Topic: Don't follow the trends, work with price actions - page 2. (Read 398 times)

Bud, this was literally me back when I was still starting. I even thought that the whole action in crypto is regulate by some third party, turns out I was wrong all along.
What it led me into?
- Panic selling
- Buying unconsciously. I can even recall those days that I bought cents worth of shit coins just to keep me "at peace" knowing that I still have some coins being held. It kinda became dusts.
- Misc. bad decisions.

In the end, there is just no way that these predictions are hundred percent going to be true. No one "purely" dictates the price. It's just the usual basic supply and demand.

In the short-term, it could be trend but in the long-term it isn't. Back in 2010's, Bitcoin was not in the trend, who knows that Bitcoin would reach this far.

That is why it is called a trend, it comes and goes and does not really settle. In my observations with some of the new investors in Bitcoin, or people new to cryptocurrency, in general, they rely heavily on market trends without seeing the volatile history of Bitcoin. Either they did not do sufficient research or were following crypto influencers and they end up being shocked when the optimistic predictions are just that - predictions. If they have done even just a minimal inquiry about Bitcoin, they will quickly see that it is not a get-rich-quick scheme.

Great points! Trends can be useful indicators, but they should not be the sole factor in making investment decisions. It's important to also consider other factors such as news, regulations, and the overall market sentiment. Using a combination of trend analysis and price action analysis as you mentioned above can provide a more comprehensive understanding of Bitcoin's movements and help make informed trading decisions.

In addition to that, conducting thorough research and being cautious of false information (FUD's) can also help mitigate risks and avoid making wrong decisions.

don't we often read that 95% of traders experience defeat. only a few traders know about the market, but how can we know what transactions people around the world will make. but not a few traders who are successful because of trading, they can treat the market as a teacher and we will continue to learn from the market, so this is another way of investing. whereas volatility is caused by buying and selling transactions that attract each other, and up and down movements are formed in the market

Trends are good indicators because demand simply controls the market price. What's wrong is to sit on a trend wherein it is a changing factor in the first place. Trend is a good indicator but for a short period of time unlike with price actions which determines the trend. Both are valid I guess, it is just the application of these two which results to wrong doings of investors and traders.
Price correction occurs in every ATH. Maybe if you cannot see it, you are in the wrong time frame. Daily and weekly time frames would show a more detailed price actions. But that is indeed true; good price actions lead to good price trends.

In a decade that has been more than Bitcoin, it has been proven that as time goes by, the value of Bitcoin increases, what most people thought were negative about Bitcoin, almost all of them were disappointed in their predictions.
So traders predict where the price is going based on what is actually happening in the market, in short you are right in what you said, you should not go along with the fashion or trend because you are no different from a gambler who bet who just relies on what was said or seen

True, because Bitcoin has a special nature that is volatile so we must follow price action so as not to get caught when a decline occurs, because we year not all predictions will always be right and many are against the flow of Bitcoin because they rely on trends, and some investors do rely on trends for momentary profits, but we must know that trends and second price action we must rely on when investing because both are indeed ways to profit in Bitcoin.

Point of correction, BTC hasn't been around for decades, and also, I do not know what you mean by procedure to be followed so that trading account shouldn't be drained..I would appreciate if you throw more lights on this.
Personally, as much price action is good, trends is equally important. That's because, for every trend, people are making money, so you can tell them trend is bad.

And only with analysis can we determine the time to buy and sell, while people who only predict where prices will move will find it difficult to determine. But don't forget that greed must be strictly controlled in trading. Otherwise, we will miss good moments to buy and sell.

We can follow trends in the market, but we should also analyze to find out what's really going on. Most traders just wait for signals from other people and don't want to analyze them so if we do the analysis ourselves, it will be an advantage for us because we know where the price will move.

And it's best if people who trade don't think that trading is a quick way to get rich. They have to realize that there are times when the market will go up and down and that can be known from their analysis so they can determine what to do.

To bad for doing trades base on our luck since to many events will happen to the market and we cannot get huge chance to win if we don't know anything about latest happenings. Much better be more speculative and resourceful since from this you can learn a lot from those things then also you can plan your next action base on current sentiments made by majority. We cannot accurately say we can earn with this but at least we have good insights on what possible things might happen.

I am of the opinion that the most important indicator that can tell us about changes in the market is the trend. It is global trends that can show whether the situation on the market is capable of changing, or whether it will continue in the current direction.

it can be difficult to work with local trends and we do not need it if we are long-term investors, and not short-term traders. The fact that traders expected the price to rise to 100k was just their forecast, they themselves always say that you need to act according to the situation on the market, if it changes, you need to be able to read the market in a new way. And the trend is exactly what will allow us to capture this moment when the market is preparing for changes.

It's not by force to trade, and yes future trading will drain your account if the market goes against you, I have use spot trading to make a lot of money and that's because I use large amount of money for small gains and those small gains comes in handy for me every week, spot trading is less risky because it's all about timing, try to buy at a low price and sell at a small recovery even if it's just 5 to 10 percent.

