Hey,
Few questions there mate.
1 - If you plan to hold coins long-term then it's always recommended you transfer them OFF an exchange. When you store them on, for example, a desktop wallet, make sure you back up the .dat file and private key off-premise.
2 - All coins have crazy swings, even ETH. Also if you're transferring funds around to different exchanges it can get costly when sending BTC. A good method is to buy LTC with the BTC, send the LTC to new exchange, and sell it for BTC.
3 - The price of alts is based on BTC, so if your alt is worth 1000 sats and the price of BTC goes down, then the dollar value of your alt has gone down (but not the sat value).
Hope this helps.
-Knightly
Topic: Noob Trading/Hold & other possibly dumb questions (Read 115 times)
Noob here. Excuse the ignorance. I have a few questions if you don't mind answering.
1. If I have a few alts that I already know I want to roll the dice and HODL for long term. Sink or swim. Should I transfer to a private wallet? As opposed to leaving on the exchange? Does it make a difference and how?
2. When trading alts is it wiser to buy say ETH over BTC first due to the extreme swings in BTC? I just know I have got caught in a BTC meltdown waiting on BTC to be transferred to the exchange and of course lost value in that transfer time. Just curious how you all thwart this.
3. And I want to be sure I am fully understanding this properly. Let's say I purchase BTC at $14,000 USDT. I then transfer that BTC to exchange to purchase ALTS. I purchase $14,000 in alts lets say for ease of math purposes. Let's now say BTC goes to $13,000 and my alt goes to $15,000 and I cash out of both the alt and BTC. Did I just break even? I know this may sound like a very dumb question lol but I am just wanting make sure I fully understand what I am doing here. So go easy on the replies please.
1. If I have a few alts that I already know I want to roll the dice and HODL for long term. Sink or swim. Should I transfer to a private wallet? As opposed to leaving on the exchange? Does it make a difference and how?
2. When trading alts is it wiser to buy say ETH over BTC first due to the extreme swings in BTC? I just know I have got caught in a BTC meltdown waiting on BTC to be transferred to the exchange and of course lost value in that transfer time. Just curious how you all thwart this.
3. And I want to be sure I am fully understanding this properly. Let's say I purchase BTC at $14,000 USDT. I then transfer that BTC to exchange to purchase ALTS. I purchase $14,000 in alts lets say for ease of math purposes. Let's now say BTC goes to $13,000 and my alt goes to $15,000 and I cash out of both the alt and BTC. Did I just break even? I know this may sound like a very dumb question lol but I am just wanting make sure I fully understand what I am doing here. So go easy on the replies please.
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