Investing Urge or Trading Surge - page 2.

goldade

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The Standard Protocol - Solving Inflation

Quote from: pawanjain on April 29, 2021, 09:39:02 AM

So I am in a situation where I have found a potential project I can invest in for the long term and gain huge profits.
At the same time the current market seems the correction is over and another bull run might start.

I am having an urge to invest all that I can in the potential project I like but it is also a good time to diversify the portfolio and trade some nice coins to gain short term profits.
What would you guys do if you were in such a situation ?

@mk4
how long you're planning on holding
I can hold very long. Let's say 15 years or so.

what your other investments are(inside and outside crypto)
BTC and ETH
Little amount in Mutual Funds

what your asset allocations are
Not sure how would I describe that

what your trading strategies are
More of swing trading. Buy the dip, wait for a good price to sell (time doesn't matter)

what your risk appetite is, and how much money you can afford to lose
I can afford to lose not more than 25%

Since you intend to invest in that project for a very long time, it is wisdom to know that it is necessary to provide a means of income that can provide for short term needs. Personally, if you'd ask me, I'd say that the best option in this situation is to diversify.
I'd say you invest a large percentage of it, say 70%, into that project and the remaining 30% into active trading to make some short term profits.
Secondly, it's too risky to put all your eggs in one basket. It's very easy to lose all in the case

perfect999

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Quote from: usekevin on May 02, 2021, 01:37:44 PM

If you had planned to inverse money in cryptocurrency,you should skip of stock market.If you start to believe something,kindly believe it fully and hold till it recover.Don't exchange money from the invested asset for the emergency need.It should be skipped to avoid of loss.Mostly the new traders do this and suffer a lot after the mistake.To escape from loss,patience is needed one in trading.

But, I don't think there will be any mistake if anyone will be investing/trading both in stock and crypto at a time. It means you can be successful even in these two sectors if you are planning your investments or trading properly. There is nothing here about believing in to one thing completely; you can believe into two things completely because that will be more profitable for you.

I suggest anyone to go for both investing and trading at a time because it will give you more chances to make good profits regardless of what will be the market conditions.

wiss19

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Is the project really that good? If it’s as good, then you can invest in it. And by the way, you said you’re into swing trading and then you also said that you can hold for fifteen years. If what you’re doing is swing trading then you don’t have a specific time and can sell even at the shortest time once you have made a profit.

And moreover it would be good if you have mentioned the name of the project, I think the community can help you look at it, unless you’re already confident enough that it’s a good one and you don’t have to ask. And try to control your urge, don’t spend on the asset too much than you can afford to lose, know your risk level that you can take and stick to it.

andthereyou

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Quote from: pawanjain on April 29, 2021, 09:39:02 AM

So I am in a situation where I have found a potential project I can invest in for the long term and gain huge profits.

That is a good idea.

Quote from: pawanjain on April 29, 2021, 09:39:02 AM

At the same time the current market seems the correction is over and another bull run might start.

Many cryptocurrencies are still in the bullrun. (chuckle)

Quote from: pawanjain on April 29, 2021, 09:39:02 AM

I am having an urge to invest all that I can in the potential project I like but it is also a good time to diversify the portfolio and trade some nice coins to gain short term profits.
What would you guys do if you were in such a situation ?

I think diversifying your portfolio is the best thing to do. For me it's too risky to put all your capital in one emerging project or something similar. Invest some in the existing coin with real use cases.

tygeade

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Quote from: Vaculin on May 03, 2021, 06:03:26 PM

Quote from: Scripture on May 03, 2021, 05:11:31 PM

I’m not into trading that much because I have a limited time in the market so I tend to buy and hold for a specific period of time. Most of the time I took profit as early than expected because of some circumstances so I don’t think I can hold for straight years because I believe the market will always pump and dump, so taking profit at the top and buying at the bottom is my priority, this is a smart hodlers for me.

That is depending on our preference and we make decisions depending on what we think is right. Besides, there is no urge for everyone to do long-term holding nor to have a short-term goal also. That is how important to analyze the market trend, we don't hold if necessary and we do selling also if it is a need. We don't need to be a hero and save the market and hold even it dumps, it is an option to sell just to save some rather than to lose it all.

But in my opinion, if we are holding bitcoin then definitely we are contributing for the growth of bitcoin ecosystem overall. Holding is not only benefiting the holder but it will lead to a sustaining future for everyone. Still it is individuals' preferences like when someone is desperately needing money, we cannot expect them to be persisting with their all holding.

Like some other people have mentioned above, we should build our portfolio with the mixer of both investing and holding; it's a kind of diversification that will definitely lead to big benefits over the time rather than just depending on only one.

CryptopreneurBrainboss

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Quote from: pawanjain on April 29, 2021, 09:39:02 AM

I am having an urge to invest all that I can in the potential project I like but it is also a good time to diversify the portfolio and trade some nice coins to gain short term profits.
What would you guys do if you were in such a situation ?

