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Why I Still Don't Regret Selling $10K of Bitcoin, & TipsA couple weeks ago I wrote about why I sold $10K of Bitcoin (but not all my Bitcoin) while Bitcoin was unstable. Basically, the reason why I did that was because I had too high a percent of my savings in Bitcoin, and that was unwise. My degree in Economics should have taught me better; but I got greedy, and fearful. The dust settled, I learned a lot, and now I will make wiser investment decisions and not allow the FOMO or greed to influence my investment decisions. Fortunately, my learning experience did not cost me any money, but that's only because I got lucky. Lately, Bitcoin has gone up over $60K and even hit a new ATH of $61K when I looked last. With that, considering that it was at around $48.5k when I pulled $10k out, I could be more than $2,000 richer today if I had left the $10K in Bitcoin. Why don't I regret this, seeing how much I could have made? Of course I wish I was $2k richer, but the risk was not worth the reward. Even if Bitcoin was $100k today, it still would not have been a mistake to pull the $10k. Why? Because as I mentioned, I had about half my ($20k) savings in there, and the consequences of losing a significant portion of my savings would have greater repercussions than gaining 20% or even 50% on my savings. The truth is that I did not earn the $2k in ROI because I did not have the $10k to lose in the first place. I had 20k in my bank account, but considering where I am in my life, pursuing higher education and more skills, growing my small business, and plans for moving in the next few months - possibly thousands of miles away; the consequences of not having enough money to thrive on in my savings would be significant, if Bitcoin were to go down significantly instead of up. PART 2: Gains vs Losses You see, it's one thing to lose $2,000 that you would have gained, but still have 100% of your savings that you need to live on. It's another thing to gamble your savings and risk losing a significant portion your savings. Moreover, even though Bitcoin went up, it just as well could have gone down - even by as much as -40%, realistically. Even though "this time is different", the truth is that all that has to happen is that Musk pulls his Bitcoin investment or some law passes hurting trust in Bitcoin, and all the cards come crashing down. This time is different, yes. There's a higher than ever chance that Bitcoin can skyrocket, due to all the institutional investors getting in. However, there's also a high chance that Bitcoin could crash, because the market is so volatile and the risk of a major negative announcement is so high. In 2018, Bitcoin hit an ATH, and then crashed for 2 years. I can't afford to lose $5,000 and then hold half my savings in Bitcoin for a couple years in hopes to get it back. Because I can't afford to HODL the extra $10k I had in Bitcoin, then the wisest move for me was to pull it, because the truth is I didn't have it to invest. Just because the money exists in your bank account does not mean you can afford to invest it. PART 3: Risk vs Reward $2k bonus money would make a little difference for me; but not much, especially because I can't use it if I'm HODL it in Bitcoin. Having $10k more savings in liquid cash at my disposal enables me the security that I need in life right now, especially considering the pivotal time in my life that I am facing. Soon I may be in a different city in a new state doing a different venture and looking for a new job. Who knows, maybe I'd even be getting married in 1 year, who can predict the future? I can't wisely keep such a high percentage of my liquid savings in a volatile asset; and especially not in a volatile economy. Therefore, even though I could have profited off Bitcoin's $60k price had I kept the $10k in, the truth is that hindsight is 20-20. Only in hindsight can you know what the market will do. No one can predict the future, we can only bet against it in the most savvy way possible. This is why the wisest financial advice you will ever hear is: Never Invest More Than You Can Afford To Lose. Since I could not afford to lose the $10k, then I did not have it to invest in the first place. Gambling with the money you need to live on is dangerous. It's not that I lost $2k in profits. You could also say I could have invested the full $20k of my savings and then profited $5k - but it simply would not be worth the gamble to potentially lose half or more of my entire savings in 1 day if Bitcoin went down considerably. PART 4: Investing Strategies & Tips I am unmarried and without children at the moment, so I would not be gambling away my family's future. However, I would be gambling on my own future. If you have a family and children, though, then you should be even more wise. My putting in the $10k in the first place was unwise, but it's only my life affected. If you have a family and children, than that is a much larger gamble than the gamble I took. I got lucky when I came to my senses and pulled the $10k without a loss. But putting it in was a mistake, even though I didn't lose anything on it. It would have been a much bigger mistake if I had anyone depending on me. The best strategy for investing, is Only invest after you have a considerable savings - 1 year of savings is a good rule of thumb. Only invest 10% to maximum 20% of your savings. This means if you have $20k cash, then only invest $2k to $4k MAX. I have $2k invested now (which is presently at $2.6k). Only invest what you are willing to lose 100% of. Consider your money invested as money that you do not have anymore. That way you can HODL without being tempted to pull it. Remember that the only way to possibly recoup major losses is to HODL - and to hold for possibly years before the next boom. Therefore, you must consider anything invested to be money you do not have. If you are able to invest a certain amount and not feel devastated if 100% was lost in 1 day, then that is a wise amount to invest. You don't get anything in this world by being too safe, but you can lose everything overnight if you are