When The Market Pumps

I have been actively trading in Binance for almost 2 months now and I can say that I have learned to control my emotions already where I no longer panic when the market pumps or dumps. I just simply set my sell and buy orders and wait for them to get filled so that I get to make realized favorable profits.

In my 2 months of trading journey, I believe that I was able to book a satisfying amount of gains already considering that I am just a noob who doesn't even know how to read the charts or use different indicators as I'm just sometimes relying on my luck. And it has been working in my favor so far. In my first month of trading, I earned $950 profit in Spot trading in 1 Month, and in the second one, I earned $400 Profit from trading BCH in 3 weeks.

However, no matter how much you want for the market to always move in your favor so that you get to book huge profits, the market will still mess up with you and it will shift in a different direction leaving you stuck in your trades. And that's when your patience will be tested because it will be a waiting game again where all you can do is wait for the market to dump so that you can buy back the holdings you sold.

If you have been reading some of my articles related to my Spot Trading Journey, you probably noticed my trading method where I usually sell a huge portion of my holdings at a certain price and I try to buy them back as soon as the price dips for even as little as $0.50 to $1 price difference. While this strategy has been working well for me which made me earn decent profits over the past couple of months, this same technique has also made me lose huge possible gains, especially when the market pumps unexpectedly and I have nothing to sell anymore because I sold them too early.

As of this writing, the price of Bitcoin Cash is now playing above the $110 level and the other day, it even reached as high as $118 although it is still relatively low compared to its normal price before. However, because of this sudden pump, I missed out on a huge possible gain again and I'm stuck with my trades because I sold my BCH holdings at a lower price.

I have shared before that I have 27 BCH serving as my capital in spot trading. And I got to sell the first half of my BCH holdings at the price of $104.5. I know it's quite too low to sell my BCH at that price but I was confident that I will be able to buy that back because I still got to make successful trades at that range. Until BTC started pumping which made the other coins pump too and that's when I started getting stuck with my trades.

And because I still had 13.5 BCH lying in my account, I decided to trade them too so that I get to average down the selling price I made with the first half of my BCH holdings. As you can see, I was still able to make 2 more successful trades with my Bitcoin Cash where I booked $22.95 profits for both trades. However, the last sell order I made where I sold 13.5 BCH at the price of $106 is where I got stuck.

If I were to average down my selling price, I got to sell my 27 BCH at the price of $105.25 so now, I'm just patiently waiting for Bitcoin BTC to dump already so that it will drag down the other coins which include Bitcoin Cash BCH.

I actually have experienced this so many times already where I only got to buy back my holdings after more than a week and some of my trades even lasted for almost 2 weeks so I'm still confident that I'll get to buy back my 27 BCH soon.

This is the risky part of my "All In" trading strategy because the crypto prices are really unpredictable. You don't know when the market will pump so hard leaving you stuck with your trades. So you just have to learn to control your emotions and don't take any actions that you will end up regretting later on.