Should I be long on Ethereum?
Deciding to do some Trading with my SBD/BTC
After having some mild success on steemit, I decided to transfer part of my SBD to Poloniex and try my hand at trading cryptocurrencies. It all kind of feels like free money anyway! I am just learning how cryptocurrencies work. I have been interested in bitcoin as a concept and aware of its success for about 2 years now, but never owned any until I ended up owning some SBD after stumbling upon steemit.
After transferring to poloniex, I bought some BTC with my SBD. From there I transferred some BTC to a circle account and cashed out 20$ USD to my bank account just to prove to myself and everyone that keeps asking me, that I can easily use this cryptocurrency to get cash. But, the more I learn, the less fiat money I want and the more I want to invest in silver and cryptocurrencies.
Bitcoin
I have regretted not being into bitcoin ever since I heard about it and started watching it go up and then especially after hearing Jeff Berwick talk positively about it at 200$ and then seeing it go over 500$. So I was happy to finally own some BTC but this is basically all an experiment for me so I decided that I might try to play the game a bit more.
Value of Steem Going Down
I can see that my steemit wallet account value has been going down. I have powered up most of my SBD and I will continue to do so because I believe in steemit in the long term, but I do think I might be able to protect my SBD and maybe even profit with it by trading into BTC and buying cryptocurrencies on Poloniex so that's what I am experimenting with. I could also lose my investment so I am starting slowly and learning as much as I can for now.
Ethereum
From my stock chart studying experience and from advice on the internet I decided to make a bet on ETH. I have heard more about Ethereum as I have been on steemit and after a short research session online I decided that it may go up soon, so I'll buy. Keep in mind, none of this very scientific, I am just playing around and learning how to do this and am not giving any advice because I really don't know what I'm doing!
Currently, I don't have time to constantly monitor close enough to day trade so I am only going to buy something that I think will be moving up over next few weeks. I make my guess based on what the technology is and by looking for trends in the charts. My chart studying skills are pretty basic. I look for floors, ceilings, and trends based on highs and lows over time. I look for upwards trends by spotting a series of higher lows and by watching for crosses in the moving averages. That's pretty much my entire strategy at this point
Trading so far
Here is what I did yesterday. I turned 100 SBD into 0.13731732 BTC. I then transferred that bitcoin to my margin account after reading about how it worked on Poloniex's margin trading page. From there I was able to buy 0.33554217 BTC worth of Ethereum so now I have a position on 17.11149722 ETH.
Today I have been researching other coins to invest in. I found this quick list helpful and I have noticed on my Poloniex margin trading account there are a few coins that I can take a margin position on. I also liked this list of cryptos by market cap Several of the coins are very volatile and some are making big moves while I watch them. Probably from some FOMO, I decided to go long on CLAMs. I liked that they just gave away coins to bitcoin holders so now they are the most widely held coin. I have no idea if this will be profitable, but I decided to go for it because it's so cheap!
Other Coins
I also noticed that CLAMs are the crypto for a gambling site that was featured in a very positive huffington post article and is very active. I don't gamble much except a little poker now and then and I am definitely not promoting gambling, but I do recognize it as an industry that can help support a crypto. Basically I don't gamble unless I feel like I have an advantage.
The only reason I feel comfortable trying my hand at cryptocurrency trading is that I am using very small amounts of money that I earned from writing content in my spare time and I think the risk is worth the reward because I believe like many of you that cryptocurrency is the future of currency and if I get in on the right one early enough, there could be a nice profit. Now all I have to do is predict the future, lol.
I have also noticed XRM making big upward swings today and I am considering playing with it but I am a bit weary putting much into coins that I don't really believe in. Yes I am doing this with CLAMs but I am going to keep this type of investment to a minimum. Still, I am open to any recommendations from any of you crypto traders out there might have.
Conclusions and Questions
I have been teeter tottering between red and green on both of my positions but I feel confident that I will be able to close my positions at a profit at this point. I think I am going to stay long on Ethereum with most of my Poloniex account and move in and out of some small cap cryptos with a small percentage of my balance. But this is just my initial thoughts on my strategy so I am open to changing my entire strategy as I learn. The title is a serious question - Should I stay long on ETH??? It makes sense to me to do that but I could be missing something. Does anyone have any tips on coins that are going to make some big moves???
I am a newbie at all this so please point out anything stupid I may be doing. I welcome any advice and suggestions that any of you might have. I'm also happy to answer any questions you might have if your like me and just getting started trading cryptos. I hope if nothing else, this post starts a conversation and something is learned. Thanks for reading. Let's make some money!
Edit on Friday, Sept. 16th at noon: I closed out on my long position on ETH today at .0209BTC. It was fun watching it move today like I thought it would! It still may go higher but I'm already out. I may get back in when it settles back down. Made a profit on my first margin trade!!!
Links
Poloniex's margin trading page.
huffington post article about that gambling site ^^^^^^^
I bought some monero (XMR) when it was around 9$ maybe on the last drop you can buy some. I seen it hit 15$ but didn't want to sell it I want to hold on to it to see how it will be a year or two from now.
I also have some SDC - shadowCash
And NAV .
I also love my silver good old physical ounces ( real money)
Monero is a speculation. If you really want to gamble like that then wait until it drops down to .01BTC.
Just from studying the chart for monero, I expect it could be close to a floor around .013BTC that it could bounce off of but it wouldn't surprise me at all if it continued its downtrend. It's been going down for almost 2 weeks and no sure signs of hitting that floor yet. I will keep an eye on it though. It could hit a floor soon but it could keep going lower and maybe hit a low around .01BTC or who knows, even lower... all speculation
Richard,
You should keep it simple and just buy Bitcoin. Buy and hold at least until 2020. This is my simple and boring advice, but it is safe and I believe in it. You are welcome to check out my Youtube channel where I talk about cryptocurrency every day (yes I post a new video every day).
Sounds like good advice. I saw your latest video. Ill be watching some older ones and the new ones you put out. Thank you! Followed
Awesome I'll be subscribing to your YouTube channel .
Solid blog. Same mindset here. The blockchain is here to stay. No matter what any crypto will do in the upcoming years. I think that's a conclusion we can make by now. An interesting website I found: https://www.coincheckup.com Every single coin can be analysed here based on: the team, the product, advisors, community, the business and the business model and much more. See: https://www.coincheckup.com/coins/Ethereum#analysis To see the: Ethereum Investment analysis.