Risk management in Bitcoin. | Bitcointalksearch.org

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Quote from: Agbe on November 02, 2024, 10:10:32 AM

Quote from: Davidvictorson on October 27, 2024, 12:57:14 PM

Quote from: HeRetiK on October 27, 2024, 08:41:36 AM

Honestly, when it comes to Bitcoin, there's just two things to follow once you've made the call that Bitcoin sounds like a good investment to you:

1) Learn how to secure your coins using a hardware wallet or cold storage

Permit me to add to this that in addition to securing your coins the above mentioned devices, take basic cyber security courses if you can pay for it, YouTube is a university where almost everything is free. The benefits of cyber security courses is that you not only learn to secure your coins, you learn how to secure your electronic device and ever other personal information you hold dear.

Online tutorials are good but be careful because we don't know the kind of information given to us by those people and mostly of them after the audio note then ask your to click some links for further instructions and learning and if the link is from scammers then you system will be infected with a virus and apps might be hacked. So in addition to your suggestion, I will also prefer offline class for cyber security if you know anyone around you. And most preferably. You can ask what you want to do in this forum and people will answer your questions and you learn from here. This forum has cyber security gurus which can help you to secure your wallet well. We have discussed this in the wallet Board if I am not mistaken it I have seen them discussed it.

We can always learn about Bitcoin online which there are so many video on YouTube and on other social Media. Whether we are traders or Bitcoin investors it is normal for us to learn and keep getting information on how we can be a good Bitcoin investors and traders without being greedy. Greediness has been one of the ways investors can lose money from either trading or investing if caution is not taken. There are so many videos online for those that are interested in learning how to trade or risk management so they don't enter the market blindly taking more risks than the actual profit they can make.

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Quote from: Agbe on November 02, 2024, 10:10:32 AM

Quote from: Davidvictorson on October 27, 2024, 12:57:14 PM

Quote from: HeRetiK on October 27, 2024, 08:41:36 AM

Honestly, when it comes to Bitcoin, there's just two things to follow once you've made the call that Bitcoin sounds like a good investment to you:

1) Learn how to secure your coins using a hardware wallet or cold storage

Permit me to add to this that in addition to securing your coins the above mentioned devices, take basic cyber security courses if you can pay for it, YouTube is a university where almost everything is free. The benefits of cyber security courses is that you not only learn to secure your coins, you learn how to secure your electronic device and ever other personal information you hold dear.

Online tutorials are good but be careful because we don't know the kind of information given to us by those people and mostly of them after the audio note then ask your to click some links for further instructions and learning and if the link is from scammers then you system will be infected with a virus and apps might be hacked. So in addition to your suggestion, I will also prefer offline class for cyber security if you know anyone around you. And most preferably. You can ask what you want to do in this forum and people will answer your questions and you learn from here. This forum has cyber security gurus which can help you to secure your wallet well. We have discussed this in the wallet Board if I am not mistaken it I have seen them discussed it.

Yes, I also agree with you, these days there are many scammers who steal all the accesses of our devices in the name of online tutorials. They keep trying to trap us in different ways. So we must always be careful. Best of all, if we can learn these subjects offline through classes, we can be completely safe.

And yes, we have many big experts in this forum too, we can take help from them to learning anything. We have different sectors in this forum, like {Development & Technical Discussion, Trading Discussion, Mining support, Pools, Mining software (miners), Hardware, Mining speculationm, Wallet software.} a newbie go to that sector and ask about the topic you don't understand, you will find, all the experts giving you the right advice.

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Quote from: CryptopreneurBrainboss on November 01, 2024, 05:44:56 PM

Quote from: SuperBitMan on October 27, 2024, 07:33:05 AM

Bitcoin investment is one of the best investment right now and the best crypto coin in the world, however it is very important we know how to manage risk when it comes to bitcoin investment and this are some ways to manage risk.

