13 Apr - 29 AprTotal return: 292%
Coins: BLOCK
If you’re a regular reader then by now you have gotten an insight into our strategy that preys on simple market exploits, yet delivers an abundance of profit. In simple terms, our strategy is a market makers strategy.
An obvious but profound truth is that crypto traders and investors will only buy into a coin because they think that coin will go up in price. But, for the most unskilled traders in this market, the most convincing evidence that prices are going up – is that that prices are going up. Conversely, traders avoid coins that are declining, and for the unskilled, the most convincing evidence that a coin will decline in price – is that it is declining in price.
You see, the crypto market is unique in the world of merchandising because only in the crypto market does one ‘mark-up’ the price of his merchandise in order to make it more attractive and to move it out of inventory more rapidly.
In order to achieve a high level of profitability in this market, you must switch your focus away from trying to build a “portfolio” and instead focus on building “inventory.” Because as a market maker, you’re no longer a common trader – because a common trader wishes simply to buy into coins when and whilst prices are rising. A market maker understands that in order for him to profit during a boom in prices, he must have already completed his all of his buying when prices were stagnant and depressed.
Therefore it is the market makers role to amass an inventory of coins that are priced at wholesale rates, so that he can then sell these coins on at a profit once prices shift into retail territory.
Some refer to this as ‘front-running’ the herd, others refer to it as shrewd business.
You must understand that the common trader in this market is a customer – and he will only buy a coin while it is moving upwards in price. Those who serve these customers are, market makers – who spend most of their time accumulating incredibly large positions in coins that are primed and ready to have major price advancements.
BLOCK
You see guys,
there is a major difference in the mindset of a trader who routinely makes 1000% profits each and every month – and another trader who only makes 10% - 30% from a trade every now and again.
This difference is that the common trader has created an image in his mind that goads him into living what a manipulator would call a ‘false reality.’
This is very important, because if you have been doing nothing except losing money consistently in what is essentially an everlasting bull market, then you could be living by the rules a false reality.
This is a very potent form of market manipulation that was pioneered on Wall Street with the advent of electronic trading. You see, institutional traders who make their living in the trading pits of NYSE, the Chicago Mercantile Exchange or any of the world’s major exchanges are essentially the ‘wholesale’ distributers of securities (stocks, bonds, currencies, commodities etc) to the entire world, simply – they sell ‘products’ for cash.
This is why the everyday man on the street who invests in the financial market is referred to as either a ‘retail’ trader or a ‘retail’ investor.
Simply put, whilst you – the retail investor – is advised to “build a portfolio,”
institutional traders are engaged in building inventory.
The term “diversified portfolio of investments” was created on Wall Street, for the main purpose of encouraging retail investors to buy and hold multiple stocks at the same time.
Warren Buffet, one of the most successful investors of our time says that his success and wealth was born out of ‘only investing in industries that he understands’ – this is a direct contrast with the reasoning the Wall Street fraternity provides in order to sell their theory of a ‘diversified portfolio’ and there is a reason for this. They know that the average retail investor isn’t an expert in the ins and outs of multiple industries, thus the need for financial advisors – who collect fees. Thus the need for brokers – who also collect fees.
And if you still haven’t realised, both brokers and financial advisors are used as mere promotional channels by who?... Institutional traders.
Just like altcoin promoters who work hand in hand with coin developers and various exchanges, financial advisors do not work for the retail trader – they work for the institutional traders, who get together each and every day to discuss which stocks will be pushed harder than others... this information then gets passed over to the various brokerage firms, who then pass this information on to their clients – and just like that, Millions of dollars change hands....
And when some awkward client stops to ask his broker, well “why do I need to buy so many different, almost random, stocks?” His investor simply replies, “what a ridiculous question, we are not only building you a grade A ‘portfolio’ we are creating a ‘DIVERSIFIED portfolio’ to limit your downside risk and boost your upside potential.” – a load of b.s.
Simply put, a ‘diversified portfolio’ is just another rigging device used by the financial elite to bilk investors – and this device has been executed so finely that retail investors will violently argue amongst themselves on who has the “better” portfolio (just like the thousands of crypto enthusiasts who argue that their favourite coins are better than someone else’s) – not realising that all they have is a collection of shares (or coins), sold to them by an institutional trader (manipulator) who bought at wholesale rates and then sold (at a huge profit) at retail prices – to ‘retail’ investors (you).
This brings me back to my earlier statement...
... whilst you – the retail investor – are advised to “build a portfolio,” institutional traders are engaged in building inventory.
What is the difference between inventory and a portfolio? ... Well, it’s the intention.
You see the intention of someone who has inventory is ‘always’ to sell all of the items they currently have, so that they can buy more inventory – so the mindset of someone who is building ‘inventory’ is always to buy at the best price, so that they can sell at the best price... there is no consideration on irrelevant issues – just pricing, that’s it... they simply buy what is now cheap, so that they can sell it when it becomes expensive
How do you know if something is cheap? Well, how much did it cost a month ago compared to now?
How do you know if something is worth buying? Well, how much volume does it tend to attract during a pump?
You see, someone who is engaged in building a ‘portfolio’ does not think about getting “the best price” not at all... these retail traders (unskilled traders) buy when the price of a coin is already moving higher, because they have been fooled into thinking that trading is about making money on a daily basis – not the case.
I can make $6000 from one trade in one coin, over a two month period – and you can make $40 from each 100 trades of 80 different coins made in the same time period, but I still end up with more money than you – without putting in even a fraction of the effort that you did because I am not chasing pumps.
Everyone chases pumps, but it is a fact that everyone in crypto doesn’t make money. So that is clearly ‘the fools’ strategy
Daily Tip
There is no nobility in working in high-stress conditions day in and day out, going to battle in the market against bots, and market manipulators – all whilst making nothing in the form of consistent money.
I make it a must that I only spend 20 minutes a day setting up trades, and one hour (only) planning future positions and strategies. This is One hour and 20 minutes per day, thats it – hardly a full time job, yet the money that is generated would suggest that.
This is what separates skilled traders from amateurs.
Consistent profit is never the result of hard work. Consistent profits come as a direct result of intelligent and efficient trading. There is nothing intelligent about spending 15 hours per day trading coins, and making no money – but then still continuing to trade 15 hours per day. The definition of insanity is doing the same thing over and over again, and expecting different results.
If you would like to achieve consistency, then you must adjust your approach
SIDENOTE: You have to wait for optimal trading opportunities and resist the natural urge to trade more frequently. You must be willing to do nothing, absolutely nothing, until there is something to do. Personally, I just wait until there is money lying in the corner and all I have to do is to go over there and pick it up. In other words, until a trade is so obvious that it’s like picking money up off the floor – do nothing! Waiting for these ideal opportunities requires the patience to allow alot of non-optimal trades to pass by without participation. The message is: by avoiding non optimal trades, you will be able to increase your cumulative return tremendously – thus patience makes all the difference between a skilled and unskilled trader.Note: BTC is a buy right now. Pay attention to the price and execute your buys at the low points.
Twitter: @Pumper_Ryan follow for daily picks, and updates.
