Crypto - Buy low and sell high, or should we?
Why Buy Crypto NOW
I rarely make a financial post, but I do have a few words of wisdom to share about our growing cryptocurrency market. Just like stocks, we want to buy low and sell high, but that is the WRONG WAY TO THINK, for newcomers at least. If you want to invest and make money with less risk, follow the trend-lines! Lets take a
look:
BTC
All time for BTC.
ETH
One month of ETH, since it didn't start growing rapidly until not too long ago.
Charts above provided by coinbase and chart below by Scottrade! Let us compare to a regular stock market. Now, here is the Dow Jones US Total Market Index:
I find the market fascinating because no matter what after 10 years plus or minus a few years, the market will increase substantially. It does not always follow a perfect trend-line, but this one surprisingly does.
SO, MY ADVICE
BUY NOW and hold on to it for 10 years. With the volatility of the crypto market you could double, quadruple, ... your money! Thanks to paint, we can estimate what BTC will look like in 10 years. I will still be on Steem, so I can verify this then, but... Let's observe my hypothesis and a trend-line!
I'd say it's safe to assume we can follow the higher trend line because of the popularity and hype BTC receives everyday from all of us Steemers. By 2020, we should see at least a 12% increase in value. So, if you invest $1000 you will make $120. If you invest $100,000, that could make you $12,000. Play with the market carefully though, I am not an expert.
Steemers, I hope you have enjoyed my research and hypothesis! Any comments are appreciated!
It's not clear to me which coins, if any, will still be around in 10 years.
Take BTC, for example. It no longer has the most secured nor highest reward blockchain. That would have been hard to believe just a year or two ago.
If you invest in crypto, then I think you'll always have to be on your toes. Rapid and ceaseless evolution is a double edged sword!
You might be right. I'm going to stay faithful to bitcoin and do whatever reading I can from the big guys to let me know is a downpour is coming. Steemit is great for that kind of thing!
I think that in 5 years time almost every decent coin will be way up in value, so buying in now will seem like nothing. However in the short term people want to get more bang for there buck and if I saw an opportunity to get more for less or keep profit if I think a correction coming I'm going to take it.
I agree! Crypto is going to be the one world currency everyone has been looking for. The opportunities you see are never completely clear though. Same as in stocks, there are "whales" that control the market.
Of course the overall trend of crypto will increase over time. I don't think anybody has an issue with that statement. but a lot or people trade because:
a) it is fun
b) the possibility of making profit by trading crypto is enticing.
Absolutely! Of course, it takes a lot of know how and research to tell which coins or currencies are going to overtake the other though. It is very enticing! Thanks for the comment!
I think the greatest thing is that there is nothing stopping these cryptos, other than an internet kill switch or an EMP.
That would suck, and if the government wanted to enforce Marshall Law on the internet they could, but they would have one hell of a fight on their hands!
Nothing yet... I am distrustful enough of government and banks to suspect some legislation will come one day. They already have the media spouting off about how bitcoin is evil currency for drug and weapons dealers.
Thanks, nice post. It is a tricky and good dilema for me, whether to hold or sell and take profits. I bought stratis as 2.80 aus, and its gone to 13.00! Decisions decisions. I think I'll hang in there!
Vegansilverstack and I had a discussion about this. Sell some, let it drop, buy double or triple what you sold.
Hmmm, sounds like a sensible idea. Its hard to know when the top is for now, but we cant be greedy can we? Lol
Can't be too greedy, no. Lol. Let me know how it goes!
Well I've taken profits almost equal to what i initially invested as i have doubled that overall. Sold some stratis, which i hope i dont regret😕 and wait for it to drop again......i guess.
I haven't gotten into any other coins yet. Lol. How are they looking?