The Most Complete Lesson About Becoming A Trader
By: The Blockchain
Tags: Cryptocurrency Investment, Blockchain, Bitcoin, Cryptocurrency

The basic lesson, but overall, it does not have the time to leave the market in bitterness because of the sweetness. Very long, read slowly.

Q: First of all it is important to start by asking why you should trade coin.

A: At the present time and at least in the near future, effective trade coin is still a profitable and fast-paced business.

Q: How much trade capital should I trade?

A: There are no fixed numbers for each person because of the different circumstances and conditions, however, consider the following suggestions: Trade coin a lot of risk: Risk from the floor, risk of price fluctuations ( And this can happen any time, so trade with the money despite the worst risk, you are still okay. Also, do not take hot loans or do the same thing to trade, with the most important rule when trade is psychologically and time consumed as you already hold half the loser. If the capital is too small, trade is a little difficult because you are easily disciplined disciplined. So consider the capital in a reasonable sense.

Let’s get into details :

______________________________________________________________

Q: What coin should we trade ?

A: Any coin, it depends on your intersest . But for me, I split the coin into 4 types:

1: BTC, BTC itself with BTC / USD pairs can be considered as a part.

2: Top coin group is equalivant to the Blue chip stocks on the floor. These are good stability, high safety, long life and can dig. However, it will increase relatively slowly over time. This group includes two of his younger brother, LTC, ETC, XMR, Zec, ETC, Dash and more recently BCH. This is the Top 1 coin I often say.

Some top names in this group include: XRP, NEM, STR, BTS, LSK, STRAT, FCT, GNT, Maid, REP, DGB, SC etc. Recently added: IOT, EOS, OMG, PAY, NEO, QTUM, MCO and HSR. This is the Top 2 coin group, sorted by capitalization to know the popularity and importance .

3: Minority Coins: Mostly capitalized under $ 100 million, most of the tens of millions of dollars are falling with very low and dull trading, unless there is a strong price movement. This coin is generally referred to as “garbage” coin under many people: EMC2, VTC, PPC something. Just call it the top 3 for it to be more costful than the word “garbage,” because it is rubbish is not right, some people still make money from it.

So there are 4 coin groups, the trader is choosing what coin to play. First of all, it should be mentioned that this group is the only one who plays the first and second groups. The reason I will explain below, and this is the lesson so I will still teach it.

As you know when watching the market, all coin has an uptrend, any of these four, the top trader is the person who catches exactly what stage to play in order to optimize. profit. For example on 16/10/2017 you play coin top 2 will be much more profitable than the top 1 or BTC. Or the middle period -> end of August only play the BTC will be the most interest, the stage before September 2 to play Altcoin top 1 will be the most interest and have the stage of playing coin anything. Similarly vs profit, losses are also the same, there will be different stages of holding the losses in different groups.

For new traders, the investment goes through two phases: the new phase of the market, the suspense, and the fear that they often choose the group 1. After seeing the divine growth x3, x5 or less Also, a few dozen of them started to become impatient and greedy so they quickly switched to groups 2 and 3, usually resulting in losses by these two groups.

Investment Situation Analysis:

Choosing Group 2 3 can bring you big and quick profits, but you also risk a huge loss like chance of winning, even bigger.

For group 1, you almost always have a chance to take back the capital by waiting. In fact, over time, the long-term trends of coin group 1 have increased many times or at least very well.

At the exploration stage

Obviously, choose to buy coin group 1. In fact, I rarely invest when there are no obvious signs, however I know many always have feelings of thirst, need to invest something, choose Group 1 when such market. More secure, choose only BTC. If the storm arrives, you will be less damaging than holding any Altcoin, the discount rate of the BTC is almost 100% lower than the Altcoin discount rate during storms. If the trend is up, BTC is still the first coin in that trend. Of course, like the blue chips, you can not earn much, but you have the safest. The option to buy this BTC also means that you can exit Altcoin to BTC in these stages if you do not want to stay out of the game (Exit to USD).

The market is vibrant

After both the BTC and the top coin group broke up, plus some of the 2 groups also increased strongly, the confidence of the market will be high. At this time you can buy coin group 2, preferably the coin the more famous, the more interested as possible (Since Group 1 has already increased, buy also no significant profit). Just now: News will be a good excuse to push the price of coin, you can apply this way of hunting. As most of the bulls in group 2 and 3 are up, that is the end of each bull run, so you need to quickly take profit and exit to the BTC / USD to preserve your assets. The coin group 2 has a very spectacular speed increase, this is also a great opportunity to improve your account number. At this point you can also pay attention to some coin group 3 if you want to adventure. Never put too much trust in groups 2 and 3.

In this stage and the above phase you may be interested in coin pairs (Coins that have increased the coin will increase, not equal will also be dark soon after shortly): DGB / SC, BTS / FCT, XRP / STR, or more recently NEO / QTUM and PAY, the larger pairs may be ETH / ZEC. Or group coin tend to go together STRAT, GNT and Game.

Storm Cycle / Deep Reduction

During storms, when prices have fallen to over 15%, you need to choose a safe choice. There is a BTC and the top 1 coin. In addition there is a pretty good selection of coin group 2 (or group 1) that has fallen by more than 25%, which is much stronger than the other coin. Often, these are the very strong gainers recently, attracting a lot of attention, many are still holding (NEO, MCO for example this time, DGB, STRAT, BTS too). These coins have very strong vibrational amplitude, so you can easily earn 5–10% or more from it, as its characteristics are always stronger than other coin when it is bad.