You don't need to spend all your time conducting that dip of a research on Bitcoin like it's something new that nobody knows about. Just buy and hodl and you're good to go. There isn't anything new that you'll learning by conducting your research as you say. You only need to be mindful of your wallets and get to secure them safely and that's all.

Risk management should reduce the risks in loss of money and you can do that by being more mindful of your capital and don't invest above your limit. DCA when needed and understand what you're getting involved with. I always advice people's to start small and increase as you get hold of what the industry is all about. When I say just invest, I'm not asking you to throw in money and expect a return asap. Obviously you shouldn't invest into something you don't understand yet so get familiar with how to send, receive and safely store your Bitcoin before purchasing some.

Just to add a little to what CryptopreneurBrainboss mentioned about risk management and lose of capital, the best way to also protect your investment when buying bitcoin is to make sure that you have a low entry point into bitcoin, what that means is that, always make you buy your bitcoin when the price of bitcoin is low, avoid jumping to invest in bitcoin when the price is already high or durinea bull market.

The best way to DCA is to always open you buy order when the price of bitcoin is at a discount level, that way you reduce your risk of losing immediately to the bearest minimum, and also have increase your chances to make profits within the shortest periods of time, when you buy Bitcoin at low price.

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Quote from: SuperBitMan on October 27, 2024, 07:33:05 AM

Bitcoin investment is one of the best investment right now and the best crypto coin in the world, however it is very important we know how to manage risk when it comes to bitcoin investment and this are some ways to manage risk.

1. Conduct a proper research.
2. always stay updated.

Bitcoin investment is the best investment crypto wise; it is the safest investment when you want to keep your asset safe and when you want to plan against inflation; I think these two points is not necessary when you invest in Bitcoin. You have to trust Bitcoin before you invest in it, extra research is always good, but it is mostly useful when trying to invest in altcoin, but as for Bitcoin, I think you are always safe because other coins (altcoins) are all looking at Bitcoin, so no need to panic when you invest in Boycoin.

Quote

3. Secure your Bitcoin investment.
4. Consider long term investment.

Lastly if you are not sure of anything about Bitcoin investment seek advice from those who has been into it for years who are professionals.

These points are very important especially the type of wallet you will use to save your Bitcoin. Having good knowledge about key and address is very important because it will guide you to choose the best wallet for yourself and to know how to send and receive Bitcoin using your Bitcoin wallets addresses provided to avoid making error or sending Bitcoin to another person.

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Quote from: Davidvictorson on October 27, 2024, 12:57:14 PM

Quote from: HeRetiK on October 27, 2024, 08:41:36 AM

Honestly, when it comes to Bitcoin, there's just two things to follow once you've made the call that Bitcoin sounds like a good investment to you:

1) Learn how to secure your coins using a hardware wallet or cold storage

Permit me to add to this that in addition to securing your coins the above mentioned devices, take basic cyber security courses if you can pay for it, YouTube is a university where almost everything is free. The benefits of cyber security courses is that you not only learn to secure your coins, you learn how to secure your electronic device and ever other personal information you hold dear.

Online tutorials are good but be careful because we don't know the kind of information given to us by those people and mostly of them after the audio note then ask your to click some links for further instructions and learning and if the link is from scammers then you system will be infected with a virus and apps might be hacked. So in addition to your suggestion, I will also prefer offline class for cyber security if you know anyone around you. And most preferably. You can ask what you want to do in this forum and people will answer your questions and you learn from here. This forum has cyber security gurus which can help you to secure your wallet well. We have discussed this in the wallet Board if I am not mistaken it I have seen them discussed it.

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Quote from: Rustam Meraj on November 01, 2024, 06:29:01 AM

Yes you are right investing in cryptocurrency requires caution but with good decisions we can earn much. To avoid losses we should learn about market trends and invest wisely and consistently and we should buy when prices are low and consider saving Bitcoins. Remain informed and patient also helps and investing for long term reduces risk and increases profits. It is better to hold on your Bitcoins instead of constantly buying and selling as this will help you build wealth and earn more money in future. With following these strategies we can successfully understand cryptocurrency markets and achieve our financial goals.

