• Breaking News

    Saturday, May 1, 2021

    Home Unlabelled Cryptocurrency Monthly Skeptics Discussion - May 2021

    Cryptocurrency Monthly Skeptics Discussion - May 2021

    May 01, 2021

    Cryptocurrency Monthly Skeptics Discussion - May 2021

    Monthly Skeptics Discussion - May 2021

    Posted: 30 Apr 2021 05:00 PM PDT

    Welcome to the Monthly Skeptics Discussion thread. The goal of this thread is to promote critical discussion by challenging popular or conventional beliefs. Please read the rules and guidelines before participating.

    Rules:

    • All sub rules apply here.
    • Discussion topics must be on topic, i.e. only related to skeptical or critical discussion about cryptocurrency. Markets or financial advice discussion, will most likely be removed and is better suited for the daily thread.
    • Promotional top-level comments will be removed. For example, giving the current composition of your portfolio or stating you sold X coin for Y coin(shilling), will promptly be removed.
    • Karma and age requirements are in full effect and may be increased if necessary.

    Guidelines:

    • Share any uncertainties, shortcomings, concerns, etc you have about crypto related projects.
    • Refer topics such as price, gossip, events, etc to the Daily Discussion.
    • Please report top-level promotional comments and/or shilling.

    Resources and Tools:

    • Read through the CryptoWikis Library for material to discuss and consider contributing to it if you're interested. r/CryptoWikis is the home subreddit for the CryptoWikis project. Its goal is to give an equal voice to supporting and opposing opinions on all crypto related projects. You can also try reading through the Critical Discussion search listing.
    • Consider changing your comment sorting around to find more critical discussion. Sorting by controversial might be a good choice.
    • Click the RES subscribe button below if you would like to be notified when comments are posted.

    To see prior Skeptics Discussions, click here

    submitted by /u/AutoModerator
    [link] [comments]

    Daily Discussion - May 1, 2021 (GMT+0)

    Posted: 30 Apr 2021 05:00 PM PDT

    Welcome to the Daily Discussion. Please read the disclaimer, guidelines, and rules before participating.

    Disclaimer:

    Though karma rules still apply, moderation is less stringent on this thread than on the rest of the sub. Therefore, consider all information posted here with several liberal heaps of salt, and always cross check any information you may read on this thread with known sources. Any trade information posted in this open thread may be highly misleading, and could be an attempt to manipulate new readers by known "pump and dump (PnD) groups" for their own profit. BEWARE of such practices and exercise utmost caution before acting on any trade tip mentioned here.

    Please be careful about what information you share and the actions you take. Do not share the amounts of your portfolios (why not just share percentage?). Do not share your private keys or wallet seed. Use strong, non-SMS 2FA if possible. Beware of scammers and be smart. Do not invest more than you can afford to lose, and do not fall for pyramid schemes, promises of unrealistic returns (get-rich-quick schemes), and other common scams.

    Rules:

    • All sub rules apply in this thread. The prior exemption for karma and age requirements is no longer in effect.
    • Discussion topics must be related to cryptocurrency.
    • Behave with civility and politeness. Do not use offensive, racist or homophobic language.
    • Comments will be sorted by newest first.

    Useful Links:

    submitted by /u/AutoModerator
    [link] [comments]

    Stay the fuck out of Moonshot subreddits

    Posted: 01 May 2021 12:58 AM PDT

    Stay the fuck out of Moonshot subreddits

    Take r/CryptoMoonShots for example. This one of the Top-Posts. I censorded the coins so ppl don't get sucked in.

    https://preview.redd.it/ovpfg9o1tgw61.png?width=1116&format=png&auto=webp&s=eccabd50708ffec7a95c88c5a420349874277ac0

    950 Upvotes and a shitload of awards. Was on the frontpage. The comments? Literally everyone is saying it's a shitcoin. So why is it awarded that much? Bots. There is so much to make in this market if you are a scammer, that buying bots and letting them guild and upvote your post is worth it.

    Also the flair: Everyone can post that "solid fundamentals" flair. Even better: There are only 4 flairs of which 2 are "solid fundamentals" so if you don't tag your coin yourself as shitcoin it's basically automatically a coin with "solid fundamentals". The sub is inherrent trash.

    Stay the fuckt out of Moonshot subreddits/Discordservers. Don't believe a word you read there. You WILL get scammed otherwise.

    submitted by /u/robinhood1596
    [link] [comments]

    A wallet is not what you think it is

    Posted: 30 Apr 2021 08:10 AM PDT

    If you're new to the space, here is a quick 101 on wallets.

    Metamask, Electrum, MEW, Trust, Coinomi, Atomic or whatever other application you call a wallet is not really a wallet.

    They are wallet applications that allow you to access and manage your cryptocurrency, NFTs or whatever blockchain asset you have stored in your wallet.

    Your wallet is your private key or seed phrase.

    For example:

    • You download Metamask
    • It gives you the option to create a seed phrase/private key
    • The same seed phrase you can import to other applications like Trust, MEW, Atomic and your ETH will be accessible on both Metamask and those applications.

    So next time you download a new wallet application, you don't have to create a new seed phrase, you can just import the one you already have to manage your existing funds in both applications.

    Just thought I'd share this since I work in crypto and I noticed that a lot of users don't know this.

    EDIT: I felt obliged to add that this is the reason you should never ever share your private keys with anyone. Your keys are your sole access to your assets on the blockchain so keep them secure.

    Happy Friday!

    submitted by /u/MagoCrypto
    [link] [comments]

    Bill Maher just went full boomer

    Posted: 30 Apr 2021 08:42 PM PDT

    Well that was gross... Bill Maher did a crypto segment at the end of his show tonight full of misinformation and quotes that were disproven months and years ago.

    Worst part is he compared it to the housing crisis which is the centralization we're all trying to move away from.

    I usually like Bill Maher's show, but he can fuck off tonight. He doesn't have to like crypto, we're happy owning his share

    Edit: adding clip link https://youtu.be/HaJpYjO136o

    submitted by /u/DarthRaider-
    [link] [comments]

    Do NOT F$$k Around When It Comes To Taxes!

