Topic: How not to lose money after a dump - page 2. (Read 406 times)

Wise, greedy actions only make poor and bankrupt.
after the dump to do is stop los or cut lose. but if you want to continue then make a purchase to back up.

I don't get why you say we need to be professional.

If you aim at scalping/daytrading then yes, that's for pros.

But HODLERS can be even kids and they make profits in this era.
Look at how much the BTC price grew up year after year.

If a kid bought $500 worth of BTC one year ago without selling, he would be having fun now.
It's that easy: buy and hold for 1-2 years.

The cryptomania has just begun and has a long way to go.
It's stupid to sell now, you need to learn to hodl at least 1 year

They think that if you invested in bitcoin you will earn a profit easily after you invested, Investing in bitcoin is not easy you need alot of skill and patience to become successful and you need to control your emotions on every situations like this.
You need to study trading before entering this game but your hardwork is worth because you can earn alot of profits here when you're already professional trader, That's the reason why other saying that bitcoin are shit due to lack of patience and lack of knowledges about crypto.

Just dont put everything you have in crypto. Diversify.

Bitcoin is still far from being a currency that you can use everyday.

I think that first mistake that people make when invest in Bitcoin is that they expect only profit and they are very disappointed when the situation turns out different.
There is no investment that only brings profit. So from the start you have to have the strategy what to do when price starts falling and how will you deal with losses.
You have to know clearly what will you do on long term and short term strategy.
Always diversify your investment, don't expect miracles to happen and count with losses.

This seems fun, let me be the devil's advocate once


So loving tulips means you're ignorant?


I think that at least 1% of this forum can copy paste a bit of code and create a coin.
I doubt that 0.1% of them would be able to cultivate a few flowers.


You use Gargamel math
The price was 20 000, it went down to 5000, but you don't consider it a 75% drop but a 300% drop.
15000/5000 stuff.


How , by wiring money via banks to buy BTC.
Trading like the FTSE?
Storing your coins in an online wallet like a bank?
Since 2013...I still have to see a real "change". But none happened.

The one that changed...was BTC

Either they are trading on margin or they are referring to 100(1 - 100 / 350) = 72.4% loss. The loss was actually 72.4% but they're calling it 350% because if they had sold at the top and rebought at the bottom, they would have 350% more coins, like me.

How can you have a -350% loss? Doesn't make mathematical sense.

No good holding everything you've got in bitcoin. You've got to have a time to cash out and a time to buy, as a speculator. No speculator ever hangs onto their entire portfolio and not liquidate one single asset.

While I do agree with spreading a portion of your portfolio into cryptos, and hold that for the long term in case SHTF, you can probably be a lot smarter than just holding. It's obvious problems that people aren't experienced with the markets and blindly investing, then panic selling as the markets go down. But holding until you make a profit not always works in practice.

Too many people think that bitcoin is something like tulip mania. But they forget that crypto is changing the financial world. But tulip mania had nothing to change. So this is not same. Crypto is changing the world financial structure.

that may be true but from what i see, it is not just because of fear or FUD,... it is because the bitcoin market is filled with newbies playing at trading while they don't understand what they are doing. so they panic sell and panic buy and cause a chaos like this.


i don't know how you calculate drop but when you are talking about "price drops in percentage" it can not be anything smaller than -100%! and -100% means going to zero.
the calculation is simple too:
since price2 can not be lower than 0 (bitcoin can not be worth -$150 for example!!) the result is at least -100%

Thank you , but if we know the market will be dumped before it will happen which should be very great.

Different people have different way of thinking on how to deal with the price dump. Honestly, it's not our responsilibity to tell those people who are not used to experienced crash about what should they do during a crash. For me, it's better that they made some mistakes or wrong decision because that will served them as reference for making a good and better decision in the future.

Just hope so that after dealing with price crash for long, they really learned.

---

-Take the risks

-Fight with your emotions

-Patience

-Don't panic for less margin decrease

But I will asked you first, why should you hold? You will automatically know what is the best solution.

 

Hold, hold , hold...
What can we do ? Anyone has better solution?

Democracy has nothing to do with algorithms. Democracy is about the community having a vote.

With bitcoin, teh community has no say, they've been protesting about fees for about a year and the small elite that controls bitcoin ignored them.

Bitcoin fees have now fallen - but only because transactions are at 2016 levels. People have switched to using alts. Voting with their wallets. I guess that's a form of democracy.

Tulips
They felt in love because they were ignorant in those days. Tulips can be cultivated almost anywhere so that price pump made no sense if they were not ignorant.

Gold
At least it is scarce as well, you cannot create/cultivate it.


Bitcoin

It is not tangible, right. But you omitted something: is USD tangible ?
USD is even worse: its supply and public debt are determined by a few individuals, by just writing a number on a computer !

At least BTC supply is "democratic", it is done by an algorithm.

OP, your analysis is clouded by emotion and your fondness for bitcoin.  The fact is that while it's great that bitcoin is bankless and government-less, the world would be just fine without it, and it's sometimes worse than fiat. 

Tulips did have a use as ornamentation and people fell in love with them back in the mania days.  Gold is similar--people love it but it doesn't have many practical uses.  Bitcoin isn't even tangible.  So watch out.  A lot of investors think like you do during bubbles, that [insert bubble asset here] is different, that it's not like all the other bubble assets.  And invariably they turn out to be mistaken.   

I don't know if crypto is truly in a bubble, but people sound a whole lot like suckers sometimes, and it makes my skin itch when I'm holding bitcoin.

There's a big pump&dump every year, we have seen this story to repeat every year since BTC was born.

When it pumps, it pumps more than it did the previous year.
So when it dumps hard i just HODL and don't care.
Even if it drops to $1k today.

Now, is this a good strategy?
Why many get scared and sell?

Because of their typical fears:
Crypto can drop to 0 overnight , it is a temporary trend.
Crypto is like Tulip mania https://en.wikipedia.org/wiki/Tulip_mania
blah blah

I think those phrases are a totally wrong analysis.
You simply cannot mix different assets and think they have all the same potential.
You cannot say Tulip Bulb = Gold = Bitcoin just because "an asset is an asset, they are all the same and can go to 0".

They are different, some of them are likely to be worth nothing and drop to 0 with no recover, other will never do that.
Every asset has different properties that determine their potential to grow or drop.


Tulip bulb had no potential
No intrinsic value: it's not scarce, it can be found in many places, PLUS does not have an actual use, totally useless.
What are the reasons why the price pumped?
Just marketing and no substance. Doomed to failure.

Gold has potential
it is scarce, PLUS this metal is used in tech industries due to its properties , so it has an actual use as well.
Try asking yourself why every time there's a big international war/threat, everybody buys gold and it's price goes up.

What about Bitcoin ?
it is somewhat scarce due to the supply limit,
PLUS it is a big technological and social/economical revolution.
It is not made just for speculation, as its creator made it for one specific and useful purpose : free the people from poverty and gov tiranny.
So it has a HUGE actual use as well

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The price dropped by -350% ?
HODL and go to sleep for one year

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