Bitcoin is the most important investment you need everything with caution especially when you are trading especially when you are doing futures trading you need to be more conscious of putting the right things in place, things like leveraging and stopping loss and the rest. before you start trading things you consider first how to reduce risk. because that is what you are supposed to take seriously, a lot of coaches will encourage you to take risks it is good but make sure that the risk you can take is something that you can afford to lose, sometimes you can stake high but you will lose some money for sure if it is trading.

The thing is that trading is more delicate than we think so if you don't put the right things intact then you will know why they say that knowing is important because you will even lose more than what you can afford but most people, and this is simple if you can not handle gambling then you should just focus on spot or even holding so just to reduce or even avoid risk.

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Quote from: CryptopreneurBrainboss on November 01, 2024, 05:44:56 PM

Quote from: SuperBitMan on October 27, 2024, 07:33:05 AM

Bitcoin investment is one of the best investment right now and the best crypto coin in the world, however it is very important we know how to manage risk when it comes to bitcoin investment and this are some ways to manage risk.

You don't need to spend all your time conducting that dip of a research on Bitcoin like it's something new that nobody knows about. Just buy and hodl and you're good to go. There isn't anything new that you'll learning by conducting your research as you say. You only need to be mindful of your wallets and get to secure them safely and that's all.

Risk management should reduce the risks in loss of money and you can do that by being more mindful of your capital and don't invest above your limit. DCA when needed and understand what you're getting involved with. I always advice people's to start small and increase as you get hold of what the industry is all about. When I say just invest, I'm not asking you to throw in money and expect a return asap. Obviously you shouldn't invest into something you don't understand yet so get familiar with how to send, receive and safely store your Bitcoin before purchasing some.

They would never know what's best to do with their bitcoin until they experience to lose a lot of money by trading it since doubts always comes late for people using it for fast money grab schemes.

If they just think about long term then accumulate then hold for sure they would never think about anything more bigger than buying and holding it. Because execution of this investment is so easy since there's no need to have deep knowledge since even newbie could able to do this investment especially if they do DCA method the way how they accumulate their bitcoin. People should not really invest on things they don't understand sine its dangerous stunt if they go with it since market is really risky especially for those people aiming to earn money for short period of time.

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Quote from: SuperBitMan on October 27, 2024, 07:33:05 AM

Bitcoin investment is one of the best investment right now and the best crypto coin in the world, however it is very important we know how to manage risk when it comes to bitcoin investment and this are some ways to manage risk.

You don't need to spend all your time conducting that dip of a research on Bitcoin like it's something new that nobody knows about. Just buy and hodl and you're good to go. There isn't anything new that you'll learning by conducting your research as you say. You only need to be mindful of your wallets and get to secure them safely and that's all.

Risk management should reduce the risks in loss of money and you can do that by being more mindful of your capital and don't invest above your limit. DCA when needed and understand what you're getting involved with. I always advice people's to start small and increase as you get hold of what the industry is all about. When I say just invest, I'm not asking you to throw in money and expect a return asap. Obviously you shouldn't invest into something you don't understand yet so get familiar with how to send, receive and safely store your Bitcoin before purchasing some.

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Quote from: HeRetiK on October 27, 2024, 08:41:36 AM

Honestly, when it comes to Bitcoin, there's just two things to follow once you've made the call that Bitcoin sounds like a good investment to you:

1) Learn how to secure your coins using a hardware wallet or cold storage
2) Buy in by using Dollar cost averaging in a responsible manner

That's it, everything else is just noise.