    Posted: 30 Apr 2021 10:10 PM PDT

    FIRST, THIS POST IS NOT PROFESSIONAL LEGAL ADVICE!

    Seeing the flocks of newcomers and those who've made some money with crypto in the past year or two, I think this is the perfect time to remind you guys that you should not mess around when it comes to cryptocurrency-oriented capital gains!

    Depending on your citizenship, your country's laws regarding capital gains resulted from cryptocurrency trade may vary.

    Below are a few tips for you, the savvy investor:

    1. Learn your local laws. This is a BIG one! Familiarize yourself with the local laws and regulations regarding cryptocurrency investing in general and tax laws in particular.
    2. Keep track of all numbers. Keep track of all trades you make. Buying price, date, selling price, coin pairing, exchange, etc...
    3. Now knowing and understanding the local laws and regulations, you may want to reconsider your investing strategies. Frequent VS non-frequent trading, trading fees, asset security, etc...

    While this is not a full-on guide, I wanted to at least put this in some of your heads, that you may make or may have already made 'easy' money with cryptocurrencies, but always remember that the taxman is watching, even if he is quiet.

    I do understand that some coins/tokens provide more privacy than others, but the big ol' tax man is the last person you want to be enemies with.

    Edit: Added a couple of country links.

    Edit 2: Why are some of you downvoting this :/

    submitted by /u/cpdk31
    [link] [comments]

    One of the Largest Bitcoin Whales in Crypto History Just Moved $2,000,000,000 in BTC

    Posted: 01 May 2021 02:40 AM PDT

    Crypto Made Me Realize that Mainstream "Geniuses" Are All Full Of Sh*t

    Posted: 30 Apr 2021 09:19 PM PDT

    Back when I was a naïve teenager I thought that guys like Elon Musk, Bill Gates, and Warren Buffet were geniuses in every regard. I'd look for their opinions on certain matters and follow them blindly because they were rich.

    But ever since I joined crypto I realized how similar they are to regular people. Like many they are also quick to jump to conclusions and usually have no clue what they are talking about when it comes to cryptocurrency.

    I got the idea to write this when I saw Bill Maher's recent shit show on cryptocurrency. Quotes were getting thrown up on screen from some of these prominent people and it had me wanting to bash my head into a wall. Don't be discouraged fellas. This is a good sign that we are much smarter than they are about this. Just remember that we have major companies adopting blockchain technology. This is just the beginning.

    Most people don't even know what a smart contract is, we are way early.

    submitted by /u/Gtamachinamer
    [link] [comments]

    #1 NFL draft pick Trevor Lawrence dumps entire $23mil signing bonus into BTC, ETH, and some shitcoins ✊

    Posted: 30 Apr 2021 09:56 AM PDT

    What is you end goal for crypto?

    Posted: 01 May 2021 01:50 AM PDT

    For me it's not about the lambos or private jets.

    Both my parents have worked hard their entire lives. Working 7 day weeks and sacrificing a lot to give me a good education they weren't able to have so I can have a better future.

    My goal is to pay it forward and make their retirement as enjoyable as possible. Whether their wish is to travel the world or live in a peaceful environment. They deserve it and i could not be any happier if I am able to achieve this.

    submitted by /u/Kaizenmz
    [link] [comments]

    Visa Adds Cryptocurrency to Its Settlement Platform

    Posted: 30 Apr 2021 04:37 PM PDT

    This bull run is nothing like 2017

    Posted: 01 May 2021 02:58 AM PDT

    I don't understand the comparison. The world is in a state in which we haven't seen since the Spanish flu. Global economy is in tatters, I believe their were comparisons that put a lot of countries in the same economic status as to when world war 2 ended. People are still dying in the thousands everywhere and millions of businesses are clutching at straws.

    We need to realise that 2017 may as well of been a completely different plane of existence, this time around we have NFTS, we have EFTs, we have major adoption from huge businesses like Tesla, major adoption from continents like Africa and countries such as Nigeria.

    Comparing Apples to oranges.

    I don't feel like we will have an 80% crash at all. A lot of what's being said feels like fear mongering or some weird form of PTSD that some people seem to have.

    submitted by /u/Disguustang
    [link] [comments]

    10 of the most common Top Posts of All Time Summarized in One Sentence

    Posted: 30 Apr 2021 11:42 AM PDT

    We all know that the front page gets inundated with similar material on a reoccurring basis.

    ​

    For reference, I've created a list of 10 of the most common Top Posts of All Time and summarized them each in one sentence, with some additional linked material and discussions.

    ​

    1. Don't look to Elon Musk, Mark Cuban, and other popular figures as a source of guidance

    These prominent figures need to be viewed with skepticism, as their pockets are deep, and they stand to reap great reward from the groupthink of little fishies like us.

    ​

    References:

    ​

    2. Robinhood and WeBull are NOT places to invest in crypto

    Aside from the fact that Robinhood has done multiple shady things in the past like front-running order books and disabling buy/sell buttons, the primary reason to avoid these exchanges is because you don't actually own the crypto when using their services. The rule of thumb, "not your keys, not your coins."

    ​

    References:

    ​

    3. Be wary of Youtubers because they have their own motivations and are ultimately trying to pump their own bags

    Youtube can be a great source of information, but it is very common for Youtubers to leverage their audience for their own personal benefit.

    ​

    References:

    ​

    4. Don't dwell on past gains that you missed out on during previous Bull runs

    Hindsight is 20/20. We all wish we drank from the BTC faucets back in the day but it's not worth beating yourself up over. We are here now, let's make the best of it.

    ​

    References:

    ​

    5. DeFi is the way of the future

    The traditional centralized markets are comprised of middlemen and gatekeepers that all need a cut of the money going through transaction. Decentralized Finance (DeFi) and Decentralized Exchanges are removing the middlemen and revolutionizing the nature of financial transactions.

    ​

    References:

    ​

    6. There are many ways to earn FREE crypto daily

    It doesn't matter if you're rich or poor, you still have an entry to crypto investment with these ways to earn free crypto.

