Markets dropping again. Did I end up losing too? - Finance Friday Weekly Series #5

Good day everyone! It's another weekly update on my only consistent weekly series as of now, the Finance Friday! Every week from week 1 to 4, I have ended up winning. This week, sadly ended up differently.

Good week start

The beginning of the week, my balance had reached double of my initial BTC investment. Even when most of the alt markets were going down, the total balance I had, was increasing, because QSP and LTC were going up during the weekend, while the others were going down. I sold half my LTC at a quick 5% gain, and the rest at roughly 10%. Which was really good, since I just had to hold it for over a day. I also sold my QSP at a 2500 sats and rebought some at roughly 2200. And then the bear nation attacked.

Selling at a loss to avoid more losses

I have done this a few times at the beginning of the week. BCPT and VIBE continued tanking, so I had no choice. I closed my eyes and hit that sell order at market price. These trades, specially VIBE really hurt my overall balance. It dropped my total by 40k sats, which is non-negligible, since the account's total equity is not that high. Well, if I had HODL'ed, I could've lost more. Like what happened in my NANO and AION trades.

Cost-averaging vs Lump Sum Entries

PPT also tanked this week, but I still ended breakeven overall, including fees by cost-averaging my entries and exits. I tried this with my ICN, but I still ended up losing because the coin continued to tank, which I sold at about 14k sats to avoid more losses. I also did the same at my WAN trades, which I bought back really high at 98k sats. I bought more from 87k down to 82k. I haven't caught the 74k bottom because I ran out of BTC. But I could safely say, a cost-averaging entry is better than lump sum entries, specially if you're swing trading. Day-traders are better in lump-sum entries since the are in and out of the market in shorts of periods of time. Crypto is a fast-paced market, where the 1H price action is like a week in stocks, or even a month.

I did my lump sum entries on XMR and MTL at the end of this week, and it is doing pretty badly. I might sell my MTL at a loss on the next rebound, but I plan on holding my XMR trades for a while. Next week would be a very busy week for me, and I think I can't watch the markets a lot.

Sleep is expensive in crypto

Wednesday night, everything was pretty good. BTC was going back up, and the alts were following. I slept early, and had no open trades to catch some dropping coins. Waking up in the morning, I saw that the market was bleeding. I closed my DASH, and PPT trades. If I sold every alt before I slept, I could've ended still profitable this week. But alas, I didn't and ended up losing this week and bringing my balance back to almost two weeks back. I still can't figure out how not to have favorite coins, which if it gives a sell signal, then I should sell. I still am trying to figure out too how to wake up when my alarms come off. I sleep like a log, which is not ideal when trading crypto. Black swans come here and there, like what happened in NCASH a few weeks ago. Any way this is a fun experience and I would love to learn how to make money in a dropping market. That way, I'll make more when the bear market's over. Why didn't I tether this week? Hmm.

Now, that's it for this week and I hope you'll keep following my journey! Thanks for reading, and keep Steemin'!

Here's my weekly progress in this series:
Initial investment = 0.01 BTC/$68 (estimate)
Previous week value = 0.01959615 BTC / $190.26
Current week value = 0.01827214 BTC / $154.27
Weekly Gains = -6.76% / -18.92%
Total Gains = 82.72% / 126.87%

Interested in trading and haven't traded yet? Try Binance. They trade STEEM too!
You can buy some altcoins not listed on Binance at Kucoin!(Please always check the url and don't get phished!)
Feeling ballsy and wanna do leverage? BitMEX allows up to 100x! Don't get burned though, or else the bot will quote your order.


Disclaimer: All information found here, including any ideas, opinions, views, or cryptocurrency picks, expressed or implied herein, are for informational, entertainment or educational purposes only and should not be construed as personal investment advice. I am not your financial advisor. Please don't sue me if you follow my picks and lose money.

Missed the previous weeks? Here's the list

Week 1
Week 2
Week 3
Week 4

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