I quite agree with you especially when you made mention of making use of the dollar cost average in a responsible approach, that implies more about investing with an amount that you can be comfortable with to accumulate Bitcoin irrespective of the price points, this takes away emotion driven and pressure in terms of making investment decisions, Bitcoin might be risky yeah but not really as risky as most people say because if only one can invest an amount he or she is not going to make use of which could be as little or more that suits you over a long term, perhaps Bitcoin retain values as well unlike Fiat hence there is no point panicking.

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Quote from: Jawhead999 on October 27, 2024, 08:07:47 AM

What's exactly the risk management from these all points?

Same thing I wanted telling OP, the title of the post doesn’t really correlate with the post itself.

Quote from: SuperBitMan on October 27, 2024, 07:33:05 AM

1. Conduct a proper research.
In other to succeed in Bitcoin investment one needs to dedicate his or her time and effort to conduct a proper research about Bitcoin. Starting by knowing about Bitcoin and it's history, knowing the various strategy one can use to accumulate Bitcoin and hodl.

You can also do research on different successful Bitcoin investors in other to know how they went about there investment the strategy they used, how consistent they were, there obstacles and how they bye passed it.

This an important part of investment if you ever want to succeed in cryptocurrency because you cannot just invest without knowing anything about the project especially now that there are lots of coins coming up. Bitcoin is very different from all other coins so to some extent you don’t have to research much about it when investing for a long period all you have to do is to learn the basics about bitcoin and how to setup a wallet and safely secure your wallet.

Researching about other people strategy is good but might not be convenient for you as everyone has different strategies that suits their income and responsibilities so copying another person investment strategy can be difficult so you should rather adopt a strategy that is convenient for you.

Quote from: SuperBitMan on October 27, 2024, 07:33:05 AM

4. Consider long term investment.
People usually love quick profit and I must say is very tempting, considering how highly volatile Bitcoin is in it's nature involving one's self in long term Bitcoin investment will be less risky than going into Bitcoin trading.

People need to understand that bitcoin and cryptocurrencies are not a get rich quick scheme where they can expect fast profits. To make a reasonable profit in a short period you need to invest a huge amount which is impossible for most investors so long term investment is the best option for them.

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Quote from: laijsica on November 01, 2024, 06:13:42 AM

Although there are risks in Cryptocurrency you can get high profits with proper management but you need to be wise about timing and investment. You should engage yourself with activities that can help you become more careful about protecting your capital over time. You should accumulate crypto through structured activity and tend to buy lump sums during price corrections to accumulate more stacks in shorter time spans.

Besides, you can reduce the investment risk to a great extent by depositing bitcoins. By following the DCA method tending to accumulate Bitcoins for the long term can greatly reduce your investment risk. If you decide to trade it will constantly expose you to risk, so tend to accumulate for long periods thereby increasing your chances of getting a stack of Bitcoins and higher profits in the future.

Yes you are right investing in cryptocurrency requires caution but with good decisions we can earn much. To avoid losses we should learn about market trends and invest wisely and consistently and we should buy when prices are low and consider saving Bitcoins. Remain informed and patient also helps and investing for long term reduces risk and increases profits. It is better to hold on your Bitcoins instead of constantly buying and selling as this will help you build wealth and earn more money in future. With following these strategies we can successfully understand cryptocurrency markets and achieve our financial goals.

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Quote from: Sonia_123 on October 31, 2024, 04:31:53 PM

Quote from: SuperBitMan on October 27, 2024, 09:32:10 AM

Quote from: Finestream on October 27, 2024, 08:31:25 AM

I believe where there is no risk, there is no gain then. Be it with bitcoin or other form of investment, taking risk is crucial. However, even if you conduct all those steps OP, there will always be risk with bitcoin investment, most especially that its market is highly volatile that makes it very unpredictable, then the guarantee of creating profits will never be certain. But if you know your investment well, you have acquired knowledge and experience in the market, hence the risk to lose will be minimize while you gain more confidence to increase your profits.

