01 Dec - 05 DecTotal return: 119%
Coins: START
To succeed, it is important that you master the art of gauging support and resistance. Not in the traditional sense (defacing your charts with the most ridiculous trend lines). Support and resistance can be gauged by assessing the order book, I explain this strategy in detail
here. By using this approach as part of your strategy you are eliminating the need for ‘guesswork’ because you are, in effect, using the markets own price behaviour to provide you with protection on your positions.
STARTIt is common knowledge that Crypto is the most manipulated market in the world. It is the most simple market to manipulate... to push, and to pull in order to achieve a pre-meditated ends. This is the only market in the world were 99.8% of the participants haven’t got the slightest clue as to what they are doing.
This is a market that is filled to the brim with people who ‘pretend’ to know what they’re doing, until the conversation steers in the realm of continuous, cold hard profit. You see, there is only but a slight few who dominate this market. In terms of pulling a profit from nothing except from a few clicks on their mouse pad.
Out of 100 Crypto traders, only 1 is ‘consistently’ profitable.
You have swathes of unskilled traders who get trampled over in the markets all day long, simply because they are too ignorant to realise how the game is really played. They are too short-sighted and unable to look through the smog to see that, every day, shed loads of money is lost in the market – so, in that same token, there is the small few who make obscene amounts of money due to the narrow mindedness, the ignorance and down-right carelessness of novice traders.
You see, most people tend to have some distorted image in their mind about trading. They tend to be under the misguided belief that quick paced, in and out, momentum based trading is the key to substantial paydays – due to what they have seen in over dramatised documentaries and movies. It is this belief that acts as a blockade to any kind of profitability.
What people fail to realise is that, at any given time, there are participants in this market who are positioning themselves to profit greatly due to the stupidity of novice traders. In fact, this is the sole objective of skilled traders - to profit because of the ‘stupidity’ of novice traders – the more ignorant these amateur players are, the greater the pay-off.
This fact is hidden in plain sight.
Day after day, novice traders get trampled all over by the slim few who will always be one step ahead.
I mean, the very nature of the market spells out the greatest secret – a secret so great that once you realise it, you won’t be able to help but pull in a gargantuan amount of BTC daily. Maybe i will devote an entire post to breaking this secret down, but for now – I want to highlight an obvious flaw that is apparent in every novice traders mentality.
Why is it that the unskilled will never realise that when they are buying into a rally, they are helping someone else liquidate their entire position? Why is it that an amateur doesn’t stop to ask himself; why are there any sell orders for me to buy through in the first place, if this coin is priced correctly?
It is all about timing. You see, in this market, you fall into one of two categories. Buyer or seller. When one coin is your focus, you can’t be both at the same time.
You see, I have said it before... and i will say it again. Trading is a game of accumulation V distribution, wholesale V retail.
People always ask me how to strike up profit after profit, and I simply tell them to think of trading crypto like owning a store.
Once you begin to think like that, Bittrex then becomes a very useful algorithm that tells you when the most popular items are selling at wholesale price and when they are selling at retail price.
Thinking in these terms will enable you to make logical decisions – instead of buying into a coin at the top of the market, watching the price fall out of the sky and then complaining that crypto is “rigged”.
This is why I bought into START. We all know that START is a sought after coin that has some form of functionality other than being a mere tool to accrue more BTC.
Prior to this particular instance, START has had two major rallies.
The first rally was an extended bull run which started on August 22nd, when the price surged from a lowly 548 Satoshi to an immense 31500 Satoshi on the 11th of September.
That is a sensational 5648% gain and illustrates just how profitable trading Altcoins can be, once you begin to look at the bigger picture.
Now, moving on from that.. After that huge bull run the price lunged to a low of 5054 Satoshi, before rising from the dead and rocketing through price range after price range, finally landing at 52000 Satoshi on the 6th of October and delivering a 928% profit into "the hands of the few" - the skilled traders.
So, just to put things into perspective, START is quite clearly a highly sought after coin.
A coin that is popular – at least amongst those who have a weakness for easy, but excessive, profit.
This brings me back to our store owner analogy.
With this repetitive price action, START is obviously an item that you’d want to have sitting in your warehouse in the largest quantity so, with this being the case, you’d probably be a fool not to buy a shed load if the price fell to a measly 3200 Satoshi. Right?
I mean, look at the last major rally.
START jumped from 5054 Satoshi and hit 52000 Satoshi in no time at all. So this would make 3200 Satoshi “wholesale” rate. Right?
Then why is it that on Monday of this week, when START was sitting at a severely marked down price of 3200 Satoshi, only a select few skilled traders were filling their warehouses to the brim?
This is how you make “the big money” guys. It isn’t about using the most ridiculous oscillators, and waiting until you see a “double top” or “head and shoulders” on the chart. That hocus-pocus lunacy isn’t going lead you toward any form of profit.
You must tune into the markets. The answer to every question that you have ever had concerning ‘where the price is going next’ or ‘when to actually place a trade’ is literally spelled out in bright red letters on the charts and in the order books.
Pay attention and you will win big!
Tip:
Manipulation is rife in this market... And in the other financial markets of the world. This is part and parcel of trading. During the accumulation phase, it is an absolute must that the ‘weak hands’ be shaken out of the market – so as to ensure that there are no premature sellers during the ascent upwards during the distribution phase. It is a fact when buying into illiquid coins, that buying in great volume will very quickly push the price higher – after which point the price will then be forced lower (by releasing bad news, using bots to push the offer price down etc) and weak hands grow jittery. This allows the skilled participants to continue to ‘stack their chips’ at lower prices. This process is repeated until the warehouses are full and it is at this stage that the market can be moved higher. But, for some reason, most novice traders are blind to this. Even though it happens in plain sight. This is why the skilled few will always profit.SIDENOTE: You want to eliminate as many poor-percentage and high risk trades from your repertoire as possible. Once you have done this, you will see a dramatic boost in your overall profitability. Trading less and taking only the best-percentage trades are such an important part of pulling consistent wins. Ask yourself before each trade, “why am I taking this trade?” If you don’t have an answer – or can’t justify the answer, then skip the trade. To develop the mentality needed to win in Crypto, you must develop a high probability strategy. It is as simple as that. You must have the discipline to sit and wait for only the most optimal trades where all the factors of a bull run are lined up and painfully obvious. Only then should you be putting on a trade. Note: BTC is a buy right now. Pay attention to the price and execute your buys at the low points. Oct - Dec will be very interesting.
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