Topic: Is a 20% Annual Return good ? - page 2. (Read 773 times)
In a volatile and dangerous market, a 20% yearly return on cryptocurrencies is highly appealing. It requires really high risk management abilities to get those outcomes even if your method appears to work well for Bitcoin, it may be worthwhile to investigate how it works with other cryptocurrencies for asset diversification. Finally, while earnings are vital, we must also preserve them since we know how "safe" and "unsafe" assets in the form of cryptocurrency are.
With my experience in the cryptocurrency market, I decided to develop a short-term Bitcoin spot trading strategy using the TradingView platform and its strategy programming tool. I managed to create a strategy that yields an average annual return of 20% according to backtesting. My question is, is this return acceptable, or in your opinion, what would be an acceptable or good return?
Banks only give a little less than a percent in interest. The Stock Market is giving an average of 8% per year. Bonds give lower return.Tell me you are sarcastic without telling me your sarcastic. Are you sure you asking if this return is acceptable or not?
Well, it's acceptable since 20% return is considered not just high, but very high already. Now the question is, how consistent you are in doing that. Do you think that you can get 20% annually? TBH, in crypto, there is a way to get that return just by doing basically nothing, and that is thru staking. Both trading, and staking have risks. The only difference is that, you don't need to read charts in staking. Just stake your coins, and wait for it to multiply. There are only a few coins that gives at least 20% though, and most of them are low market cap ones. DOT gives at around 14% annually, ATOM gives ~20%, and most of them are coins that I don't even know.
Overall, 20% return is good already, but it will all comes to how consistent you are in getting that return. I guess good luck with your trading journey, and I hope that you will become a successful trader.
With my experience in the cryptocurrency market, I decided to develop a short-term Bitcoin spot trading strategy using the TradingView platform and its strategy programming tool. I managed to create a strategy that yields an average annual return of 20% according to backtesting. My question is, is this return acceptable, or in your opinion, what would be an acceptable or good return?
People always want more. If you have a passive income or a standard business then getting 20% annual return from Bitcoin trading is not bad. But only 20% return will not give you a comfortable life if you want to meet your daily expenses with it. And if you want to live your life with 20% return then you need to trade at least $20k with annual return of $4k which you can live with somehow. So whether the 20% return is applicable to you will depend on your financial status. 20% return is a good return for many but not for everyone
If you can make 20% yearly profit by trading with relatively large amount of money then I will never see that as a bad profit. If you are a good trader and if you have strategy and if you have confidence in yourself that you can make twenty percent profit per year then I will tell you to start trading with more money. When you start trading with more money, your profit will be more at the end of the year. Since with your strategy you can earn 20% profit every year so I think investing more money here is not bad.
As far as I know trading is risky and not only there is a chance of profit but there is a chance of loss along with the chance of profit so definitely plan your trading with this aspect in mind.
As far as I know trading is risky and not only there is a chance of profit but there is a chance of loss along with the chance of profit so definitely plan your trading with this aspect in mind.
With my experience in the cryptocurrency market, I decided to develop a short-term Bitcoin spot trading strategy using the TradingView platform and its strategy programming tool. I managed to create a strategy that yields an average annual return of 20% according to backtesting. My question is, is this return acceptable, or in your opinion, what would be an acceptable or good return?
People always want more. If you have a passive income or a standard business then getting 20% annual return from Bitcoin trading is not bad. But only 20% return will not give you a comfortable life if you want to meet your daily expenses with it. And if you want to live your life with 20% return then you need to trade at least $20k with annual return of $4k which you can live with somehow. So whether the 20% return is applicable to you will depend on your financial status. 20% return is a good return for many but not for everyone 
With my experience in the cryptocurrency market, I decided to develop a short-term Bitcoin spot trading strategy using the TradingView platform and its strategy programming tool. I managed to create a strategy that yields an average annual return of 20% according to backtesting. My question is, is this return acceptable, or in your opinion, what would be an acceptable or good return?
I hope you are also considering the trading fees and taking it into account. I have seen strategies that look good but when trading fees is added it's not that great.
20% return is very good I would say, but only if you are able to make it after all the deductions.
I would be happy with anything more than 15% to be honest. Compounding it over the years would give a good return.
With my experience in the cryptocurrency market, I decided to develop a short-term Bitcoin spot trading strategy using the TradingView platform and its strategy programming tool. I managed to create a strategy that yields an average annual return of 20% according to backtesting. My question is, is this return acceptable, or in your opinion, what would be an acceptable or good return?
You can get an APR of more than 20% on Bitget Flexible savings
Personally 20% annual return is poor and I think that strategy is one that is playing too safe this is with exception to huge capitals. The higher your capital the lower your expected ROI percentage but with a little capital this will definitely not make sense at all, I wouldn't accept a 20% annual return on a $10k dollar portfolio, if it's quarterly it could be considered on basis of consistency.