Conducting risk management in your Bitcoin investment does not mean you will eliminate all the risk in Bitcoin investment however you will reduce the risk.
Trying to use long time experience or knowing your investment well may cause you a lot of money and some newbies lift Bitcoin investment because they lost a lot of money so is better one engage himself in risk management especially newbies so as to prevent lost.

Risk management in Bitcoin trading deals with the systematic way of knowing, assessing, and how to manage the potential investment losses. Such as your interest and payment method also handling of your funds in general .
Cryptocurrency comes with a lot of risk, and you need to understand and manage it before you can successfully trade crypto,if it is not well properly managed up , you might end up losing all your funds.

Although there are risks in Cryptocurrency you can get high profits with proper management but you need to be wise about timing and investment. You should engage yourself with activities that can help you become more careful about protecting your capital over time. You should accumulate crypto through structured activity and tend to buy lump sums during price corrections to accumulate more stacks in shorter time spans.

Besides, you can reduce the investment risk to a great extent by depositing bitcoins. By following the DCA method tending to accumulate Bitcoins for the long term can greatly reduce your investment risk. If you decide to trade it will constantly expose you to risk, so tend to accumulate for long periods thereby increasing your chances of getting a stack of Bitcoins and higher profits in the future.

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Quote from: SuperBitMan on October 27, 2024, 07:33:05 AM

3. Secure your Bitcoin investment.
Making sure that your Bitcoin investment is secured is very important because if you don't secure it very well you will lose everything.
In other to secure your Bitcoin investment you need to choose a very good wallet, use a very strong password missed with alphabet and numbers, don't share your password or secret phrase with anyone, don't connect into people's wifi to open your wallet, etc.

This is the core of Bitcoin and cryptocurrency risk management in general, choosing and securing your wallet is the most important aspect of holding Bitcoin. Knowing all the terminologies and technicalities in the crypto space with all the knowledge about Bitcoin circles is not enough, if you make wallet related mistake, then you can lose your coins forever. After gaining basic knowledge like knowing the most reputable cryptocurrency, which is no other than Bitcoin and understanding it's circles, next step is risk management which revolves around wallets.

Understanding about cold and hot wallets, knowing that we have fake wallets and also knowing the reputable wallets are the first stage of risk management. Then knowing how to secure your wallet so that your coins will not be lost forever or be stolen is the most important aspect of risk management in Bitcoin. Newbies should DYOR on these points raised.

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Quote from: SOKO-DEKE on October 31, 2024, 11:17:29 AM

Quote from: Scarlett_23 on October 29, 2024, 12:30:45 AM

Investing in Bitcoin can be done in different ways by each person. But we have to be careful that we often get separated from the main idea and waste time by knowing more. First we need to think about why I want to invest in Bitcoin? We really want more profit through long-term savings. First, the investment should be done little by little, the risk will be less. Another advantage in this work is that we can easily understand the market. Again, using a secure wallet means you don't have to rely on anyone else. Spend an amount of money on investments that is less of a risk to lose.

There are different ways of making money with Bitcoin, but the best way is to invest in Bitcoin by buying and holding for a long period of time. With this strategy, one can potentially achieve reasonable profits. Other common ways of making money in Bitcoin are mining and trading, though I think these carry more risk than simply investing in Bitcoin.

Buying Bitcoin using a dollar cost averaging (DCA) approach is a great way to accumulate Bitcoin, as it allows one to acquire Bitcoin at different price levels, potentially increasing profits in the future. Alternatively, one can buy Bitcoin in a larger amount, but only with what they can afford to lose.As for wallets, it is always advisable to use a non-custodial wallet, as this is the only way to have full control and ensure proper security.

