BitcoinEducation
Advice for beginners ; F.O.M.O., and the damage it causes.
Don't you wish you could go back to 2016 , perhaps early 2017 and stock up on Bitcoin?? Believe me when I tell you that those of us who did not would ALL like to. The phrase "fear of missing out," has been so commonly said and the resultant emotion so prevalent that it earned it's own acronym.
I am a beginner- novice trader, and I am not here to tell you otherwise , but I can tell you that I bought in repeatedly at the wrong time, caught up in the enthusiasm and euphoria of the raging bull market in early '18. After making several such mistakes , including the error of using Coinbase ,who currently has a wild point spread and charges a fee more than six times higher than the exchange I now use, I began to observe.
If you watch anything long enough you will begin to understand patterns , and in those patterns correlation between the RSI or relative strength Index, various oscillators (I prefer awesome :) ), Bollinger bands, Axm/Dms etc. et. al.
Proper trading relies on an understanding of these correlations , yet is still at least 60-80% psychological. As a green noobie , I engaged in panic selling , bought at highs rather than lows etc.
The psychology of it is simple provided that you believe in your investment. Buy when everybody is freaking out , when there is blood in the streets, and have the steely nerve it takes in order to hold on to what you bought at a higher price. Cutting your losses is called for at times, such as in the time period immediately following Bitcoins all time high , but only makes sense relative to the price you paid. An experienced trader/investor observed and learned things such as described above, purchased at a low entry point , and isn't cutting losses, he or she is TAKING PROFIT, and them using some of that profit to buy more of the currency,commodity or what have you.
If you are already at tradingview you have made an important leap in your journey to proper, profitable trading , but you may also want to know that any exchange worth your time,and especially your business will give you access to tradingview in application.
I would like to share an email I received from Coinbase after an unexplained and drastic change in pricing and fees. It has been submitted to the SEC, and I find it difficult to believe that somebody wrote this and hit send:
"Hi there Christopher,
Thank you for writing in regarding the recent change in your fees. I would be happy to provide insight on what happened here.
We recently ended a test that offered lower transaction fees to a small percentage of customers. We have now converted all affected customers to the same fee structure as the rest of Coinbase’s customers. All fees related to your transaction will be disclosed before you confirm/execute the transaction.
Hope that helps. For more on our fee structure and spread, check out our Fee Disclosure FAQ
All the best,
Coinbase Support" ( I am happy to provide a screenshot upon request, and I assure you, the fee's weren't lower , and I did not sign up for experiments.)
1. PLEASE vet your exchange I am currently paying .24% with a 1-2 point spread at most, based on trading volume.. I am rewarded for trading volume with a lower fee. Other exchanges offer coins ( Binance offers Binance coin, valued at approximately 10.00 U.S.D.) and different promotions. Find the one that's right for you.
Coinbase is 1.49% - 4% , and often has a 50 point spread. If you want to see for yourself , open a trading view chart , and a coinbase currency pair - use BTC if you really want to see a spread. You cannot profit easily at coinbase . Not with interest and fees of the type they charge. Coinbase, b.t.w. , does not offer access to trading view. Many people in the United States use coinbase because they believe it to be safe. Those people should know that overseas exchanges are rapidly developing relationships with American banking institutions , making international wire transfers unnecessary. Coinbase is currently under Federal investigation.
2. While at this site , you have the opportunity to engage in "paper trading." Do so as you learn. You are given $100,000.00 U.S.D. with which to play. When you are gaining more than you are losing , when your paper account is growing , you are now ready to trade in real currency.
3. Any exchange worth it's salt will offer access to at the very least it's own custom version of tradingview . Mine does that and offers the tools I mentioned above.
4. There is no sense of urgency no matter how well founded that can obviate the need for learning and common sense . STUDY! I lost thousands in my early days. Friends don't let friends trade F.O.M.O.
3. Do not add to a losing position , or try to "make your money back." It just does not work that way. Walk away and profit another day.
4. STUDY. Take months to observe things like relationships between days of the week and price trends. They exist.
5. Avoid ANY sort of exchange within or outside of crypto that charges high monthly fee's and offers you free trading if you recruit others. I know of a site where if you recruit enough people the need to even trade is obviated. They pay. Sound like a pyramid scheme? You already know that 99% of the time that if it is too good to be true it often is. Remember Bernie Madoff and acknowledge that more like him are out there , and given the nature of crypto , likely involved.