    ​

    References:

    ​

    7. People have opinions about Dogecoin

    Heavily debated on this sub- the tokenomics of Dogecoin don't lend themselves to sustainable price increase in the long-term, but the laws of Supply vs. Demand are counteracting the tokenomics in this current Bull run. How long will it be sustained? No one has the answer.

    ​

    References:

    ​

    8. There are a lot of Shitcoins and Scams now, maybe even more than before

    As of the past few months, Shitcoins have been penetrating the mainstream ethos and serve as a significant risk to less-seasoned investors who might fall prey to scammers and rug pulls.

    ​

    References:

    ​

    9. Be careful about telling others you own crypto, or suggesting to them that they invest in crypto themselves.

    The more insight people have into your net worth, the more susceptible you are to being targeted by someone with malicious intent. Divulging your holdings and recommending crypto to family and friends can introduced severe complications into your relationship.

    ​

    References:

    ​

    10. Your health is the #1 priority

    We are all heavily invested in crypto not just financially, but mentally and physically. It is hard to disconnect and stop watching green and red candles every waking moment. Being able to dedicate uninterrupted focus on personal relationships and other interests is highly liberating and a goal every member of this sub should prioritize.

    ​

    References:

    ​

    BONUS: Thank you Mods and Moons are cool.

    ​

    Hope it helps.

    submitted by /u/veryeducatedinvestor
    [link] [comments]

    Bitcoin maxis will lead to the downfall of Bitcoin in the long run

    Posted: 30 Apr 2021 11:12 PM PDT

    Bitcoin maxis are one of the most toxic/arrogant groups I've encountered here, even when I was a beginner. They claim every coin that isn't BTC is a absolute shitcoin and that BTC has no problems what so ever. It's a massive circle jerk of people who've made Bitcoin into their entire personality (almost as if their using it to cover up insecurities). And they've only gotten worse with BTC's declining dominance. We get it Bitcoin is neat, you don't need to have a Bitcoin pogo stick in your ass all the time. Most of the time they don't care at all about trying to solve the issues BTC has and when they try to they do it in a contradictory manner. These type of people would be the equivalent of me trying to tell people why we should only use the iPhone 1 and nothing else forever. It's so ridiculous how close minded they can be. This sort of complacency and toxicity will lead to Bitcoin being flipped I can assure you. Hell, ETH is creeping up because they actually have the capacity to evolve--you know how all technology does.

    submitted by /u/mybed54
    [link] [comments]

    CryptoSeasons investment game has begun!

    Posted: 30 Apr 2021 05:21 PM PDT

    Hi guys,

    I made a post 10 days ago and got a lot of positive feedback so I wanted to give a quick update. I hope it's alright. The game has just begun and lasts 30 days.

    • You start with $50.000 play money
    • Trade cryptos from a selection of the top 315 coins
    • When the competition ends, the player with the highest networth wins.
    • It's completely free to join with prizes to the winners.

    If you are interested, here's the link:

    https://cryptoseasons.app/

    submitted by /u/PlebTech
    [link] [comments]

    That's what you get for chasing shitcoins: trader goes from $185k to $0 in 3 weeks

    Posted: 30 Apr 2021 07:22 AM PDT

    The scariest thing about crypto! - Is moving your crypto!

    Posted: 30 Apr 2021 05:55 PM PDT

    As a recent crypto lover moving from novice > moderate. The scariest thing as a newbie was moving crypto around. The new people to crypto always here about the horror stories of moving crypto around and sending it to the wrong address. Losing all your money.

    This makes people afraid of moving their crypto off exchanges. Then they also always hear about how terrible crypto exchanges are and how they can keep your money for themselves. So it's an catch twenty-two for new people to crypto!!! How are people supposed to adopt crypto if they always hear these two situations?

    Here's my story. Back in 2017 when I got my first crypto and was so afraid to take it off exchange. Sold for a loss in 2018. Didn't touch crypto back until 2020. I decided this time I'd be more knowledgeable and wiser.

    Moving your crypto isn't that scary! Learn about your coins blockchain, figure out how long it takes to process. Copy paste your wallet address. Double check the address and hit send! It's like entering your credit card number on website.

    submitted by /u/ProbeRusher
    [link] [comments]

    Just, the sheer amount. The sheer amount of degenerate shitcoin creators and gamblers is appalling.

    Posted: 30 Apr 2021 05:35 PM PDT

    Just, the sheer amount. The sheer amount of degenerate shitcoin creators and gamblers is appalling.

    Someone shared a cool website https://tokensniffer.com/ to search for crypto projects.

    As a start to search scamcoins, I searched good ol' Safemoon. And fuck are there so many knockoffs of it.

    ​

    https://preview.redd.it/b4xcempomew61.png?width=1531&format=png&auto=webp&s=258e73787f4ea044fd97647e76da2da53dbf0805

    https://tokensniffer.com/token/0x8076c74c5e3f5852037f31ff0093eeb8c8add8d3

    It shows there are 2447 "similar" tokens which in baby terms, is a complete copy paste and edit of.

    OK, let's look at one random coin in this list, MoonDoge.

    After further research in r/CryptoMoonShots, it's deleted.

    ​

    https://preview.redd.it/6zricpcpmew61.png?width=784&format=png&auto=webp&s=555f0169036c6064c79a24d5c1b835acd8cbd100

    Alright. Now let's look at SafeSex (SAFESEX).

    ​

    https://preview.redd.it/cznnx84qmew61.png?width=761&format=png&auto=webp&s=d188da0c5fa409950cd046ee8d04ab70c7339037

    Lo and behold, I'm not surprised. To show that 207 upvoted (probably botted, but who cares), so many people are spending what I call "dumb money" on these stuff. Man, fools and their money sure do part.

    The actual magnitude of the amount of shitcoins with either "SAFE", "DOGE", "ELON", "MOON" and "GATE" is absolutely through the roof. I'm talking hundreds. It's actually hilarious at this point.

