💡Crypto Trading 101💡 Rule 1 - Correlation & Altcoin Seasonality
Disclaimer:
This is my humble opinion & I'm writing it mainly as a guide to stop myself from getting Rekt again and to hopefully build some wealth. I'm hoping that you may find some good karma in this article, but for God's sake please don't treat this as investment advice, remortgage your house then blame me when it goes tits up....i do not know what I'm doing....I'm a bitcoin zombie
Rule 1 Explained ~ Correlation
- 🚀 There is an inverse correlation between Bitcoin and the other Cryptocurrencies as can be seen in this image.
- 🚀 Simply put this means that you will lose money if you do not take some consideration into this correlation.
- 🚀 As a general rule of thumb when Bitcoin is doing well the Altcoins are doing poorly and vice versa when the Altcoins are doing well Bitcoin does poorly.
- 🚀 The correlation changes over time, but and hears the kicker! nothing on a long term basis beats Bitcoin (including Steem).
Altcoins only beat Bitcoin over short term time frames, unless you think they are going to be the next Bitcoin, you would be wise to only hold altcoins for limited periods of time.
To profit from this correlation on a 12 month basis you should balance your portfolio heavily in the favour of Bitcoin, but also remember to re-balance your portfolio back in the short-term time frames (shitcoin seasons) to take advantage of coins that are making money against BTC.
Someone turned me into a bitcoin zombie, i can't stop looking at the bitcoin price. If you wanna become a bitcoin zombie like me then go here > http://top3cryptoexchange.com
Rule 1 Explained ~ Seasonality
At first i found it quite hard to understand when we are in the "Shitcoin Season". For people new to the crypto scene the mythical shitcoin seasons are when ALL the alts pump and start going in moonly directions, it is a sight to behold when 3 digit percentage gains are made into reality in very short spaces of time (minutes).
- 🚀 Great…. but how do I tell if we are in a shitcoin season?
Check out these two ideas...
Idea 1. Go and pull up the long term chart for Dogecoin! you will notice that there are currently 5 spikes, each one of these spikes roughly represents a shitcoin season. In my eyes DOGE is the OG shitcoin, if peeps are buying this then we are probably in the mythical season.
Idea 2. Is Ethereum increasing in value against Bitcoin on a short-term basis? This is common sense to me, basically ETH is the king of shitcoins, so this has to be pumping right? otherwise in my opinion we are not in a mythical season. Check out this ETH chart
Someone turned me into a crypto zombie, i can't stop looking at the crypto prices. If you wanna become a bitcoin zombie like me then go here > http://top3cryptoexchange.com
My related content:
Don't Get Rekt Like Me! Apply These 5 Golden Rules When Trading Crypto
Article sources:
Original article source http://top3cryptoexchange.com
Page break image http://steemit.com
Zombie Image https://www.deviantart.com
Inverse correlation between Bitcoin and Altcoins https://cointrading.ninja/correlation
Doge & ETH charts https://poloniex.com
Great post,keep up the good work. 😂😂😂
Cheers thanks dude.
cool. now you just need to learn how to use the bid bots since you clearly don't and hopefully not fuck everyone [including yourself] out of earnings! yaay! oneday you'll get it! or just loose a bunch of money. whatevs >>
like, seriously you're going to make so many people mad in the very soon if you keep it up..so like...look up how to use the bidbots or someones going to flag the heck out of you oneday for using them in a way that everyone gets fucked....it's seriously not that hard XD
@o0pepper0o Thanks for your thoughts, but the only people to make money out of the bid bots is the bid bot owners, they should only be used for post promotion (you will lose money whatever you do). I calculated it all last night and basically Steem Bot Tracker says you are are in a 40% gain or so, well when you actually calculate it ~ "40% up" ~ turns out to be about breakeven. 😂
This is because 25% of the money goes to the curators (the bid bots), so the only way to try and make money or break even from the bid bots is to bid in the first 30 minutes after you have posted. This way you get some of the bots curation money....
so.l.that makes it cool for you to fuck everyone else's bids and bid inaccurately cos you arent making $ so its ok that other users loose all their $ for your terribad bids?lol i know all this because i know how to bid [btw...].....
obv its not easy to make $ off bidbots but it sure is annoying watching someone swoop in on a bot worth fuck all with a bid higher than almost the entire bot thus literally screwing over everyone elses promo..so even if you look at it as not making $..you're still being a dick about how you're doing bidbots and taking promo..just sayinnnnn >>
if you wanted to NOT be a dick and still make "promo" you could bid on larger bots for larger bids and even bid earlier on a bot [even if you post shortly after] esp if you plan to bid more tahn half of the bot so other people who are minnows don't get their bids totally wreckt. or keep doin it. just trying to help....=) bidding large late on small bots is seen as a total dick move. regardless of if you're trying to make $ or just make promo.
oo or if its JUST about promo for you try the promo button. then you aren't fucking everyone elses bot chi with your terrible bidding skillz XD
there are plenty of ways to bid and make even or make a bit extra back..they're usually fucked over by people who bid on bots super high and super late. like 5.00 SBD in the last 2 mins of a bot worth $12 that is already at $8 for bid. like wtf maths pls.. XD
I did cock up on this post as i made a double bid which messed things up, i did not intend to do that, so i apologise for that, sorry. I will try to be more careful.
I'm new here and from what i have learnt you can't make money from the bots unless you own them, there is small opportunity in the first 30 mins of your post for making money and that was what i was trying to exploit as a test.
The main reason i'm using the bots is for the promotion, not to make cash.
I don't trust sending large $$$ to one of the bots like you have suggested for a promo, i feel that is too risky, i like to spread my cash around as will be explained in my money management article to come. 😂
also also this bidding on first 30 mins of creation of post..has NOTHING to do with how high you bid and what bots you are using or your inability to read/understand how to know when to bid and how high....so....>>
I cocked up as allready explained. But if you see this chart it explains the reason to use a bidbot in the first 30 minutes of posting..
Hint (the bid bots don't get all the curation money, the author of the post does)
AGAIN its like you don't read......
i suppose that's why you don't listen either. i am again, aware of the concept of bidding early. has nothing to do with bidding proper amounts and knowing how to do bid on bots. seriously.
all i am saying is you need to learn HOW to bid not just WHEN. you tend to bid huge at the end and fuck everyone and yourself over. thats all.
Nice post
thank you
Thanks for the duckduckgo site info! Cheers!
Ok thanks you very much
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