A Newbie To The Crypto World "What I Think I Have Learned So Far".

This post is in no way an educational post, what it is in fact is a report on where I am at with learning about Crypto trading.
So I would expect in the comments section peoples experiences and know how.

As I am new to this entire line of business, Crypto and Crypto trading, I have really been putting a lot of time reading and learning about the way it all works.

The other day I posted how I did my first “test” buy/sell trade, with Steem and SBD. Nothing special as far as trading goes and as one comment on that post said “buy low sell high” which is the name of the game in all trading I guess.

What I have done is to go a little out of the Crypto Trading world, to read what stock traders had to say about their experiences and know how. Why? Well, my logic was that all trading is “trading” and who better to ask, or in this case Google up than the people who have been doing it for decades.

What I found was that many of the traders experiences are similar to those of the people trading Crypto, which was no surprise to me, actually I expected it from the moment that I decided to research this.

However, what I did notice was that their markets literally “stop” over the weekends, while Crypto trading does not. Another thing is that the fees involved with trading stocks are super high in comparison to trading Crypto. Anywhere from like $5 and up on any one trade, so this really does take a chunk out of the budget, especially if trading daily.

The thing that I found to be a best comparison to Crypto trading, was Penny Stock Trading. Now, many experienced people may rebut this, however I will try and explain how and why I came to this conclusion:

1- Penny stocks are very dangerous, in the sense that they have many “new” ups and downs and just like in Crypto, often enough some sort of scams out there. So traders have to be very well informed as to what all is going on behind the scenes.

2- Often it has been the case that Penny Stocks are just a start up all hype, pump up and then dump type of stocks. Again, nothing new in the Crypto world either.

3- Because Penny Stocks are so low in monetary value, as their name suggests, they can pretty much only be compared to the dozens of Crypto out there which have such low values too.

4- After reading numerous sites about Penny Stock Trading and numerous sites and posts about Crypto Trading I did see many similarities in what was being said and suggested.

Now, once again, I cannot claim that what I have written here is a “norm”, what I can say is that it is what I have noticed after days and now even weeks of reading up on it all. Maybe just a first impression.
What I can say is that my conclusions as far as the pros and cons between trading stocks and Crypto are based upon a number of facts!

The Crypto Trading beats Stocks easily because of the following:

1- The Crypto Market is a 24/7, 365 days all year round market,

2- The trading platforms are easy to understand and use,

3- It doesn’t take long to start understanding the charts that you are looking at

4- You do not need some insane amount of FIAT (cash/money) to start trading

Everything that I have stated here is for the “Stock Markets” pretty much the opposite, you’re limited to the days and times they define, you need to learn how to use their trading platforms, heaven forbid when using a middle man, then you are “buggered”, the charts they give out to us may look simple at first glance, but when you start scrolling through them, OMG.... never ending story, headaches and for the most of the sites out there, that are legitimate, or should I say “recommended” you do need a nice lump sum of hard earned cash to start trading, and yes some do rip you their fees at the first deposit!

So, this is what I have learned about the differences between the two, so far, I am sure that there is a lot more that I shall learn as time goes on, but I have been put off the stock trading side of trading, probably for ever. Never say never, but after all the things i have read up on, from the scams to the costs and the limitations and restrictions, OMG..... why even bother going down that route.

So, Crypto has won me over, no doubt about it.

So once again, back to the things that ALL the sites pretty much say:

1- Buy low, sell high
2- Hold, hold, hold it is bound to grow in value.

Now, this is definitely the case from what I can see with all the “safe” Crypto out there. When I say safe, then I am referring to the Crypto’s that have a sound base and team behind them. Bitcoin, Etherum, Steem/SBD and a few others that I and anyone else can say without a doubt are safe to buy and sell.

However, when having looked over the various Crypto out there, the “Penny Stock” similarities can be seen, where a stock goes from lets say 1 cent to 2 or even 3 cents, giving a 100 to 200% profit margin! WOW.

Would I do this at this stage?

Probably not, maybe with about $50 USD worth, just to settle my curiosity and nothing more than that. At least for the time being.

So how does one know what to do and what not to do?
What to buy and what not to buy?

From what I have learned to date it all boils down to daily, even hourly monitoring of the charts.
Getting to know when a certain Crypto is on the rise and when it is falling.

The human factor gets everyone from what I have read many a time, certain Crypto starts going down, the “fear factor” pops in and then it’s “sell, sell sell”, while it could have been more logical to wait it out. Especially when dealing with the “safe” Crypto out there.

As far as the “Penny stock” types of Crypto, again, knowing what you are looking at and not regretting the fact that all you are doing is LOOKING, MONITORING AND LEARNING. So far the thought of “If I had bought into that then, I would have doubled my money in no time” has crossed my mind over and over again, as all I am doing is monitoring and learning. NO INVESTING YET!
I can imagine what would’ve happened if I had jumped into it after the first three times I “guessed” right for some of the “yoyo” charts that I was watching, where one hour they are up, the next down. I probably would have rushed into something and lost everything, as my decision would have been based on greed and not on what I have “learned”.

There is one thing that i am very lucky to be a part of and that is this here Steemit platform.

It was my first introduction to the Crypto world, to the concept of Crypto Trading and with all the wealth of knowledge being shared here on Steemit it is most probably THE BEST starting ground for any person who is a beginner in the Crypto world.
The fact that we earn Crypto here by sharing our thoughts, experiences, knowhow and individuality is by far the best way to get people like myself into the Crypto scene.

Steemit could very well be the catalyst of the Crypto world.

It gets people like me involved 101 with Crypto, it gets us learning and expands our horizons, it literally wakes up the curiosity in us.

You may read somewhere that Crypto Trading is a little like gambling. NO IT IS NOT. It is nothing like gambling. Here you are investing and if you invest based upon what the charts are telling you, then it is not gambling. There is no poker face in Crypto Trading, as it is you and your computer screen. You may sell early and not make much of a profit as what you may have if you had waited, you may sell out of fear and then see that you should have waited, but this is all part of “market place”, it is not gambling. You have the upper hand here not the house!

So do not let anyone out there lead you down that trail of thought. Your money, your decisions, based upon what you learned. Nothing like gambling where you are dependant upon “lady luck” or the twitch of an eye on your “opponents” face. No opponent here, just sound judgement and decisions.

The last thing that I need to mention is that in most of the cases that I have read where people have lost their money in Crypto trading, it almost always boiled down to two things:

1- Greed.
2- Wanting to make a million over night.

The first being a normal human reaction to a situation when money can be made and the second being the “gamblers” out there who think that there is “quick and easy money” to be made in Crypto Trading.

This is what I have concluded so far as far as me entering into the world of Crypto Trading.

It isn’t without good reason that I have put this post up here today, tomorrow is my 120th day on Steemit.com and i shall be doing an After Action Report (AAR) about my first 120 days here.

So rather than do a 10 click long post with information such as the above information, which is in many ways something that I could put into that recap on the last 4 months here, I have decided to do the “micro” reports such as this one here in posts which you have all been able to see on my wall to date and do the general overall report after the 120 days are up.

I hope that you all have enjoyed reading about the learning process of a newbie in the Crypto Trading world, maybe to some it may remind you of your first days in the business, to others a nice little laugh with a “he’s in for a nice roller coaster ride” (or something to that effect). What ever the case may be, I am sure that everyone who reads this, should have found my approach to all this rather interesting, as rarely do I see any newbie writing about these types of experiences and openly asking for people to pitch in and comment about it.

So, once again thanks for taking the time to read my post here, I hope that i may be able to learn something new from your comments.

Yours gratefully
Jack