I don't see it that way at all. Large-scale investors expect average (!) returns of 3 percent per year on projects, e.g. large photovoltaic plants, buildings or large equity portfolios. Anything above 3% is already considered a utopian high and very unlikely profit. I don't understand how you can say that 20% is not very high. Just calculate that over 5 years ...
Of course, with large-scale investors the invested capital is significantly higher than with our trades, but the idea behind it remains the same: To make constant profits and end up with more money than before the investment. If you want to earn more percentages, you also have to take (significantly) more risk, which, however, over a longer period of time can certainly lead to the fact that the overall balance becomes negative.
I was not saying is not but it was more than enough to consider in trading. If someone got it to work consistently, then you can imagine yourself becoming rich a few years from the time you started. But the question is if that really exists in trading. Because with the volatility of the market and especially when bearish comes to happen, you can never expect such ROI. I would tell you OP that no matter what we do, we can't say there is consistency in trading. You may gain huge today but not sure by tomorrow and in the following days, it might be a big loss.
Not just good it is great. The average return of S&P500 since 1930’s is ~10%. If you can generate 20% every year and start with $200k, you will be a millionaire in 10 years. ..
Mate, you have something really bad with math) With a yield of 20% per annum, the OP will be able to earn $40,000 in 1 year. Even taking into account the compound interest, OP will not become a millionaire in 10 years. And what is more likely, he may lose them altogether if his strategy turns out to be wrong.
Year 1 - $240,000
Year 2 - $288,000
Year 3 - $345,600
If he can consistently stay 20% up then it's even possible to become a millionaire in 9 years.
[....]
waiting a whole year to get $2k is not making much of a sense when you have $10k in capital.
You could probably earn more than that just by sitting on an investment depending on the timing. waiting a whole year to get $2k is not making much of a sense when you have $10k in capital.
With my experience in the cryptocurrency market, I decided to develop a short-term Bitcoin spot trading strategy using the TradingView platform and its strategy programming tool. I managed to create a strategy that yields an average annual return of 20% according to backtesting. My question is, is this return acceptable, or in your opinion, what would be an acceptable or good return?
Personally 20% annual return is poor and I think that strategy is one that is playing too safe this is with exception to huge capitals. The higher your capital the lower your expected ROI percentage but with a little capital this will definitely not make sense at all, I wouldn't accept a 20% annual return on a $10k dollar portfolio, if it's quarterly it could be considered on basis of consistency.In as much as we try to be conservative enough not to want to risk so much and not become miserable with losses some percentage on certain portfolio just wouldn't make sense and would look like a joke but for bigger portfolio it will be acceptable as it will definitely make a lot of sense, a typical example would be with a $50millon portfolio 20% per anum is a whole lot and would make a lot of sense as would do when compared to a $10k portfolio per anum that's about $2k, waiting a whole year to get $2k is not making much of a sense when you have $10k in capital.
What if your predictive model doesn't go as you expected if your historical data doesn't match up with the current data, have thought of what will happen as we progress? What if bull run never comes as we approach halving? Have you tested it? I would love your swift answer because it is even better for you to test your model before even making assumptions on the 20% annual tool, you should consider what will happened if this doesn't go as plan, the back up plan except you want people to come after you if it doesn't go as plan.
Another thing is, when I see any return on investment that exceed 5% in crypto is nothing but hype that is scam or will definitely end up as scam, if 20% is a good return, why don't you improve the model and make it work for only you, if you can prove that your model works in trading, there are plenty of loans to push the project to where objective and aims tell you to achieve.
I will tell you for free, 20% is too high.
Yes, he should have created a back up plan because in cryptos, everything here is unexpected even though 20 percent looks realistic for an annual or yearly return, especially if the strategy is a good one. Some past price movements may not repeat again but when it comes to the halving I think it is always followed or there will always be a bull run that can happen after it.Another thing is, when I see any return on investment that exceed 5% in crypto is nothing but hype that is scam or will definitely end up as scam, if 20% is a good return, why don't you improve the model and make it work for only you, if you can prove that your model works in trading, there are plenty of loans to push the project to where objective and aims tell you to achieve.
I will tell you for free, 20% is too high.
5 percent is much lower than in 20 but it all depends on the source of the signals or strategies that we are getting because a scam can happen no matter what is the values they are presenting. If he can't prove the credibility of this model, then I doubt even he himself will try it.
However 20% per year by investing in bitcoin should be possible as even a single trade could be enough to get that amount if you are able to enter at the perfect time, what we do not know is if such a strategy is sustainable, as bitcoin has not existed for long enough to know if this is the case.
With my experience in the cryptocurrency market, I decided to develop a short-term Bitcoin spot trading strategy using the TradingView platform and its strategy programming tool. I managed to create a strategy that yields an average annual return of 20% according to backtesting. My question is, is this return acceptable, or in your opinion, what would be an acceptable or good return?
