CRYPTO ACADEMY WEEK 12 HOME WORK POSTED BY @fendit AND DONE BY KINGWORLDLINE

Good day well meaning stemian. It is a great privilege that I'm opportune to witness this all time educating lecture from an erudite professor@fendit. It's obvious she is a nice shooter. The lecture came just in time and I've learnt a lot... Thank you prof.
OK let's quickly get down to the main task of the day.

INTRODUCTION
To establish a good and an understandable foundation, I would like to explain in a bit the meaning of trading.

What is trading?
This can be defined as the act of acquiring or purchasing and reselling of goods and services between one or more people.
Examples of such product and services could range from products, raw materials, cryptocurrency, Ideas etc.

From the explanation above, it is obvious that trading requires you putting in something, could be money to get something, could be a product of related value which you would have to resell either immediately or after a while. In that case, it will be appropriate to note that there is something called risk, there is tendency for either gaining or losing.
Therefore, it is of Paramount importance for anybody that plans getting into trading to pass through thorough training as regards to his or her area of concern to stand at a better chance of gaining than losing.

Cryptocurrency is one of the major assets that one can trade comfortably and make a lot of money, however, it bears more risk than every other physically trade able commodity because of its volatility ( high rate of fluctuations ).
But it is highly pathetic seeing people that jumps into it upon hearing the huge profit made by their counterparts without being guide or tutored appropriately. Such persons usually run at huge lost subjecting the individual at great depression.
Hence, it is thought worthy to enroll in a reputable crypto trading academy so as to be properly trained to face the task ahead.

QUESTION A
You bought BTC a couple of days ago at the price of USDT62, suddenly you see that this situation is going on, what would you have done before reading this class? What would you do now?, explain in details if there is some thing you would do differently.

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Answer
I will like to use my personal experience to address this question...
There was a time I invested not less than $50k. I bought it directly from a good friend who was already in the business for a long time. So being that he have been trying to convince me to Cue into the same line of business which I had earlier on declined because I saw it as a game of luck and I was so afraid to lose. He offered to give me a proper guidance on how to monitor the fluctuations, possible appreciation or depreciation to be able to escape or minimize lost.
It happened to be a coincidence that when I finally agreed was when the price of BTC was depreciating and he, my friend was in a great need that requires money. He did not really want to sell the BTC at that sorry state, but he decided to sell a little to me so that I will start up with it. I have got only $50k which I gave to him and that was how my crypto trading life started.

Just about two days I bought it, the fluctuation had taken a U - turn, the 50k I invested in the business had appreciated by $15k making it a total of $65k. Waw, you need to see the excitement over me. But my happiness was terminated when in just few hours it started depreciating again. Though this time around, the depreciation was very slow as if it was going to start coming up very soon, so I was not really bothered, but I was confused.
When I decided to take action was upon seeing that the fall had affected my capital. I've lost $5k as a result of this and I can't just wait any further without pulling out my money and shutting down the account.

When I called my guy and informed him of my intention, he was not ok with it. However, he told me that something could be done to ameliorate the tension and the feeling of disappointment in me......
So, being a professional in the business, what he just did to consult the Bitcoin Dominance where he was able to ascertain the volume of Bitcoin been held in the cryptocurrency market. He said it was necessary because it will help a trader know whether stakeholders are leaving or staying. Unfortunately when we checked this, it was heart breaking news the BTC dominance was nothing to write home about, at 43% as against the 70% it was when I joined, and of course, that simply means that a lot of people had deserted the Bitcoin business.

So, what are we supposed to do, should we leave as well? But he said no, instead he rather went to run a review on the relative strength index of USDT/BTC and he saw that it was seriously going down below expectations and that was not a good news at all that was a clear warning signal that the market was not going to come up anytime soon
So, the decision he took which I later came to appreciate was that he, before I said jack, he had he had converted it to USDT, at least, that was a bit favorable. Then he told me to exercise a little patience while we monitor the market behavior for a while. It was at this point I became a bit confident in what was going on. So I have to give him enough time to make a decision as regards our next move.
So you can now understand why I said that it was important that you get acquainted with somebody with somebody who is already doing well in the same line of business which you are planning to venture into.

I really learnt a lot from that scenario and that have been the principle I have been operating upon.
The good thing about this is that your money will be secured until when you make your decision to buy again.

• Talking about what I would have done before reading the post, it's obvious I eventually did not run into Lost, Courtney of the professional that was my backbone, so I still consider it as the best option having a worthy mentor like mine and that's the same thing I would have still done.

*Then, talking about what I will do after reading this post.
To be sincere, this message have really broaden my horizon as regards cryptocurrency trading.
However, even though I will still need directions from my mentor, I wouldn't have been frustrated and disappointed the way I was, and I wouldn't have attempted withdrawing the money in act of fear.
And now, having in mind of something called stop loss, wouldn't hesitate to use it as my first option whenever I sense danger.

(B)
Share your own experience when it comes to making mistakes in trading:

(1) What mistakes have you done when trading and what did you learn from them? If you have little experience when it comes to trading, tell if you got to know about someone else's experience.

Yes, I have made a very big mistake when it comes to cryptocurrency business. Although not literately the trading aspect of it but it is a means that will lead to trading at the later.
It was around 2017 when the issue of Bitcoin mining was brought to us as a gospel, so we were enticed with sweet words to understand that we can actually own Bitcoin only by investing our time and electric gadgets.
So I was opportune to be in a position that I owned a core i7 Dell laptop which I used to start the mining.

Since I had been told that I would approach 1 BTC in no distant time, I committed almost everything I have, always make sure that my subscription does not finish without me subbing again.
But I became discouraged when I realized that I still have a lot of zeros before I could reach up to 1BTC even after three months. I was very saddened so that I angrily left the platform and did not even bother keeping the password safe.

So, when this opportunity surfaced that I have to join Bitcoin trading community and upon witnessing the high increase in the BTC value, I have tried severally to recollect data as regards to that my old wallet but to no avail. This in other words means the money in that account is now a waste. I felt very sorry for myself.

So what I learnt in that situation is that endurance is very necessary in every thing we do. And just as you rightly pointed above, I was not supposed to have allowed my emotions to override me.

(2) Which of the strategies discussed in this class you find the most useful for you? Why?
To be sincere, every strategy that is explained here are very important, however, my best bite is the stop loss.
Why, it is because, from the way the name sounds, stop loss, if the way it is in my head is the way it works that means it is more resolute than controlling your emotions.

My point is that, it is very important and possible to put your emotion on check but the truth is that is not all the time that you will be able to control your emotions.
But considering the stop loss deal, since it is something you set, it remains that way and not changes it unless you do and that will solely depend on the careful decision you have taken.

(C)
Place yourself in the following situation: you were browsing Twitter and you see this;

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To be honest, this is a very tempting and seductive scenario. Having such an eminent personality surfacing in this manner simply means that sooner than later, the market is going to smile on the investor. Hence, assuming I have not gone through this wonderful lecture, I might be carried away immediately I get this kind of information thereby prompting me to stake in almost everything I've got without considering that situations like this are always like the coin with two faces. What I mean is that even though the market will will witness a boom at that moment, you never can tell what would happen in the next minute.

Therefore, haven been enlightened by the quality content of this class, I will not trade will greediness. I will just have to place it 50 - 50 so that I don't have to lose all, even though I don't get to gain all.

CONCLUSION:
Haven gone through this wonderful article, I must confess that it has given me a fresh and more responsible mindset to crypto trading approach and I'm very grateful to @fendit.
Thank you very much

@fendit

#fendit-s2week4 #cryptoacademy #crypto #steemexclusive #trading