foolish by gambling with the money you need to live on. By thinking about the money as "gone" once you invest it, and living as if you did not have that money, then you free yourself of the emotional investment and potentially life-threatening stress (by heart attack, stroke, suicide, alcoholism, or some other consequence) if the market crashes and you lose the money. Since you already thought of the money as gone, then you won't be devastated if it collapses, but you will be peacefully pleased if it increases. For example, if I had half my savings in there, then I should live as if I simply no longer have half my savings. If I can do that, then it's ok, although really not a wise decision. When I first put it in, I thought I could, but my emotional reaction when it went up a lot or down a lot over the following month proved to me that I really did need that money. It would be wiser to put in a smaller amount that may multiply considerably one day, but which if it cuts in half or less, I am not tempted to pull it out and cut my losses. Instead, I can keep it in there near forever. Since $2k doesn't mean much to me, then having it in there is fine. If Bitcoin goes down to $20k or even $10k one day, no problem. I would be slightly sad, but it won't affect my mood and won't cause me to do anything drastic. And it won't inhibit my life. Since the $2k is not needed, then if it cuts in half then I don't mind leaving it in for years to hopefully recover the losses. Conversely, if Bitcoin goes to $50 million or something crazy in 10 to 20 years, then I can remember, "Oh yeah I had $2k bitcoin, now it's worth $2 million!" And then it would be time to pull it out, for sure. Just like if I had been wise enough to put in $1000 when I could in 2013, then I'd be rich today. Lesson learned. But if I had put in all my savings in 2018, I would have lost most of it, so that would not have been a wise investment. PART 5: Investing & Your Health Another point is the stress factor. Putting in too much money is stressful. I am relatively young and healthy, but I have always believed that the small things you do every day will have a big impact over time, because they add up over 20, 50, 70 years. That's why I eat extremely healthy and take great measures to reduce stress. That's why I make sure to get enough sleep and go to great measures if something is causing me to lose sleep (such as moving if I get a loud neighbor). The little things you do to take care of your health will add up and have a big impact. Conversely, if you allow little stressors and little poisons, these also add up to significantly reduce your life span. Therefore, for me, it was also good to remove the stressful quantity of money for my own health and wellbeing. I did not like the high stress I felt every time I looked at the BTC price and feared it going down and was excited when it went up. It isn't healthy. $2,000 is not worth the stress it could cause if you invested too much and feared losing money. Know yourself. If you think you can take it, fine, but don't gamble away your health and longevity on small financial gains. There are other ways to make $2,000 that don't cause you stress and cost you your health in the long term. I believe that even if you think you can take the stress because you are young and healthy like me, you still shouldn't because by reducing stress day by day over the years, you can add decades of healthy life to your life. If you're older or unhealthy (or both), then it's even more reason to reduce stress and not risk investing too much money that you can't afford to lose. Even when I was 18 years old, I took great measures to reduce stress, eat healthy, sleep well, and maintain good health, because I believed that by doing this every day, it would add up over time. It has paid off because I currently look 10 years younger than my age, and I feel it too. Health is more important than money. You can always make more money. At any age, if you have good health then you can always get a better job, start a business, get a promotion. On the other hand, it is much harder to restore your health once you've lost it, so you should take care of your health as a high priority at every age, even when young. This is my life philosophy. PART 6: Investing is not get-rich-quick Remember that if you want more to invest, you need to have 10x more in savings. If you want to invest $20k, you should have $200k in the bank. Investing is not a get rich quick scheme. If you think you're going to get rich overnight from investing, you're about to find out what poverty means. But if you are patient, hold for a long time, and only invest what you are able, then it is possible to eventually get rich from small investments over time. I hope you have learned something from my experience and that this has made you a little it of a wiser investor. I will keep my $2.5k in Bitcoin for a long time. I also invested a much smaller amount ($1 to $10 each) into a lot of different altcoins which may or may not go anywhere, and will keep it in there for the foreseeable future in case any takes off one day like Bitcoin did. PART 7: Bad Times Coming for USD My major concern right now if not Bitcoin, but it's the US Dollar. Based on the fact that in 2020 they printed 100% more US Dollars (devaluing the dollar by half), and it looks like they are doing it again in 2021, then I fear that it may not be long before the dollar collapses, and the US economy with it. Other currencies besides the US Dollar may be a lot wiser to hold you current savings in, whether it's Bitcoin or simply another country's currency. Bad times are coming for the US Dollar, and I fear massive hyper inflation and the eventual collapse of the Dollar. It might not happen, but I believe that the people controlling America now are intentionally bleeding the US Dollar for every penny it's worth by stealing from the value of the Dollar by limitless printing, in order to usher in a new age of digital currency. Will it be Bitcoin? Maybe, but probably not. It is is Bitcoin, then maybe it will have a change of hitting $50 million or more. Who knows.