If every Bitcoin investors have the same price target for Bitcoin many people will get burn before the price happens, influencers screaming 100k Bitcoin have to do it because some people must believe in 100k per Bitcoin for them to be able to sell and take profit under 100k per Bitcoin, it's a grand playing scheme, in Bitcoin space some people lose so that others can win.

That's what traders do normally, they predict the market based on historical prices, patterns, news, and any other things. They do that to increase their profit cause if we only trade using our luck only we just like to gamble our money out there. We can't 100% accurately predict where the market movement but at least by doing analysis we have a reason why we sell and why we buy.

It's actually neither of those. It's presented by a few as a get-rich-quick scheme because there were a good number of people who were holding or had Bitcoin in forgotten wallets since its early days. Nowadays, while there's still decent earning potential, it's far from making someone rich unless you're already wealthy enough. The average person now can't afford to purchase a single Bitcoin, and even if you do, with it now costing an approximate $28,000, it'll be worth $100,000 or $200,000 in the best-case scenario in the next few years, which is far from being rich, especially in the U.S.A. Thus, it's almost impossible for most of us to acquire a single Bitcoin now, and even if we do, it doesn't even get us close to being wealthy or guarantee us that the price will reach the said predictions; it's probable but definitely not certain.

As for the OP, Bitcoin has been around since 2009; that's a little more than a decade, let alone several decades like you mentioned.

Why do we invest in bitcoin and not gold or real estate? Most of us enter the market because bitcoin's returns are larger and bitcoin's growth period is shorter than other investments. So there is partial truth in saying that investing in bitcoin is a get-rich-quick way, even though it's not comparable to shitcoins.

The capitalization of bitcoin accounts for half of the total capitalization of the crypto industry, this is a huge number that no project can compare, but it is nothing compared to the capitalization of gold, over 11 trillion dollars and 80 thousand billion dollars of the stock market. That's why they view bitcoin as riskier than other traditional assets. We are bitcoin investors, we always want the best with bitcoin. But we need to be realistic to avoid serious damage. Bitcoin is still at risk even if it crashes, don't be too subjective.

Saying that Bitcoin has been around for decades is a huge stretch because it hasn't even been around for two decades yet. As for the market having any sort of design, that's also not true: the market merely represents demand and supply, and it is volatile, but no procedures can be followed to make it more stable. Also, Bitcoin did disrupt the trading market, rising in a matter of less than two decades from less than a dollar per coin to dozens of thousands of dollars per coin.
Finally, as price action "generally refers to the changes of a security's price over time", it's worth noting that Bitcoin is clearly moving up over the years, albeit with temporary setbacks along the way.

Damn right. Bitcoin is not a get rich quick scheme. You will probably get rich if you hold long enough but it is still not 100% risk free. Bitcoin recovered from the worse crashes in the past and this one will be no different imo. The recent events like ordinals will get solved by the devs and bitcoin will be a cheap and fast network again. BTC's marketcap is half a trillion US dollars at the moment. It is too big to fail. Bitcoin can't fail even if it wanted to.

Bitcoin business is not getting Rich quick, but get rich is sure, just a matter of time and also the amount you invested in the Bitcoin or other alt-coins, and what matters again is the entry point of buying matter's a lot in cryptocurrency market, which everyone needs to know when to buy at the bottom line, which is also determine the profits return after the investment.

How is trading bitcoin or trading in general "disrupt" any market at all? Trading has existed since the dawn of humanity. How is it any different today? Trading will always exist as long as there's a market.


Also, today I learned: Bitcoin has been around for several decades already/s

There is an applied strategy of emotional control, but that's not the case here. I practice this emotional control strategy when I am day trading; I know when to stop and when to start, and when to call it a day regardless of whether the trade is in my favor or not. That's where emotional control comes in. I have to control my emotions when I am losing a trade in order not to incur more losses. I also have to control my emotions when I am having a bad day, either with other work activities or with something around me. This is where I have to also control my emotions and not transfer them into trading, which poses a higher risk and trait to every trading practice.

I agree with the greed part. I call it control of greed: me not being too greedy, which might result in me leaving myself with nothing because of a higher expectation of a higher profit. Because I have seen a craze bull run, instead of sticking to my mapped-out take-home profit decision, I started longing for more profit (greed). What I do most times is this. Let's say, for instance, I bought $1k worth of Bitcoin at $16,000 per BTC, which should give me 0.065 BTC, and my target is to sell when the BTC price hits $20k, which should give me an extra $300 as profit if I ever hit my target. In the process of waiting, I see a quick bull run, and I meet the price at $21,000, which is more than what I have been expecting. Looking at the market price chart, I believe that the market will go up higher again. The best thing for me to do at that point is to share my holdings into two parts: sell one part and take both my profit and my invested capital, and hold the rest. By watching the market closely, if the market is to go higher, I will still gain more, but if the price is to drop a bit lower, I will also use the sold-out funds to purchase more and add to my holdings.