Yes I agree with you, the main attraction of bitcoin and its real profit we can only get by using long term holding strategy. And the best method for long term holding is DCA method. The best and most effective and most popular method of investing in Bitcoin is the DCA method. we know the Bitcoin market naturally fluctuates all the time, that's why it may not be profitable for us to aggressively invest in Bitcoin, but by investing through DCA method we can invest at different prices on a regular weekly or monthly basis, It becomes more profitable for us as we can buy more bitcoins in any given week or month at the same price (when bitcoin price dump). and thus invest for a long time, We get an average value of Bitcoin, which gives us more profit in the future.

Bitcoin mining and trading is popular but the level of risk is high, those who don't know much about crypto can't make money from mining or trading, many people get hurt by it due to lack of proper experience and knowledge.

So I think we should focus only on Bitcoin investment and continue DCA for long term, and take all kinds of security to keep your holding safe.

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Quote from: Rockstarguy on October 31, 2024, 07:59:54 AM

Quote from: HeRetiK on October 27, 2024, 08:41:36 AM

Honestly, when it comes to Bitcoin, there's just two things to follow once you've made the call that Bitcoin sounds like a good investment to you:

1) Learn how to secure your coins using a hardware wallet or cold storage
2) Buy in by using Dollar cost averaging in a responsible manner

That's it, everything else is just noise.

Another thing I would also like to add to these is to get the right mindset and better understanding of the market that it can never be predicted. Before making decision to invest bitcoin one needs to understand that bitcoin is not an investment to go into to make profit quick, with this mindset I think the investment is in a risk which one won't be able to hodl due to lack of patience.

Sometimes people go into the investment with a time frame of when to make profit and when it gets to the time that was predicted and they couldn't get the profit which they were expecting they lose the interest of hodling. What people really needs to invest bitcoin is the right wallet, the right strategy, and a clear understanding of the market, with these it is possible to invest bitcoin.

Well trading it would be one of the risky decision people could think since we cannot really see the potential to gain from bitcoin in short period of time. But if they think for long term with this coin and do some back tracking for each price milestone reached by this coin provably that majority of new investor would think that bitcoin is really for long term and patience is important if we want to deal with this coin.

What I also see the problem with this thing is they always check the price and get scared easily on fuds. This is the result of lack of knowledge to determine what best action to do in bad situation happen with this coin. That's why lots of people regret why they sell since they don't know how to asses this situations. So people should grab more knowledge to became more successful since the key to succeed when choosing to invest with longterm investment with bitcoin is good income flow,patience and also knowledge.

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Quote from: SuperBitMan on October 27, 2024, 09:32:10 AM

Quote from: Finestream on October 27, 2024, 08:31:25 AM

I believe where there is no risk, there is no gain then. Be it with bitcoin or other form of investment, taking risk is crucial. However, even if you conduct all those steps OP, there will always be risk with bitcoin investment, most especially that its market is highly volatile that makes it very unpredictable, then the guarantee of creating profits will never be certain. But if you know your investment well, you have acquired knowledge and experience in the market, hence the risk to lose will be minimize while you gain more confidence to increase your profits.

Conducting risk management in your Bitcoin investment does not mean you will eliminate all the risk in Bitcoin investment however you will reduce the risk.
Trying to use long time experience or knowing your investment well may cause you a lot of money and some newbies lift Bitcoin investment because they lost a lot of money so is better one engage himself in risk management especially newbies so as to prevent lost.

Risk management in Bitcoin trading deals with the systematic way of knowing, assessing, and how to manage the potential investment losses. Such as your interest and payment method also handling of your funds in general .
Cryptocurrency comes with a lot of risk, and you need to understand and manage it before you can successfully trade crypto,if it is not well properly managed up , you might end up losing all your funds.

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Quote from: Scarlett_23 on October 29, 2024, 12:30:45 AM

Investing in Bitcoin can be done in different ways by each person. But we have to be careful that we often get separated from the main idea and waste time by knowing more. First we need to think about why I want to invest in Bitcoin? We really want more profit through long-term savings. First, the investment should be done little by little, the risk will be less. Another advantage in this work is that we can easily understand the market. Again, using a secure wallet means you don't have to rely on anyone else. Spend an amount of money on investments that is less of a risk to lose.