    Like, if you want to make a pump and dump exit scam coin, putting those 5 words in your crypto should be the last thing you want to do to get normal brained investors to invest, let alone shill it with flashy emojis.

    But no, somehow, magically in this world, these coins have fucking millions of mcap from the investors they entice. It really makes my eyes bleed that crypto has come to become worse than the bitconnect era, and tells me these shitcoin makers are either stupid for being oblivious to show that their coin is immediately a scam, or smart for manipulating the stupid masses. I bet more on the latter.

    submitted by /u/Bulliiish
    [link] [comments]

    Cardano Announced Second Major Partnership in Africa

    Posted: 30 Apr 2021 03:39 AM PDT

    OIN Finance deploying on Harmony blockchain to create a ONE-backed stablecoin

    Posted: 30 Apr 2021 06:39 PM PDT

    We are living in a point of time where the amount of people that ridicule you if you invested in crypto is less than ever.

    Posted: 30 Apr 2021 10:23 PM PDT

    In 2017, when crypto was a bubble, the amount of skepticism was unreal. I never had bitcoin back then, but I've seen too many stories of people saying "it'll crash and it's a failure" to investors and when it did they said "told ya so!"

    Bitcoin just proved itself it's a good investment in this return of the bull run, back with a vengeance, and now it's biting doubters in the ass.

    Now someone mentions on Twitter, "bitcoin is a dead project" or "bitcoin is a bad investment" and you would get tons of crypto guys rebuking them with confidence now. It sure wasn't like that back then.

    submitted by /u/globalWarmingCowFart
    [link] [comments]

    If ethereum ends this year at 10k what will that mean to Bitcoin?

    Posted: 01 May 2021 02:58 AM PDT

    I know talks of a coin replacing another isn't the most popular conversation you can have around here but I just can't see why I'd use Bitcoin as storage of value rather than using eth for that, especially since eth has way more utility and a much superior technology.

    I mean google wasn't the first search engine either, it is a poor comparison I guess but to the uneducated eyes it seems like the Bitcoin days are counted.

    submitted by /u/BadAssPleb
    [link] [comments]

    Bitcoin shot higher after the expiration of $4.2 billion worth of bitcoin options contracts

    Posted: 30 Apr 2021 04:36 PM PDT

    50 Top Tips For Newcomers to Cryptospace!

    Posted: 30 Apr 2021 03:54 PM PDT

    ​

    r/CryptoCurrency is the fastest growing on Reddit, and we're currently at 2.4 million subscribers and I'll wager a lot more lurkers/unsubbed. The majority of the new people may have only just discovered cryptospace or even investing for the first time, and it can all be quite daunting. Especially looking it to this subreddit with it's established diction, memes and rules. I see lots of posts saying "be nice to new people" and "don't be a dick to newbies" farming lots of upvotes, but not much actually helping new people or pointing them in the right directions. So to that end:

    Here are 50 tips for new investors to really help out; stuff I wish I knew when I started in 2017.

    Standard clause about tips and tricks below shouldn't be mistaken for professional investment advice; instead this is basic friendly advice to mull over. I'm a stranger on the internet. Don't listen to me. Or do. Learn from my mistakes. Or don't. :)

