bitcoin until there's a huge turn up in price, while some individuals sell immediately when there's a little profit. I deemed it right to always invest with your spare money, so as to withstand whatever that comes out.. The only way to make it through in bitcoin is to sell when you see a little profit and reinvest again
People have different mentalities when it comes to investment, some would just keep regretting that they have sold some coins at low price, even if it was only small amounts. I wouldn't call it exactly a mistake and being too greedy, a mistake would be not selling at all hoping for even higher price, and then seeing your investment turn red, and panic selling. Any selling with a profit is already a success, and what you have described is just one of the viable strategies.
A lot of people make the same mistake by being too greedy, and ignoring the small profits and not using the proven recipe for success in Bitcoin by buying low and selling high.
Let's look at the recent price movement of Bitcoin and how this recipe would have put you one step closer to a safe investment in Bitcoin.
https://www.blockchain.com/charts/market-price?daysAverageString=7×pan=180days Let's take a quick example of what people could have done in the last 180 days, to secure a very good profit on their investment.
Let's say you had enough money to buy 1 whole Bitcoin when the price was at it's lowest in Mar '19 <$3000+> and sold in May '19 <$8600>, then you would have more than doubled your initial investment.
The price volatility in Bitcoin in the short term makes provision for a lot of opportunities for people to make small profits, because it is frequently dropping and recovering and if you are just patient and if you time your buying and selling, you can quickly get a good return on your investment. <Buy the Dip>
Some of my friends bought during the Dip in Mar '19, but they are waiting for the BIG payday, so they are hoarding their coins and missing all the opportunities to get a small portion of their initial investment back in their pocket.
There is nothing wrong with long-term hoarding, but when the opportunity is there to take some small profit, then you should take it. Do not re-invest your profit, because your first goal must be to get back your initial investment. Chip away that initial capital investment, by taking 5% here and 10% there, until you made back 100% of your initial investment.
Hoarding in the long-term might be convenient for some people, but the safe option is to take back small percentages in profits, until you get all your initial investment back. I use that profit to buy some goods and pay for some services in Bitcoin, so that I can show something for the risk that I took and for the effort that I put in to invest in Bitcoin.
This strategy helps to oil the Bitcoin merchants gears, by using Bitcoin as a currency and it also helps me to use Bitcoin as an investment tool.
Let's look at the recent price movement of Bitcoin and how this recipe would have put you one step closer to a safe investment in Bitcoin.
https://www.blockchain.com/charts/market-price?daysAverageString=7×pan=180days Let's take a quick example of what people could have done in the last 180 days, to secure a very good profit on their investment.
Let's say you had enough money to buy 1 whole Bitcoin when the price was at it's lowest in Mar '19 <$3000+> and sold in May '19 <$8600>, then you would have more than doubled your initial investment.
The price volatility in Bitcoin in the short term makes provision for a lot of opportunities for people to make small profits, because it is frequently dropping and recovering and if you are just patient and if you time your buying and selling, you can quickly get a good return on your investment. <Buy the Dip>
Some of my friends bought during the Dip in Mar '19, but they are waiting for the BIG payday, so they are hoarding their coins and missing all the opportunities to get a small portion of their initial investment back in their pocket.
There is nothing wrong with long-term hoarding, but when the opportunity is there to take some small profit, then you should take it.
Do not re-invest your profit, because your first goal must be to get back your initial investment. Chip away that initial capital investment, by taking 5% here and 10% there, until you made back 100% of your initial investment. Hoarding in the long-term might be convenient for some people, but the safe option is to take back small percentages in profits, until you get all your initial investment back. I use that profit to buy some goods and pay for some services in Bitcoin, so that I can show something for the risk that I took and for the effort that I put in to invest in Bitcoin.
This strategy helps to oil the Bitcoin merchants gears, by using Bitcoin as a currency and it also helps me to use Bitcoin as an investment tool.
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