BITSTAMP:BTCUSDLong
by cryptotrader001
4
Random Idea n.o 1Not financial advice: I'm a trash trader idk how you found this chart this is just me playing around as a beginner and learning: Random idea: Stock market has over-extended, it seems to like the long term trend line drawn. Couple times in history it has been retested, the period of retest has been around 140-160 days so far, thus I am targeting yet another retest. I believe that the market is perhaps slightly over-extended. In my final guess of where the retest will be I have not included the latest retest which was due to COVID. I also understand that my target is quite far from where the stock market currently stands as as this idea is publshed, however I also believe based on secondary research that COVID is a large reason for the spike so high after the dip (Retail investors looking for places to put money, high amounts of money being printed, unemployment, even businesses such as Telsa investing into Bitcoin -> The message being money is best invested outside of banks). However with COVID vaccinations, we would presume things to start to go towards where they are. I would also expect many who made bucket loads throughout this period of time, to be more willing to exit the market should a dip occur, with those buying at the top (and i pray) hopefully "puking" their positions early. Thanks for reading my randomness, can't wait till i find out i've just wasted virtual paper :). CHOW
TVC:SPX
by Cho-Garth
ADA - Friendly advice for allI originally posted this on the brokerage that i use, and i thought i'd post it here incase anyone needs some advice if they've been burnt by the recent Pump & Dumps. Friendly advice for those who need it: A question that keeps popping up is, "should i invest in ADA now or wait for a dip". The answer to that is a 2 fold question, 1 "Why did you wait for ADA to rise before you considered buying it"? and 2: "Why did you wait for ADA to rise before you considered buying it"? This can be applied to any Crypto asset. You need to take a step back, research a bit about the asset you would like to invest in, not just what the Charts & Technical Analysis are saying, but what are the fundamentals with ADA and where is it going? What is its future? If you did a little research, you would've found out that ADA has an update called Goguen which is scheduled for release around March 2021 which will allow ADA to fully utilise Decentralised Smart Contracts & DApps. Many people expect ETHEREUM clients to jump ship too Cardano because ETH 2.0 is still not ready for release, clients that use ADA, will benefit from a much lower cost compared to the gas prices that ETH is charging at the moment. A focus of Cardano ADA is compatibility with other crypto currencies, so ADA is not trying to destroy other cryptos but is actively encouraging cross compatibility. Do your own research into it, if you believe in it and you believe it's going to go well over $1 this year, then invest in it. If you don't believe in it, then invest in something else like XLM XTZ BNB MIOTA LTC ect ect . This bring's me onto the point, should you be asking people on eToro "should i invest in ABC or XYZ", here's my answer to that, No! Why? Because most people on eToro would've told you to invest in BTC when it was at its All Time High of $42K, guess what, its not at $42K anymore. Some would've even told you to invest in Pump & Dumps like XRP when it shot up to $0.75 from $0.24 in 2 days because a Telegram Group was saying they're gonna pump it to the moon, some would've even told you to invest in another Pump & Dump like Dogecoin when it shot up to $0.07 from $0.007 in less then a day. What happened when they got Pumped, they got Dumped & many people got burnt. Don't be greedy if you don't know what your doing! Look for rises that are sustainable, if an asset goes up 10-20% a day, drops 10% back, consolidates a bit, then goes back up another couple of %, you might be onto a winner. An asset rocketing to something like 200% in a day is not sustainable, especially when its only going up because a Telegram group got together and said "we'll pump it up to the moon". Hardly anyone questioned their motives & asked the question "i wonder when or where they're gonna cash out". For XRP that Telegram group cashed out at $0.75 when a lot of people jumped on and sadly got burnt. Ultimately, it's your money, so YOU should be making the conscious decisions about what to do with it, not some joker on eToro or on a WhatsApp or Telegram group. When something goes parabolic, everyone wants a piece, but no one contemplates what