    ​

    1. Use a digital exchange, not a broker. You'll save money on fees.
    2. When you buy/sell via an exchange, try to use limit orders (try not to use market orders). On some exchanges, limit orders are MUCH cheaper than market orders. Even if they aren't, they tend to be easier to work with as you can set them and forget them and avoid slippage.
    3. You can short crypto, or long crypto. You can go long in crypto, meaning you are betting on crypto going up (for example by buying crypto). Or you can short crypto, meaning you are betting on it going down (for example by short-selling crypto). Meanwhile, if you have the skills, you can do both depending on the price action (you can even use short positions as a hedge). With that said, in the US, in many states, there are very few options for shorting crypto. If you are new to crypto, you should consider just going long. If you would go short, you can mimic a 1x short by selling and going to cash!
    4. Figure out if you want to go for long-term trades or short-term trades. Are you going for short term trades with every penny you have to invest, or are you going to go for the long term with some and trading short term with some? Long-term investors will pay a lower tax rate if they can hold for over 12 months, but as a trade-off, they WILL have to sit through corrections (likely seeing their balance go down 50% plus on paper as often as they see it go up). Short-term investors can avoid corrections if they are nimble, but they'll owe taxes on the profits from each trade they do along the way.
    5. If you are going to aim to be in crypto for the long term, consider building an average position (for example via dollar cost averaging or value averaging). There is no better way to avoid making a poorly timed trade than buying incrementally instead of all at once and thereby buying an asset at its "average" price over time. If you don't have a really solid grasp of technical indicators and the way the volatile crypto markets work, consider averaging out of positions as well. Averaging isn't just financially conservative, it is important psychologically. Taking too big of a position at once can be emotionally difficult to deal with (and can thus lead to bad decision making) given the historic volatility of the cryptocurrency market.
    6. Consider laddering your buys and sells. In other words, instead of buying or selling everything in one chunk, set incremental buy and sell orders to buy when the price goes down and sell when the price goes up. Laddering and averaging will help you to avoid mistiming the complex and volatile cryptocurrency market. Learn about dollar cost averaging and laddering.
    7. Learn about position sizing and risk management. To the above point, one generally takes a much larger risk with bigger bets. Learn how to make the right size buys and sells to avoid losing too much on a bad play. See: The Basics of Risk Management and Position Sizing in Cryptocurrency.
    8. Remember Cryptocurrency is a 24/7 Global Market. IT IS NOT LIKE THE STOCK MARKET WITH OPEN AND CLOSEING TIMES. In other words, the market never sleeps. Since you do, consider automating your investing strategy using limit orders, stops, or even using APIs (via "trading bots").
    9. Dad advice: Aim to buy low, sell high; try not to buy high, sell low. Look at the price trend, if we are at the highest point it has been in the past 24 hours (days, weeks, etc), that is inherently riskier than buying at a short term low. It can make sense to buy as the price starts to break out (to "buy into strength"), but buying after a breakout at a new high while filled with excitement is a little "irrationally exuberant." This is to say, aim to "buy the dips" and often "the best time to buy is when there's blood in the streets… even if it is your own." Conversely, the worst time to buy is often (but not always) right after the price has shot up and everyone is manic. If you do buy high, and it ends up dropping shortly after, consider HODLing (to "HODL" is to Hold On for Dear Life as the price goes down). Buying the dips and holding can be dangerous in a bear market, and it can put pressure on you to sell low if you overextend, but it is still often better than FOMO buying the top. Sometimes it can be wise to sell for a loss or to buy when the price is at a local high, but knowing when this is the case requires a rather high skill level. Thus, although rules sometimes are best broken, start by aiming to buy low and sell high. Two last points A. Knowing when to take a loss is hard, buying the dips and holding is easy. B. The dips WILL happen, you must be patient and ward off FOMO! C. If you aren't willing to see 90%+ losses, then call a point where you will take a loss and stick to the game plan.
    10. You cannot "buy the dips" if you have all your money to invest already invested. LET US STRESS THIS POINT! The point should be obvious, but it bears repeating over and over. It is tempting to go all-in, but that limits your options. Consider always having some funds to the side to buy an unforeseen downturn. Even if you want to "go all-in" on crypto… leave yourself at least a little money to the side just in case. If you are all-in and the price takes a hard downturn, it takes lots of options off the table. It is hard not to go all-in when a coin goes down 60% – 80% over the course of weeks or months, but sometimes they go down even more than that, and it is wise to always prepare for the worst case.
    11. Learn the Difference Between a Bear Market and Bull Market. General wisdom says "Buy support in a bull, sell resistance in a bear." Regardless of what type of investor or trader you are… you should learn to spot the difference between a bear and bull market and shift your tactics appropriately. From 2015 – 2017, during a long bull run, you could essentially buy every Bitcoin dip and come out ahead. In 2014 and 2017 buying dips was mostly rewarded with heavy losses. In 2014 and 2018, two bearish years, shorts could short every resistance and profit. In 2015 – 2017, it was rarely safe to short Bitcoin. Knowing the difference between a bull and a bear can be a big deal in any asset, but with the brutal market cycles of crypto, it is especially important to learn the difference.
    12. Bitcoin (BTC) is King/Queen; Don't Get Overly Optimistic About Altcoins. Those who invest in BTC tend to get itchy fingers when BTC stagnates and alts go up. Sure, going into IOTA or ZCash can be a brilliant move at times… at other times you'll be holding the bag while everyone moves back into BTC. Stick with coins you know and like, but consider always being partly in BTC (not 24/7, but in general). This advice applies somewhat to Ethereum as well, but first and foremost BTC is the center of the crypto economy.
    13. Learn to value coins in BTC. Ether aside, Bitcoin is the current primary currency of the crypto economy (i.e., its what you have to use to buy most altcoins). Those new to crypto tend to value things in dollars. Meanwhile, even seasoned cash traders value coins in dollars. However, enough crypto traders will value coins in BTC for it to matter. If you aren't aware of the BTC charts, you won't be able to properly understand the trends everyone else is analyzing and reacting to. You don't have to make getting more BTC your goal, but you must have the BTC prices of altcoins on your radar. There are times when all coins move up, but altcoins steadily lose value against Bitcoin. Those who know will be the first to dump altcoins for Bitcoin; this will set off a vicious cycle that can result in the stagnation of altcoin prices.
    14. Altcoins and Bitcoins tend to react to each other. Sometimes they do the opposite of each other and sometimes they do exactly the same thing. It is not rare to see Bitcoin go down while alts go up (and vice versa). This is because almost everyone who has alts has Bitcoin, so they tend to move out of Bitcoin when it goes down and move into alts (and vice versa). Almost just as often as this is the case it isn't the case. Many times, all coins will go up or down together (generally following Bitcoin's lead). This dance often results in Bitcoin outperforming altcoins, however every x months we will see an alt boom where alts outpace Bitcoin quickly. If you can time that, great. Try to spot it coming and there is big money to be made. Meanwhile, alts can be tricky to just HODL, as they tend to lose value against fiat and BTC in the offseason. Learn more about the relationship between Bitcoin and Alts. In a word, alts are generally more volatile than Bitcoin.
