First success on crypto currency market, what next?
You will be surprised, but earning the first money on crypto currencies is not the most difficult. It is most difficult to make the right investments in the second and subsequent stages.
If you have already tried to earn money on operations with crypto currencies, most likely you already had the first stunning success. When you thought it was very easy and not worth much effort and knowledge. This success certainly occurred during the period of currency growth, but then a correction period came …
And here the qualities of the real investor begin to appear:
– only few people have confidence, perseverance, faith in their strategy – such people are confidently moving on
– the majority starts to be nervous, fuss, make mistakes
The feeling of insecurity and a sense of fear is pursued by all groups of newcomers – it is normal
According to statistics, people who enter the crypto currency market when the market grows worried that it’s about to become bad and very afraid of it.
People who went to the market during a fall usually at the beginning think that this is already the bottom (there will be no worse) and the market is about to turn around and go up. But then, as a rule, the next bottom appears and people have a fear that everything is a complete failure.
Yes, that’s how the crypto currency market works. And no one, even the biggest professional, will be able to give you a 100% guarantee that he knows what the situation will be tomorrow. If someone gives you these guarantees, you must have see a charlatan!
There is one rule if you ask yourself a question, enter the crypto currency market or do not enter now - that is, only one answer: "When, if not now?"
Here’s an example: if people buy crypto currency, then they do it with the expectation of increasing their capital several times in a year. If even the people who bought Bitcoin during his last big jump (17,000-18,000 dollars), then they probably expected after some time to see say $ 40,000- $ 50,000 for Bitcoin. And if it had happened (and perhaps it still could happens), then what difference did you buy for $ 15,000 or $ 18,000? In any case, as a result, you could / can get a VERY large profit and this difference in 2000-3000 dollars does not play a principal role.
But … the psychology of man is such that these several thousand (potentially lost profit) have stopped many people.
In the same way as during the correction, when you really want to sell (more expensive) as quickly as possible, and then buy it cheaper. But successfully such operations are performed by few people only. Because to guess this point, in which it will be profitable to sell, and then profitable to buy – it is very difficult. Bitcoin easily falls into the correction, but with the same ease can be a sudden rebound with a sharp increase.
An interesting point: despite the fact that we know that it is not so easy to make money on such sharp fluctuations, we are still looking forward to such an opportunity. People are driven by excitement, thirst for easy profit, the desire to break a big jackpot.
And if we already know that this scheme of earnings is not very reliable, if it hardly ever works, then we must suppress this desire to “play” in such a game.
If you doubt the market situation – just buy a “cascade”.
If you are not sure that the rate will fall further – just buy in parts (the next part you buy even cheaper, then even cheaper, etc.). It will slowly but surely lead you to a stable result.
The strategy to sell at the maximum, then to buy at a minimum (when falling), it is very dangerous.
The stock traders have even a saying: "Do not try to catch a falling knife."
If we say Bitcoin from 19000 fell to 9000, and then grew a little (say to 10,500 dollars), then you will be very worried about what to do (sell while it is temporarily at 10500 or wait). On the one hand, the rate has gone up, on the other hand, it’s such a minimal increase (compared with the failure that happened very sharply), and maybe after these 10,500 the rate will drop to 5000, and maybe this is a horror trend reversal and the rate again crawled upwards and next time it will turn on 30 000 dollars. Nobody knows and you do not know and it will be a painful choice for you. And even if you guess one time, there is no guarantee that next time you will also be lucky (and this is only about luck, no knowledge or experience will not help you here).
As a result, people who do not “jerk” get more benefit. People who at first sight seem to lose / miss opportunities, but their stability eventually leads to greater profits.
Yes, of course there are 0.1% of people who regularly get to guess the trend and catch crypto currency at a minimum and at maximum. But with the same success, these people could buy and win a lottery or play casino in roulette.
Our advice on the crypto currency business is designed for people who want to analyze and influence the situation. Any crypto investor’s actions that are designed for a period of less than 6 months are purely a “luck calculation” and has nothing with rational investing.