Playing 2 markets with 1 coin?
Still looking for someone who understands cryptocurrency to answer a question for me in a way that makes sense.
If I invest in BTC my value goes up or down based on BTC value fluctuation.
Let's say BTC goes up 10%...yay...I made money.
Now let's say I had converted that BTC to SC. SC also goes up 10%...yay...did I now make money twice? If I convert my SC back to BTC (I get more BTC due to SC rise in value) and then to Fiat then I realize both market gains.
Seriously need someone to explain this. I am new to the cryptocoin game and trying to figure out if there is some time of step I am not seeing. If I am right why would people leave just in BTC?
I don't think I am a dumb guy but before I play heavier in this game I need to know the rules.
Thank you to anyone who comments.
If both BTC and SC go up, you've magnified your profits. If BTC and SC go in opposite directions, then you break even (roughly speaking). If they both go down, then you've magnified your losses.
Luckily I think they will both go up ;)
Thanks catotune. Onwards and upwards. :)
You should follow @kingscrown or @fyrstikken for more info about cryptocurrencies. They might even answer some questions if available on chat. Check this out for more info: Who to follow in your first days on Steemit
Thanks cem. Will check them all out.
You really should. Try to find your way to Discord and chat with either one of them. That should help you even more.
Sure.
If you sell EUR for BTC and the price then goes up,you are now owning more EUR in the form of BTC.
If then you buy Siacoin with those bitcoins and then Siacoin y price goes up, you own more bitcoin which are also valued with a higher price in EUR as we saw before.
Notice that every pair has its own price. One going up doesn't mean the other one must, also.
Javirid. I wasn't sure if I was missing some type of a transaction adjustment when converting between. I get that each go up or down independently so appreciate that heads up. Figure if I am betting on BTC taking over the world I should find a coin within that platform to bet on too. Might as well double down.
Thank you for replying!