    15. Speaking of the last few points, realize that crypto tends to be pattern based and tends to go in cycles. See "the cryptocurrency rotation" and "market cycles" for an in-depth look at what this means. You want to be in a coin before it starts its rotation, and then laddering out as its rotation ends. Likewise, in a perfect world, you want to be in for the bull part of a market cycle, and out for the bear part. Near impossible to spot these trends in advance, but with experience, you should be able to spot them as they occur and manage your positions accordingly.
    16. Consider Diversifying. With the above advice in mind, there is nothing worse than getting frustrated with BTC, moving to ETH / alts and missing a BTC price spike, then moving back into BTC and missing the ETH spike. This is very easy to do given the rotation, and the natural urge to "FOMO buy." If you have some of your funds in all the coins you trade, you'll avoid missing out on a unicorn (a term one can use to describe an odd event, like a giant price spike in a short amount of time). If you diversify, especially when prices are low across the board, you'll avoid some of the urge to jump into one coin mid or late into a run and out of a coin just before it goes on its run. In other words, although it isn't the most profitable tactic, diversifying is good for one's sanity in a number of important ways.
    17. Learn Technical Analysis. Technical Analysis (TA) is the analysis of price and volume data and trying to predict future trends based on that. If you know how to read a chart, you'll be better able to understand how things like candles, moving averages, RSI, and the order book can clue you into good spots to buy and sell. Crypto defies logic all the time, but basic indicators are still helpful to understand. TIP: You don't have to be good at TA, you can just follow others who are. Fibonacci support and resistance levels, moving averages (try 12, 26, 9 MACD on 4hr candles), RSI, and a few other popular indicators are vital to wrap your head around. All the pros use these, and all the big players have bots who run strategies based on these (complex versions of these at least). You can't afford to ignore TA if you are going to trade crypto and not just invest in it. I suggest you get familiar with tradingview.com ASAP. See a basic TA strategy. TIP: Do your own TA, every trader has an opinion, often their opinions are wrong. Many analysts thrive only in bear markets, or only in bull markets, or only on a certain style of trading. Only you know what is right for you!
    18. Watch the Order Book. The order book (found on all exchanges) can give you a good sense of what buy/sell orders are "on the books" (sitting on the market waiting to be bought or sold). If you see a lot of sell orders at a certain price and want to sell, you may aim to sell under that price. Likewise, if you are waiting for the price to drop to buy, look at the distribution of other people's buy orders. Just watch out for artificial buy walls and sell walls (large orders that aren't meant to fill). You'll almost always find buy walls and sell walls at support and resistance levels.
    19. Hold some coins, range trade some coins, keep money on hand for a dip, and set some high-ball and low-ball orders. If you want to ensure you are happy no matter which direction the winds blow, then be set-up to benefit from whatever comes next. If you have some coins you hold, some coins you trade daily or weekly, some money set aside for a dip, and some high-ball and low-ball orders set, then you stand to benefit regardless of what happens. It can be tempting to cash out of crypto or go all in, but both of those can be disappointing if the market goes in the opposite direction you were hoping for. It isn't always the most profitable move to run a strategy like this, but it can help you to gain experience and have something to be excited about in almost any market. TIP: Note that diversifying your strategy and holdings eats into profits, but offers flexibility. It is a trade-off.
    20. Use small buy-ins, and don't margin trade or short unless you know your stuff. The smaller your bet is compared to your total investable funds, the less risk you are taking on every bet (one of many insanely important things we are covering here). Putting it all on black is tempting, but then if it comes up red, you have nothing left to invest. Live to fight another day by learning to manage your buy-in size. As a rule of thumb invest 1% or less per buy-in (yes, that small, really; losing 100% of 1% leaves you with 99%, losing 1% of 100% leaves you with 99%. Small bids offer the same bet, but with way less risk). Put reward aside and practice risk management and capital preservation until you are very experienced (and thus, by logical extension: don't margin trade or short unless you know what you are doing, as those leveraged bets magnify your risk by their very nature).
    21. Don't zoom in too much on the price trends of the moment; don't sweat the small things. It's easy to zoom in and get stressed when a coin goes from $220 to $213 (or something like that). However, these little movements only matter if you are day trading large amounts of coin relative to your total investable funds. Zoom out a bit and look at trends over larger periods of time. Don't think of that $213 relative only to $220, think of it relative to the $100 a coin was at a few months back, the $400 it was at after that, and the $100 it was at just a little while ago. From that perspective, a fluctuation between $220 and $213 is nearly insignificant. I will rarely make trades on timeframes shorter than 2hr candles, and I generally am looking at 6 hr and daily candles, because I value my sanity and am focused on the long term trajectory of crypto. That only changes in very specific instances and with purpose. If you zoom in too much, you lose sight of overarching trends (many of which are actually stronger indicators of what is actually happening).
    22. In stocks, it makes sense to sell losers, but that isn't always true in crypto. In stock trading, if a company is not doing well, it can be smarter to sell their stock and buy a stock that is doing well. In crypto, big changes can happen quickly. A bearish coin can make a turnaround at any support level or based on some good news or rumors and make 100% gains in a matter of hours. If you aren't trading frequently and aren't at a computer 24/7, it can be a solid move to slowly build a position in a coin that isn't doing well, but that you think is a good long-term bet. The only exception to this rule is this, if you understand TA, it is generally wise to ladder out when all the short-term averages have fully crossed under the long term and in when they have crossed over. Your goal is still the same, to build a position low and hold until highs, you are just practicing some risk management in between. This added measure helps protect you from long bear markets. In other words, only sell losers if you have a logical reason and trust yourself to buy back in. If not, focus on building average positions (but plan for the worst before it gets better). Bottomline on this: Stocks move much slower than cryptos. So a loser sold now and shifted to a winner can mean months upon months of rewards. Cryptos tend to move fast and go into bear and bull mode in groups and go on runs at the blink of an eye. Sell a loser today and shift it to a winner, and trends could be changing by the time you wake up. It isn't that you should never sell the losers and buy the winners, it is that it is trickier in crypto than it is in stocks and the same logic doesn't apply exactly.