will happen if they are the last person holding once the profits have been taken. Be careful, Be smart! I hope this is helpful 🙏 Another bit of friendly advice for new XRP holders who may be stuck with deciding what to do. First off, don't panic. Use this as a learning experience to be learnt from. There is always a way that you can re-coup your loses without closing your trade at a loss. Here are 2 ways: 1: Keep Hodl-ing until the next rise. 2. Do what i did. I was one of those peeps who bought XRP in 2018 when it was at $3.5 because i didn't know what i was doing back then. It crashed and i was at a -67% loss. For over a year people said it will shoot higher, it never did. Instead of closing my XRP trades at a -67% loss, i transferred all my XRP in to my Binance account, then I exchanged all my XRP for VeChain when VET was at $0.09. It was the best decision i ever made because i have already recouped all my XRP loses and I am now riding the profit train. I hope this is helpful for those who are a bit stuck about what options they have. Peace out 🙏
BINANCE:ADAUSD
by entertheroach
10
Just some friendly adviceThere's a lot of talk about how big companies are getting in so it must be time to moon big. That's not how these things work and I would like to remind you guys that big companies can afford to to take big swings down - don't get too bull happy, markets cycle, especially healthy ones! This year has been amazing for bitcoin and trading - BUT! If you're trading - keep yourself level headed and stick to your strategy. Aim for long term success not for lucky runs up. I place importance on the 31750 area, might see the top around there, if not that's okay. Move your positions into profit if you haven't already and enjoy your hodling accounts! Stay centred!
COINBASE:BTCUSDLong
by LookUpTwice
APPLE Good Idea Buy I am a consultant for anyone who needs a consultant, I see that Apple will GO UP IN HOURS 1, When you decide to use my ideas in your trading, please contact me to inform you of some things and monitor the position together without specifying a take profit or stop loss, we will decide when to open and close the position 2 (When I set the take profit and stop loss in a number that does not mean that the price will reach it, I gave a buy or sell signal only according to the analyzes I made in the chart and delete it later, in the order to share it with you so that you have a clear picture and read it clearly, thank you!) 3, you can try me for one or two weeks to decide to work with you and give you signals about buying or selling
NASDAQ:AAPLLong
by soufianchiekh
3
BTC Bullish AF - No bearish signals hereBTC is very bullish and has almost no bearish signals (except for the heavy resistance above). Bullish signals: 1) Broke 2 year bearish diagonal trend line 2) Retested 2 year bearish diagonal trend line and flipped it into support COINBASE:BTCUSD 3) In a strong uptrend diagnoal line that started back in 2016 4) Above all moving averages 5) Price is bought up on any small retracement Bearish signals: 1) Strong upper resistance Caution: Things can change in a heartbeat but everything is pointing to price going up and retesting 12K, 14K and then 18-20K If you're reading this and price has gone above 12K, I would recommend waiting for a pullback (i.e. 15%, 20%, 30%, etc.) pullback. Also, any money invested, you should be prepared to lose or be prepared to lose 30% or more during 'correction' and 'retracement' moment. BTC and all other cryptocurrencies are highly speculative and volatile. However, BTC is probably the more probably crypto that will go on since it is the foundation of all cryptos. Trade at your own risk and this is just my opinion for entertainment purposes.
BITSTAMP:BTCUSDLong
by XYZ-Trader-
6
EURJPY Trade Setup(confirm)EURJPY been making step movements for last couple of days in upward momentum. This analysis is intraday for long term holders ans now at point 120.032 eurjpy has strong supports as you can see in H1,H4 time frame.According to the upcoming fundamentals EUR should be again high with steps movement like corrective momentum. EURJPY still is on my watch list and now again making steps movement towards buy direction .The recent price action had a really strong bullish move up from previous history as if you see in the monthly time frame the last month EUR had fallen and made wick .The larger continuation correction on the high time frame is developing further, and we see price continues to go up towards the top of the technical structure, hitting a recent double tops. for further details you can ask us directly
by TradingSwirls