There are different ways of making money with Bitcoin, but the best way is to invest in Bitcoin by buying and holding for a long period of time. With this strategy, one can potentially achieve reasonable profits. Other common ways of making money in Bitcoin are mining and trading, though I think these carry more risk than simply investing in Bitcoin.

Buying Bitcoin using a dollar cost averaging (DCA) approach is a great way to accumulate Bitcoin, as it allows one to acquire Bitcoin at different price levels, potentially increasing profits in the future. Alternatively, one can buy Bitcoin in a larger amount, but only with what they can afford to lose.As for wallets, it is always advisable to use a non-custodial wallet, as this is the only way to have full control and ensure proper security.

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Quote from: HeRetiK on October 27, 2024, 08:41:36 AM

Honestly, when it comes to Bitcoin, there's just two things to follow once you've made the call that Bitcoin sounds like a good investment to you:

1) Learn how to secure your coins using a hardware wallet or cold storage
2) Buy in by using Dollar cost averaging in a responsible manner

That's it, everything else is just noise.

Another thing I would also like to add to these is to get the right mindset and better understanding of the market that it can never be predicted. Before making decision to invest bitcoin one needs to understand that bitcoin is not an investment to go into to make profit quick, with this mindset I think the investment is in a risk which one won't be able to hodl due to lack of patience.

Sometimes people go into the investment with a time frame of when to make profit and when it gets to the time that was predicted and they couldn't get the profit which they were expecting they lose the interest of hodling. What people really needs to invest bitcoin is the right wallet, the right strategy, and a clear understanding of the market, with these it is possible to invest bitcoin.

Zoomic

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Quote from: SuperBitMan on October 27, 2024, 07:33:05 AM

2. always stay updated.

In addition to what OP has said about this, acquiring bitcoins and just feeling relaxed is not a good practice for anyone who owns some amounts of bitcoins. Being updated with some important news which directly or indirectly affects bitcoin will help a great way in helping us better manage our risks. Many bitcoin investors who have been following up scam related news will rarely fall for scammers because they already know how they operate and know how to better protect themselves. The same regular updates will help them act swiftly if peradventure the exchange they are using gets hacked or the government imposes some unfavourable restrictions on the exchange which will be disadvantageous to those who hodl bitcoins with the exchange.

Ignorance will really be too costly if we lose our bitcoins because we were not aware of what was going on.

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Quote from: ThemePen on October 27, 2024, 08:25:34 PM

Yes you are right Bitcoin market is highly unpredictable with frequent price drops and increases. Investors are good with this pattern know well how to take advantage of it. Buying Bitcoin during dips or bear markets can be smart strategy. Bear markets offer better investment opportunities than dips. Those who invested during last bear market would have made significant profits when Bitcoin value peaked. Even now profits would be substantial. Investing in bear markets has some advantages. It allows for buying more Bitcoin and potentially earning higher returns.

Yes, Bitcoin market is unpredictable and it has been that way since its start, but after growing to high marketcap it's somehow predictable to some extent now then it used to be. Buying during dips can be good strategy for the traders and also for the ones who're doing DCAying, but it's not for the ones who want to earn high profits. Let's say someone who's already rich having capital of $1M or $10M can earn good profit even after dip Bitcoin grows by 1% to 3%, but someone with capital of $1000 may not earn good profits from the dips.

Well, bear market is the best time to purchase and accumulate Bitcoin for everyone, the traders, the ones who make money with DCAying and dip buying, and also for the ones with small capital. Let's say if someone who invested $1000 in Bitcoin when it was still below $20k then as of today that person would have made profit of more than $2400 with that investment. Similarly if someone who had invested $1M or $10M in Bitcoin during that time then that person could enjoy the profits for many years without doing anything else.

Topic: Risk management in Bitcoin. (Read 541 times)