    23. Accept that coins can go to zero, and even good coins can lose up to 80%+ of their value (especially against BTC). There are many coins that didn't make it to 2018 that were once highly valued and popular. Meanwhile, even some giants of today like ETH and XRP have seen their value in BTC prices drop to depressing levels. You should prepare for this mentally and have a strategy that factors this in. If you buy the dip in ETH from .15 down, .08 may look like an excellent price, but you have to be ready for .02. ETH holders who didn't prepare for this had a depressing June 2017 – December 2017. Heed my warning, that new coin doesn't have to moon twice, it can go to literal zero, and even those that will moon again… they can have long seasons of stagnation in between (where they lose value against BTC for months on end). See the Crypto Graveyard and please look at the historic charts of major alts like XRP (the gap between moons is real and some coins really don't make it).
    24. React to "the Mood of the Market," But Otherwise Pick a Strategy and Stick With It. The market changes moods, and some strategies are better than others in a given market. So you'll likely want to evolve your strategy as the market changes, and you learn. However, you'll also likely want to avoid things like going long for most of the year, but then 9 months into your investment you start day trading when the market is down. Sometimes it can be tempting to change one's strategy to adjust to the current market (for example if the market is bearish and trading in a tight range), however, this can get you in real trouble if you don't make very careful moves. A long investor who starts going short will start realizing capital gains and will risk being in fiat if and when there is a recovery (recoveries, like corrections, can come on very quickly and without warning). If you do switch from long to short, make a commitment to yourself to buy back in upon a certain event occurring (like the 5 day EMA crossing the 50 day on 6 hr candles; something like that). I've hear countless stories of plans to buy back in, they often end with "but I didn't," those are the stories told in bull markets by very sad people.
    25. To stress some points made above, realize that a diverse portfolio and investment strategy will eat into gains as often as it staves off losses. The only way to make big profits most of the time is to make risky moves. If you go all in on a single coin at a given price and it goes up, that is a payday. If it goes down, your investable funds are locked into that crypto (unless you want to sell at a loss). Diverse strategies protect against this, but they will also eat into your potential gains (as it is rare for everything to go up or down at once). Know what you are looking for and know how to weight your portfolio to reflect that.
    26. Don't get itchy fingers (AKA be wary of FOMO buying and panic selling). As noted above, if you have a strategy, stick with it. Sometimes the market will go nuts, and you'll see epic gains, and you'll get FOMO (all humans get FOMO, it takes discipline not to react to it). Other times the market will dump hard and that could open you up to the pressure to sell in a panic. Selling or buying at times like those may make sense, but don't get nervous and switch up your whole strategy without thinking about it. Those emotional times is often when bad moves are made. If you are going to buy heavily or sell heavily on a whim, consider taking a step back first.
    27. Watch out for scams. There are a few different scams in the crypto world. Anything that isn't buying a coin with a good reputation is a big risk. In short, be super careful about anything that promises free coins, sick returns, or wants you to lend your coins. Buy the top coins using a careful strategy and ignore all the sites promising you they can outperform the market if only you give them X, Y, and Z.
    28. Don't go downloading random wallets or clicking on random links, but do accept that you have to share information with exchanges. There is some malware out there, and you need to do research and be careful. However, for all you want to protect your privacy, you have to share your info with exchanges you want to use. So share what you have to and download apps as needed, but be careful and do research.
    29. Ignore the noise, do your research, and listen to pros. People on social media will constantly try to sell you magic beans and try to scare you into selling your favorite coin. You should ignore them and do your research. Listening to other people who aren't seasoned pros is probably the worst way to invest. You are better off flipping a coin. Meanwhile, even the pros get it wrong. You'll always find someone caller lower lows at the bottom and higher highs at the top. You are responsible for your own trades and investments!
    30. Don't share your private keys or passwords. You have to share your public address to receive coins, but never share your private keys or passwords with anyone. If you can avoid being online when you enter your private keys and passwords, that is even better.
    31. Double check you are using the right link. Some scam sites will use a similar domain or a very close Twitter address to run phishing scams. Double-check everything.
    32. Lots of traders use bots (you might want to as well if you have the chops). To the next point, lots of traders use trading bots. Some are white hat; some will try to get you to make bad trades. Keep an eye out for bots. If you are using a bot, be careful, there are bots designed to exploit poorly programmed bots. In general, if you don't have a solid grasp of TA and crypto trading, skip the bot. They are only as useful as the strategies they run.
    33. Watch out for Spoofers and market manipulation. Welcome to the wild west, the sheriff is out-of-town, enter the saloon at your own risk. Spoofing caused the flash crash of 2010 in the regulated stock market, and that happens times 10 in crypto. A too-good-to-be-true price spike or dip is often the work of either market manipulators, bots, or both.
    34. Dad Advice: Don't invest more than you can afford to lose. No really, there will be many great investments in your lifetime, there has been in Bitcoins lifetime. Bitcoin doesn't cost $225 anymore. The chances that you'll never have to work again if you invest your life savings in Bitcoin aren't non-existent, but they aren't as good as they used to be. If Bitcoin ends up down, you'll be hodling the bag while others are on to better and brighter pastures.
    35. Take profits. Some investors think "taking profits" is a dirty phrase, but it is a rather conservative strategy none-the-less. Taking profits can result in you making less money than you would have if you did nothing and just "let it ride"… but that is only true if Bitcoin goes up over the long term. If you have hefty profits, consider taking them off the table, and then waiting for a lower price in the future. Worst case, you can buy back in at a higher price later (leaving some potential profits on the table). TIP: If a coin just went up 400%… consider taking some profits. Cryptocurrency almost always corrects at some point after a big run. I personally would say HODLing after making 400% gains is called GREED. I won't ever sell my full stack in one chunk, but I'm going to start averaging out when the MACD turns bearish after a 400% – 1,000% run if the run was somewhat organic. If the run was the result of a pump and dump, then I will likely take it all off the table quickly. Pump and dumps are frustrating events, like I said, watch out for manipulation.
    36. Expect Price Spikes, Expect Corrections, Be Patient, and Stick to a Strategy: Cryptocurrency tends to make big moves in its price and volume. It is easy to get FOMO (fear of missing out) and buy high, and it is easy to get overwhelmed by FUD (fear, uncertainty, and doubt) and sell. If you miss a price jump, it isn't necessarily time to go all-in in an emotionally charged panic. Instead wait patiently for the price to settle (which could take weeks or months) or average in or out slowly. Taking gains after the price goes way up, or making a buy after the price goes way down makes sense. Panic buying after the price just went way up, or panic selling after it went way down is rarely the right move.
    37. Set limit orders for a few dollars under or over recent lows and highs. This can result in you buying or selling before BTC hits resistance. Sure, you can use crazy TA skills to find support and resistance levels, but you can also eye out levels by looking at a chart. 9 times out of 10 you'll be able to eyeball a general support or resistance level and get close to the level a pro would have charted out (partly because the price has likely stalled on / bounced off those levels before; little parlor trick).