Do understand that none of the idea I'll share here are that of a financial advisor and they shouldn't be considered as an investment idea either. They're just ordinary ideas therefore you shouldn't based your decision on what I have said. Having said that, I understand you intend holding that coin for over 15years, that's a very long time and there would definitely be some ups and downs moment for the project.

Instead of locking up your funds right now, you can do the other which is trading some quick profits taking coins as we're in the bull run and everything is green. You can make some profit that'll contribute the the funds used in investing in that project if your choice.

Or probably instead of going all in now, you can fractions your capital, used some for investing and others for the trading, as you make more you reinvest in the project over time.

Vaculin

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Winding down.

Quote from: Scripture on May 03, 2021, 05:11:31 PM

I’m not into trading that much because I have a limited time in the market so I tend to buy and hold for a specific period of time. Most of the time I took profit as early than expected because of some circumstances so I don’t think I can hold for straight years because I believe the market will always pump and dump, so taking profit at the top and buying at the bottom is my priority, this is a smart hodlers for me.

That is depending on our preference and we make decisions depending on what we think is right. Besides, there is no urge for everyone to do long-term holding nor to have a short-term goal also. That is how important to analyze the market trend, we don't hold if necessary and we do selling also if it is a need. We don't need to be a hero and save the market and hold even it dumps, it is an option to sell just to save some rather than to lose it all.

Scripture

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I’m not into trading that much because I have a limited time in the market so I tend to buy and hold for a specific period of time. Most of the time I took profit as early than expected because of some circumstances so I don’t think I can hold for straight years because I believe the market will always pump and dump, so taking profit at the top and buying at the bottom is my priority, this is a smart hodlers for me.

Tomiwa_akin

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you will need to diversify but at a smaller ratio. just ten percent of your portfolio should be your diversification. thats the pattern i use. you dont need to hold much token but you need to buy a little of any potential coke you hold.

DarkDays

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Quote from: mk4 on April 29, 2021, 09:44:51 AM

We have no idea:

how long you're planning on holding
what your other investments are(inside and outside crypto)
what your asset allocations are
what your trading strategies are
what your risk appetite is, and how much money you can afford to lose

Unfortunately only you can answer this.

I agree that with an answer to the above points you will better know what would be more appropriate for you.

With complete disregards to personal circumstance, I would always advise a strong portfolio diversification.

If a project is crazy good then go for it but don't lose sight of what's exactly right under you.

Fredomago

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Quote from: Ziskinberg on May 03, 2021, 10:28:09 AM

Don't get too much emotional because what you see is might different 10-15 years from now.

Good point, there's also chances that what we are expecting to happened might not favor us, future always have surprises.

Quote

Think about how volatile we are and you can't assure that particular project will give you something big profit in the future if you will hold.

But also review and assess what happened 10 years ago, if the market continue being progressive the chance still high to gain good compensations.

Quote

As have you said that you are willing to hold for 15 years and the question is if that project will still exist?

Then the process of doing your research and analyze the project is very important, holding long term assets needs strong foundations.

Quote

If that you wanted to hold that long and can afford to do that, much better to choose Bitcoin or Ethereum, or BNB, not new projects that have not been proven and tested yet.

Top 3 crypto that already have big supports from, investors, developers and traders. Huge chance to succeed.

Sinjokubhi

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Sinjokubhi

Quote from: pawanjain on April 29, 2021, 09:39:02 AM

So I am in a situation where I have found a potential project I can invest in for the long term and gain huge profits.
At the same time the current market seems the correction is over and another bull run might start.

I am having an urge to invest all that I can in the potential project I like but it is also a good time to diversify the portfolio and trade some nice coins to gain short term profits.
What would you guys do if you were in such a situation ?

@mk4
how long you're planning on holding
I can hold very long. Let's say 15 years or so.

what your other investments are(inside and outside crypto)
BTC and ETH
Little amount in Mutual Funds

what your asset allocations are
Not sure how would I describe that

what your trading strategies are
More of swing trading. Buy the dip, wait for a good price to sell (time doesn't matter)

what your risk appetite is, and how much money you can afford to lose
I can afford to lose not more than 25%

In my opinion, even though it is a very good and promising project, don't invest it all. Invest according to what you can afford to manage, because there are many other needs later, so you can use 50% of your shares or assets to invest in the project. Not hoping badly, but unexpected events are true, we just need to prepare for it, because sometimes we do not escape from a mistake.

For short-term trading, don't get too obsessed with it. When you have started trading our money, don't expect to get big profits, think about the risks. Usually, the money I will trade, I consider lost and it is not mine if I lose later. To avoid regretting excess and causing stress later, don't trade money that you are not prepared to lose. Trade money fairly, don't really want to get big profits, so we don't think about the risks that will await.

Ararbermas

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Invest what amount you can afford to lose that's all i can say., because on this matter only those hodler who really sacrifice and take all the risk can achieve their goals and succeed when it comes investing especially for long term.. "Except those experts because they are good on it no need to worry." Lol
But when it comes beginners? Its highly recommended to take advantage with some trusted projects or coins such what you've mentioned above because for sure you can make profits even long term. Unlike unknown project or new emerging projects wherein unpredictable and the best suggestion to it is to invest what you can afford to lose only because its so skeptical.

