Many people join crypto to trade it. But not all of them know how to do that correctly.
From my experience trading crypto I learned one of the most important things in my opinion. It's that the trade should take at least a few months. That's the maximum if someone doesn't want to hold the crypto for years. In this case it should be sold only when it pumps a lot. For example that happened to Dogecoin holders. They waited for the coin to grow for years, and it finally brought them a lot of interest this year. But most other crypto jump up and down during a few months. And I can give a few examples looking at their charts versus bitcoin price.
Let's take a look at Bitcoin cash for example :
About a few months ago it costed about 0.02 BTC. Now it cost less than 0.01 BCH. So, it has a chance to hit 0.02 BTC again and many traders have the chance now to double their money. That's why I think long-term trading is much better. When we open the chart, and we choose the period of one year, we see the big picture. That may make the trade always successful. But if we trade choosing the short term, we more likely lose sometimes. As well, it's dependent on choosing the crypto we trade. I prefer to trade those who exist in the market for more than one year at least. That's to see what's happening to the price during a few months at least.
Let's take a look at Hive cash as well :
Looking at the chart during one year we see it jumping between 500 and 2000 satoshies. That means, it's always good to buy it under 2000 satoshies and sell it when it hit about 2000 satoshies. It could hit more of course if you want to trade during years, but not months. Because the long term may bring really great surprises. But in case your goal is to trade it during months, it's better to buy when it's less than 2000 satoshies and sell when it hits 2000 and more. Then repeat that again and again, and you'll always have more. And in this situation it's up to you what you are aiming for. That could bring you more bitcoin and more hive at the same time.
I would like to take the example of Siacoin also :
During this year it was jumping as well from about 20 to about 80 satoshies. Now it's about 30. That means it has the potential to go 80 satoshies again. That's why it's good to buy it when it's less than 80 satoshies and sell it when it will hit that number again. And just like in the case of hive, we should set a goal, or to have more siacoins or to have more bitcoin. Then with the bitcoin earned, it's possible to buy others that are cheaper now. Those trusted coins that were higher during this year and went cheaper now.
Of course there are no guarantees that any crypto will go higher. I mean, when we have at least a gap between selling and buying, we have more chance to not lose the trade !
After all, that's only my opinion and that's how I usually trade. It's not an investment advice at all !
But during all the time trading I never lost any crypto while waiting for months. I learned that a long time ago when I just started trading. I lost about $1000 trading Ripple in 2017 when I didn't wait for months, and earned about $2000 with Lisk when I waited for about 6 months to sell in 2018.
That's my experience and what I wanted to share to not let some of my readers lose the game.
I wish you always a successful trading !
There is a fact that will not change in crypto money, it will definitely rise to the highest level it has seen. Here, those who show that patience win, lose those who sell by acting impatiently and panicking.