Imagine this: You are in a small loosing position. The signals from the market are not clear, but your initial decision is still valid. The loss gets bigger. Will you panic sell? Will you hope? This is where it gets emotional for traders. Here is how you can keep your cool.
Lately, I have built up my skills in Technical Analysis. I learned about moving averages, accumulation indicators, and more. Continue reading
Sometime the blockchain “forks”. Lots of trader seem unaware what that means, so here is a short explanation: Basically the network disagrees about the current blockchain state, so there are multiple heads like a fork has multiple tines.
If you look at shitcoins (e.g. AuroraCoin,BeeCoin) and compare them to innovative coins (HeavyCoin,MyriadCoin), they both go down after an initial pump. Shouldn’t HeavyCoin slowly rise because of its intrinsic innovation value? Let me phrase that the other way round: Why is an innovative coin more valuable than a stupid clone? Answer: It is not. In the current climate innovation does not actually make a coin valuable. At least for now.
Most people agree that Bitcoin will not be the only coin in the long-run, but there will be a few for different niches. Now, how many niches are there? Will it be 3, 7, or 100? Here is my guess.
The Basics of Altcoin Trading. I feel somewhat preposterous to write about this. This field is so young that nobody really is an expert. There is no standard “How To Trade Altcoins”, yet.
Technically, this is FOREX (foreign exchange) trading, but it is very different. FOREX traders act on a very stable market, where prices change less 1% a day. They heavily use leverage/margin trading for profit. In contrast, the altcoin market is very volatile. Spikes of 1000% happen every week. We do not need margin trading here nor is it even available at the exchanges. Also, altcoin exchanges are very primitive compared to USD/EUR brokers and liquidity is very low.
So what basic knowledge can you acquire for altcoin trading? Continue reading
There are kinds of analysis traders do: technical, fundamental, and sentiment analysis. A good trader learns them all and later specializes to master one to perfection. What are they?
Most people new to altcoin trading make similar mistakes. I wonder if it is even possible to avoid them. Maybe they are a necessary learning step.