Ziskinberg

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Activity: 3010

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Don't get too much emotional because what you see is might different 10-15 years from now. Think about how volatile we are and you can't assure that particular project will give you something big profit in the future if you will hold. As have you said that you are willing to hold for 15 years and the question is if that project will still exist?

If that you wanted to hold that long and can afford to do that, much better to choose Bitcoin or Ethereum, or BNB, not new projects that have not been proven and tested yet.

RealMalatesta

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Quote from: wahyu wida on May 02, 2021, 10:30:29 AM

besides we focus on certain coins, indeed holding other coins will share the worst risk, so we won't panic if one of the coins is dumped.

The key advantage of diversification is spreading out risk factor. So, it is always advisable to hold more than one coin still holding bitcoin in bigger percentage will not affect you in any negative manner. Right now I am holding more than 10 coins and tokens but holding bitcoin for more than 70% of my portfolio.

Quote from: wahyu wida on May 02, 2021, 10:30:29 AM

one more thing that I think about, when there is a pump, then I will immediately release it to take advantage, because I don't like investing in the long term

For the case of most altcoins, your strategy must be the right one; for example I missed to book profits in ada when it was trading around 3k satoshi but right now it is trading around 2.3k satoshi which makes me still holding it.

Quote from: FanEagle on May 02, 2021, 05:10:09 AM

I am seeing getting into both investing and trading as a kind of diversification

That must be kind of new interpretation of the diversification. I appreciate that. But not sure it will be viable for me because I'm not focusing on trading but only investing.

usekevin

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If you had planned to inverse money in cryptocurrency,you should skip of stock market.If you start to believe something,kindly believe it fully and hold till it recover.Don't exchange money from the invested asset for the emergency need.It should be skipped to avoid of loss.Mostly the new traders do this and suffer a lot after the mistake.To escape from loss,patience is needed one in trading.

wahyu wida

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Quote from: FanEagle on May 02, 2021, 05:10:09 AM

Quote from: crwth on April 29, 2021, 10:11:51 PM

Always keep in mind that you can put it all in one and get a promising return, just like the investor who puts his life savings in doge and becomes a millionaire. It can happen if your promising project is like that, but you have to be firm on your decision because it doesn't happen to everyone.

Not just you, I am seeing lots of other people as well are taking wrong example with dogecoins. I am completely contradicting here for two reasons. I never suggest anyone to go with all in one, even with bitcoin-ling-term investments. Diversification is more important to ensure sustaining profits among all market and other scenarios. The second one is, what dogecoins provided to its investors is something mythical and it may again happens only in dreams.

I am seeing getting into both investing and trading as a kind of diversification; so going for both at your comfortable percentage will ensure your progressive growth in your networth.

I have the same thought, we don't know when doge will repeat history and soar higher. besides we focus on certain coins, indeed holding other coins will share the worst risk, so we won't panic if one of the coins is dumped. and one more thing that I think about, when there is a pump, then I will immediately release it to take advantage, because I don't like investing in the long term

Kocret02

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Quote from: pawanjain on April 29, 2021, 09:39:02 AM

how long you're planning on holding
I can hold very long. Let's say 15 years or so.

15 years ? that means you are sacrificing the moment dump that happens all the time. I thought wasn't that too long for a hold? I prefer to hold but when the price goes up you can sell and take your profit.

FanEagle

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Quote from: crwth on April 29, 2021, 10:11:51 PM

Always keep in mind that you can put it all in one and get a promising return, just like the investor who puts his life savings in doge and becomes a millionaire. It can happen if your promising project is like that, but you have to be firm on your decision because it doesn't happen to everyone.

Not just you, I am seeing lots of other people as well are taking wrong example with dogecoins. I am completely contradicting here for two reasons. I never suggest anyone to go with all in one, even with bitcoin-ling-term investments. Diversification is more important to ensure sustaining profits among all market and other scenarios. The second one is, what dogecoins provided to its investors is something mythical and it may again happens only in dreams.

I am seeing getting into both investing and trading as a kind of diversification; so going for both at your comfortable percentage will ensure your progressive growth in your networth.

crwth

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https://linktr.ee/crwthopia

What mk4 said. And mostly, you should follow your gut and belief and only blame yourself for your mistakes.

If I were in your situation and have funds to invest in anything that I want, I would allocate it in different percentages. So based on your answer that you cannot afford to lose more than 25% of your portfolio, I think, the best way.
*Not a financial advice

Determine your priority projects: 50%
Determine your interested project: 25%
Bitcoin: 25%

You could play with any amount and percent that you want, but I think this is ideal for diversifying your portfolio with different assets.

Always keep in mind that you can put it all in one and get a promising return, just like the investor who puts his life savings in doge and becomes a millionaire. It can happen if your promising project is like that, but you have to be firm on your decision because it doesn't happen to everyone.

Topic: Investing Urge or Trading Surge - page 2. (Read 427 times)