That's a crazy ROI, if you asked me. That's if you meant that the strategy would run on its own and you as a passive partner to earn passively. In simpler explanation, what that translates to if I were to put a figure to it is this – 20% on $100,000 as return on investment is $20,000. That's very enticing for anyone who would earn passively.If I've a strategy like that and I ain't trading it actively by myself, I would consider 20% a great deal. However, if I'm trading it myself I want to earn higher than that. This is because I will be throwing in my all and wouldn't have the luxury of other commitments like I would when I'm earning passively.
Not just good it is great. The average return of S&P500 since 1930’s is ~10%. If you can generate 20% every year and start with $200k, you will be a millionaire in 10 years. ..
Mate, you have something really bad with math) With a yield of 20% per annum, the OP will be able to earn $40,000 in 1 year. Even taking into account the compound interest, OP will not become a millionaire in 10 years. And what is more likely, he may lose them altogether if his strategy turns out to be wrong.
Not just good it is great. The average return of S&P500 since 1930’s is ~10%. If you can generate 20% every year and start with $200k, you will be a millionaire in 10 years. That’s x5 return and it beats the inflation... The question is, can you do this every year? Maybe you think %20 is a low number. That happens when you invest a lot in crypto but for the traditional investments, 20% annual returns is a lot and usually unsustainable. If you somehow found a way of making 20% every year, don’t let it go. You are basically printing money.
True. Imagine if you have million to as a starting capital and there's no way that you will lose. I'm sure that strategy would be the greatest strategy of all time if it's an assured 20% annually. But yeah, the consistency is surely uncertain. We don't have a clue how does the strategy work but if I were have that kind of formula and I know it's working, I will continue doing it since I believe it's a good return. The only enemy you have in this kind of strategy is the greediness that is hiding with in you, maybe one day, 20% isn't enough for you and you want to increase it. 
Not just good it is great. The average return of S&P500 since 1930’s is ~10%. If you can generate 20% every year and start with $200k, you will be a millionaire in 10 years. That’s x5 return and it beats the inflation... The question is, can you do this every year? Maybe you think %20 is a low number. That happens when you invest a lot in crypto but for the traditional investments, 20% annual returns is a lot and usually unsustainable. If you somehow found a way of making 20% every year, don’t let it go. You are basically printing money.
...I prefer the spot market because it's more comfortable and aligns better with an investment approach. I mention this in case anyone was considering it.
In this case, you miss about half of the opportunities when the market is in a downward movement. I think that you will rethink this over time and will trade futures with at least a minimum leverage of x1. In the end, it's almost the same as spot trading.
If you open a short position with x1 leverage, then your position will be liquidated by the exchange only if the price reaches zero. As you understand, this is practically impossible not only for Bitcoin, but also for most of the top altcoins. And if indeed the price reaches zero, then your spot position will also be virtually liquidated.
What if your predictive model doesn't go as you expected if your historical data doesn't match up with the current data, have thought of what will happen as we progress? What if bull run never comes as we approach halving? Have you tested it? I would love your swift answer because it is even better for you to test your model before even making assumptions on the 20% annual tool, you should consider what will happened if this doesn't go as plan, the back up plan except you want people to come after you if it doesn't go as plan.
Another thing is, when I see any return on investment that exceed 5% in crypto is nothing but hype that is scam or will definitely end up as scam, if 20% is a good return, why don't you improve the model and make it work for only you, if you can prove that your model works in trading, there are plenty of loans to push the project to where objective and aims tell you to achieve.
I will tell you for free, 20% is too high.
Yes, he should have created a back up plan because in cryptos, everything here is unexpected even though 20 percent looks realistic for an annual or yearly return, especially if the strategy is a good one. Some past price movements may not repeat again but when it comes to the halving I think it is always followed or there will always be a bull run that can happen after it.Another thing is, when I see any return on investment that exceed 5% in crypto is nothing but hype that is scam or will definitely end up as scam, if 20% is a good return, why don't you improve the model and make it work for only you, if you can prove that your model works in trading, there are plenty of loans to push the project to where objective and aims tell you to achieve.
I will tell you for free, 20% is too high.
5 percent is much lower than in 20 but it all depends on the source of the signals or strategies that we are getting because a scam can happen no matter what is the values they are presenting. If he can't prove the credibility of this model, then I doubt even he himself will try it.
...I prefer the spot market because it's more comfortable and aligns better with an investment approach. I mention this in case anyone was considering it.
In this case, you miss about half of the opportunities when the market is in a downward movement. I think that you will rethink this over time and will trade futures with at least a minimum leverage of x1. In the end, it's almost the same as spot trading.
it is good. 20% per year is the same as if you were a safe investment. if this is some kind of staking I think it is worth it and it is definitely low risk unlike most which use high APY. unless it's trading for 20% annually, that's too little. I think it is better to take even 200% more if it is in the annual term because it is long term.
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