    38. Bitcoin tends to find resistance at whole number points. For example, at $4.8k and $4.85k. It also absolutely loves to react at whole numbers like $10k and either drop or run. If you know you want to take profits soon or buy soon, keep an eye on those whole numbers. If you feel like the run must almost be over, pull your profits before the whole number is reached!
    39. Consider setting stop orders after you buy. Did I really just wait to point #37 to commit a whole tip to stops?! They are super important for everything except maybe building a long position over time. A stop order will create a market order when a price is hit. This means stop orders are subject to slippage and fees, but this also means you can calculate your risk. As a very general rule of thumb, one might want to ladder stops when not at a computer to protect their investment. Sure, crypto markets are thin (low volume), and that means prices could dip and eat all your stops (super depressing when this happens). However, most of the time we don't get very deep and temporary dips, and thus most of the time stops will work as intended and simply save your investment in the case of a downturn. I.e., use stops, but be careful and understand the risks.
    40. Watch the news. Did Russia and China just come out against exchanges? Is Bitcoin about to fork? Is FUD in the air? If so, the market could very well react to that.
    41. When Bitcoin forks into a new cryptocurrency… everyone gets free coins. When Bitcoin Cash was created, everyone holding BTC got 1 Cash for every BTC they had. Next time Bitcoin forks this will be true again. NOTE: Forks can be confusing; if you aren't in the fork for the capture date (which isn't always clear) you don't get the free coins. DO NOT CHASE FREE COINS (see next point).
    42. Forks are nice, but they aren't worth losing money over. If it cost you hundreds in losses to get a single Bitcoin Cash, it probably wasn't worth it. In other words, don't let the excitement or fear of a fork mess with your general strategy too much. The best example of the worst that can happen with a fork is Zclassic. This event was really sad. Let is serve as a reminder of how brutal crypto can be and why chasing a fork sometimes just isn't worth it.
    43. Realize that Bitcoin could get supplanted by another altcoin over time. For now, Bitcoin is both king and queen. This won't necessarily be true in the future. Yahoo used to be the search giant; now it is Google. You can be right about crypto, but wrong about coin choice.
    44. If you are a big player, keep in mind you can distort the price (thus, you might actually want to margin trade… or like, spot trade and help us lift the market 😀 ). Volume is decent on any given crypto exchange, but this isn't like trading the S&P. If you are playing with 50BTC, and you try to buy or sell that much at once, you can distort the market temporarily. When you watch buy and sell orders in an exchange, you'll notice that when sells ball up the price tends to drop and when buys ball up the price tends to go up. If you try to buy or sell too hard, you can drag the price up or down a little. If you have insanely deep pockets, you can accidentally be dipping your toes in at-best-grey-area behavior. It is much better etiquette to buy and sell in amounts that are average for the book you are buying on. When a high-level investor buys ten billion worth of a stock or sells, they do it in chunks (to avoid dropping or spiking the price of the asset). TIP: Also watch out for shady people pumping or dumping a coin by doing this. What looks like a lot of buyers could be one person or a group messing with the price. The lack of regulation is a blessing and a curse with crypto, as is the relatively low volume compared to other asset types.
    45. Know when to take a loss. Nothing is less fun than taking a loss, but if you are going short in BTC and you haven't set a stop, sometimes it makes more sense to take a loss and wait for a better price than it does to suddenly start going long. The best way to know when to hold 'em and or fold 'em is some basic TA on longer-term charts (I will use things like MACD on 6hr – 12hr – 1 day candles to confirm trends) paired with unwavering discipline.
    46. Know what you are investing in, and know the risk. Bitcoin is speculative and volatile. Buying near $Xk means buying near the highest price Bitcoin has ever been. Some think Bitcoin is going to $X2k; some think it is going to $10. It is easy to get euphoric and think whatever today's price is a safe bet. Historically that has been true or not depending on the weather on a given day.
    47. Realize that Bitcoin isn't the same as Blockchain. Blockchain technology is something many are bullish on, but that sentiment shouldn't be confused with being sentiment about Bitcoin specifically. Blockchain is not Bitcoin, a company that calls itself blockchain is not the same as the technology blockchain. The new "blockchain killer" might not be.
    48. Fiat Currency is still a thing; BTC isn't legal tender; we don't live in a Libertarian utopia; Governments and Banks aren't as into Bitcoin as you. If you get caught up in the Bitcoin craze, it can easy to forget that the world's governments aren't super stoked on Bitcoin. Libertarians, Tech Geeks, Gangsters, these people are bullish on Bitcoin; world governments and banks, not so much. Last I checked, world governments had a little more power. Betting against them is a risky bet. As we move into the future states have started embracing Bitcoin and crypto, but there is no plan for a state-less state built upon digital currency. Digital currency is at best a supplemental asset class. Be realistic about the potential future here, it is bright, but it is likely not to look like your specific flavor of utopia.
    49. Know thy taxes. Speaking of legal tender like the USD, it is what you use to pay taxes. If you don't understand Bitcoin's tax implications, brush up on them before you start power trading. One could get them into a situation where they make money on paper, but end the year down in Bitcoin without taking their loss, and thus end up owing a bunch of money they don't have in taxes. Those who don't have investment experience can get in trouble if they don't understand the somewhat complex implications of trading crypto.
    50. Watch out for odd Altcoins and ICOs. The market is tricky enough with the major coins, it is even trickier with odd alt coins and ICOs. Yes, sometimes you can buy these low and see insane gains. In fact, getting it right is the best bet in crypto. The problem is, almost all the odd coins down the list and ICOs will spend the majority of their life being near worthless. Then, you may see a short time span in which these coins perform well. You would think that you would be able to take profits then, but so many people do not. After that one event these can end up in the graveyard. Yeah, you could make it big on low-cost alts and ICOs… but I've seen more than a few people lose money. Be careful bottom fishing, Bitcoin might not make you rich, but it is a way less risky bet than coins further down the list.

    EDIT: Formatting for mobile and readability.

    submitted by /u/TonberryHS
    [link] [comments]

    Who HODLd through April?

    Posted: 01 May 2021 12:52 AM PDT

    April had highs, then corrections, pumps and dumps, but overall, most coins are up compared to the start of the month.

    I didn't sell a single thing and am far better off for it. Who else didn't sell?

    Diamond hands aren't earned by holding during dips and corrections; they are earned when starting with a 3 figure investment, watching it grow to 5 figures and holding until you reach 7 figures.

    Buy. Stake. HODL

    submitted by /u/Token_Broker
    [link] [comments]

    ETH hits all-time high near $2,900; BTC rises $4,500 in 24 hours

    Posted: 01 May 2021 02:17 AM PDT

    A historic block was mined today on Ethereum, just over 5 years since the previous block, and nearly 6 since 42069...

    Posted: 30 Apr 2021 09:51 PM PDT
    Read more
    at

    No comments:

    Post a Comment