6. Best of luck . Relax and have fun doing this. If you cannot , maybe it just isnt for you?
7. Just my thoughts but I would stick with fiat/crypto pairs. USDT has just shown us that it isnt well tethered at all , and resulted in the "Kimchi" premium currently confusing people , and allowing for arbitrage trades.
I am a beginner- novice trader, and I am not here to tell you otherwise , but I can tell you that I bought in repeatedly at the wrong time, caught up in the enthusiasm and euphoria of the raging bull market in early '18. After making several such mistakes , including the error of using Coinbase ,who currently has a wild point spread and charges a fee more than six times higher than the exchange I now use, I began to observe.
If you watch anything long enough you will begin to understand patterns , and in those patterns correlation between the RSI or relative strength Index, various oscillators (I prefer awesome :) ), Bollinger bands, Axm/Dms etc. et. al.
Proper trading relies on an understanding of these correlations , yet is still at least 60-80% psychological. As a green noobie , I engaged in panic selling , bought at highs rather than lows etc.
The psychology of it is simple provided that you believe in your investment. Buy when everybody is freaking out , when there is blood in the streets, and have the steely nerve it takes in order to hold on to what you bought at a higher price. Cutting your losses is called for at times, such as in the time period immediately following Bitcoins all time high , but only makes sense relative to the price you paid. An experienced trader/investor observed and learned things such as described above, purchased at a low entry point , and isn't cutting losses, he or she is TAKING PROFIT, and them using some of that profit to buy more of the currency,commodity or what have you.
If you are already at tradingview you have made an important leap in your journey to proper, profitable trading , but you may also want to know that any exchange worth your time,and especially your business will give you access to tradingview in application.
I would like to share an email I received from Coinbase after an unexplained and drastic change in pricing and fees. It has been submitted to the SEC, and I find it difficult to believe that somebody wrote this and hit send:
"Hi there Christopher,
Thank you for writing in regarding the recent change in your fees. I would be happy to provide insight on what happened here.
We recently ended a test that offered lower transaction fees to a small percentage of customers. We have now converted all affected customers to the same fee structure as the rest of Coinbase’s customers. All fees related to your transaction will be disclosed before you confirm/execute the transaction.
Hope that helps. For more on our fee structure and spread, check out our Fee Disclosure FAQ
All the best,
Coinbase Support" ( I am happy to provide a screenshot upon request, and I assure you, the fee's weren't lower , and I did not sign up for experiments.)
1. PLEASE vet your exchange I am currently paying .24% with a 1-2 point spread at most, based on trading volume.. I am rewarded for trading volume with a lower fee. Other exchanges offer coins ( Binance offers Binance coin, valued at approximately 10.00 U.S.D.) and different promotions. Find the one that's right for you.
Coinbase is 1.49% - 4% , and often has a 50 point spread. If you want to see for yourself , open a trading view chart , and a coinbase currency pair - use BTC if you really want to see a spread. You cannot profit easily at coinbase . Not with interest and fees of the type they charge. Coinbase, b.t.w. , does not offer access to trading view. Many people in the United States use coinbase because they believe it to be safe. Those people should know that overseas exchanges are rapidly developing relationships with American banking institutions , making international wire transfers unnecessary. Coinbase is currently under Federal investigation.
2. While at this site , you have the opportunity to engage in "paper trading." Do so as you learn. You are given $100,000.00 U.S.D. with which to play. When you are gaining more than you are losing , when your paper account is growing , you are now ready to trade in real currency.
3. Any exchange worth it's salt will offer access to at the very least it's own custom version of tradingview . Mine does that and offers the tools I mentioned above.
4. There is no sense of urgency no matter how well founded that can obviate the need for learning and common sense . STUDY! I lost thousands in my early days. Friends don't let friends trade F.O.M.O.
3. Do not add to a losing position , or try to "make your money back." It just does not work that way. Walk away and profit another day.
4. STUDY. Take months to observe things like relationships between days of the week and price trends. They exist.
5. Avoid ANY sort of exchange within or outside of crypto that charges high monthly fee's and offers you free trading if you recruit others. I know of a site where if you recruit enough people the need to even trade is obviated. They pay. Sound like a pyramid scheme? You already know that 99% of the time that if it is too good to be true it often is. Remember Bernie Madoff and acknowledge that more like him are out there , and given the nature of crypto , likely involved.
6. Best of luck . Relax and have fun doing this. If you cannot , maybe it just isnt for you?
7. Just my thoughts but I would stick with fiat/crypto pairs. USDT has just shown us that it isnt well tethered at all , and resulted in the "Kimchi" premium currently confusing people , and allowing for arbitrage trades.
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