Finally, in order to trade in the medium and long term, simply and leisurely, you should concentrate on the group 1 and especially the group 3. And even more so before the overthrow of the throne (at least see in the near future), trade only BTC / USD. It’s the only coincidence even if the price drops, you have the power to shutdown and go to sleep, a little less than the rest of the group. For groups 2 and 3,you should not be so adventurous.

Let’s get back to root cause analysis to help you understand why choosing coin is important too .

In the process of developing capitalization and trading volume, attract more investors, the price of BTC will always do that task. Interest in the BTC always mutates when BTC creates a new peak (Google Trend data). So before the market crash, BTC will always be in the “big up trend” ie discount to the next new peak.

Going back to the Top 1, to grow the scale always need this group, because investors need to improve liquidity (Trading with huge amounts, tens of billions of dollars), the BTC is not enough, and coin Top 3 with a capitalization of several million to several tens of millions, vol several dozen to several hundred BTC can not be resolved. So the top 1 team will be pulling together with the BTC in the up trend. However, this group is often used for loop optimization to optimize profits, for example: ETH: 80 -> 180 -> 400 -> 135 -> 400 -> 200 -> 350 -> xxx.

So this is the hint for the holder. Holder of course holds it up.

There will be periods of high market uptrend, with extremely high levels of interest, whereby the margins of Group 2 and Group 3 bets will be larger. However, there are only a few times a year.

So you understand the whole nature and task of each coin group. In analyzing say coin any play is also profitable, why only we should play BTC and group 1?

First of all, it is necessary to accept the fact that most of us here have a low level, so we need a safe path where there is always a retrace for hold and wait. With the manipulation of financials, big miner and trading platform, we always have a door to wait while playing this coin.

When you have reached a high level, look at the market direction to guess, then play anything you want .

BTC or USD is important?

With the young theory and the poor experience in understanding nature and expression, many “teachers” and investors have advised new investors: “BTC is unique, the BTC is important, USD does not mean anything “.

I will explain how harmful this is, personally I think that when it is not mature enough to teach others it is really dangerous.

As the market is growing, the number of BTC’s when you hold DGB will increase drastically, plus the price of BTC increase, if your profit margin rate is extreme great. Then if the BTC / USD price drops, your USD will decrease 1 times, but the trap from the same sentence will kill you: Because you see the number of BTC is still much, but the number of BTC is the most important. that.

Then the price of DGB / BTC decrease further you will see the number of BTC decreased rapidly, and if compared with the dollar you will be shocked.

You are being trapped in psychology, sometimes your BTC reduced, but your US dollars increase, you again tell yourself that only losses BTC, but US dollars still profitable, but soon after that BTC / USD prices fell, at The number of BTC has been reduced, but converted to USD assets.

The financial turns you like a puppet with the BTC, the number of dollars increase when the decrease, the increase the decrease, the same increase and decrease. And so, for a time, you find yourself poorly at home.

So what is the most important thing?

Money is the most important, the amount at which time you also optimize is the most important. For example, you have 3 BTCs from $ 5000, because you think the BTC is the only one that should stay the same, I’m the trader I convert it to $ 15000. When BTC drops to $ 3000, you still have 3 BTCs, and I BTC number will be nearly double yours.

You do not have to keep the BTC, nor should the US dollar count. You are a trader, you have to take profit (Transfer from Altcoin => BTC, keep BTC if BTC continues to rise, move from Altcoin or BTC => USD if the market is saturated) and reinvest in Assembly (using USD repurchase BTC or Altcoin). No one just trade Altcoin / BTC and only move to BTC can get more words people add another step to take profit BTC to USD and reinvest.

Trader success is the trader at any time, if the property value in dollars is also highest.

Prices of Altcoin subjecting to BTC.

Because the price of BTC is not fixed, so Altcoin / BTC price when the same is 250 STS may not be the same. The actual value to calculate is the price in USD.

Is it possible to trade Coin / BTC pairs?

Of course it is possible, but with the condition that coin increases faster than BTC. As mentioned above, there will only be some stages that can play this form. And most importantly, always be prepared to take profit on the BTC, and finally the USD.

Can you buy coin top 1 with BTC?

Of course, just compare the price of the coin in USD at the time of purchase to conclude loss or interest. No need compared to the price of BTC anymore, compared with the price of BTC is only to compare the loss or profit if the BTC.

Investing, profit taking, reinvesting is the most efficient and optimal process for traders, and it is also the flow of money flow from the groups: BTC <-> Altcoin <-> USD <- > BTC. The nature is like I said: Buy things to increase (Investment, reinvestment: may be BTC or Altcoin), selling things are about to reduce (cut losses, profit-taking). Remember again: Investment, profit / loss, reinvest, that, trader has 4 things only.

Conclusion

This is a basic lesson, but it is very long. Read several times to remember and understand how the market operates at least in the short term.

— — — — — — — — — — — — — — — — — — —

WEBSITE

=> https://kriptoa.com/

TELEGRAM

=> https://t.me/KriptoA_com

FACEBOOK

=> https://www.facebook.com/KriptoA

INSTAGRAM

=> https://www.instagram.com/kriptoa_com

TWITTER

=> https://twitter.com/KriptoA_com

REDDIT

=> https://www.reddit.com/user/KriptoA_com

MEDIUM

=> https://medium.com/@KriptoA