Tips for successfully trading Bitcoin

by Nick on February 6, 2018

“Bitcoin is seen as the future of money and the more we trade with it, the more we understand it,” a senior financial analyst at Olsson Capital confirmed a few days ago. Not only does this virtual currency change the way we think about money, it brings a new way of trading with currency. When trading Bitcoin, it may feel like you are on a roller-coaster ride with the never-ending price fluctuations of this cryptocurrency. Many still have their doubts about Bitcoin but when looking at the profit margin of the trades done with it, one can’t help but want to get a piece of the pie as well. But when trading, what can you do to increase your profit margin?

Only invest a set amount of money when trading with Bitcoin

With Bitcoin’s huge price hikes and falls over a very short period of time, you need to keep in mind that you can either lose a large amount of money or gain a huge profit from a successful trade. With that said, only invest the money you can afford to lose and nothing more. If you make an unsuccessful trade at a certain point in time, the money you invested was set at a limited amount, thus you don’t lose all your life’s savings. If you are a beginner trader, it is recommended that you start trading with a limited amount of money to build your confidence and learn the tricks of the trade before jumping in at the deep end. If you don’t you stand the chance of losing all the money you invested in Bitcoin trading, leaving you with empty pockets.

Trade with a number of goals in mind

Many traders take one look at the Bitcoin market dropping and immediately sell everything they have invested at a fraction of the price they could have gotten if they had only waited for the drop to subside. When trading, make sure you trade according to pre-set goals such as what hours you will be trading, what amount you will be trading with and when you will close in on a specific trade. You might say that if the Bitcoin price drops to a certain level, you will cash out or sell a few coins. Do not let the fear of losing get in the way of making rational trading choices.

Take note of the trader stop-loss option

A stop-loss option in trading is the automated process of selling your stock if the loss you will have reaches a certain amount. If you trade according to a set stop-loss amount and the trades you make are unprofitable, you will lose money only until your loss reaches the set stop-loss limit. As soon as it reaches that point, your stock is immediately liquidated, preventing you from losing even more. That is a great option traders use when wanting to ensure they still make a small profit as it is better to lose a little but still have something left rather than lose everything and crashing with an unfavourable trade. 

Reading trade charts

When trading Bitcoin, you need to make sure you understand the descriptions, charts and terms used when trading choices need to be made. Before making that trade, the average trader will inspect market trends set out on charts. In order for you to make the right trade at the right time, you need to make these charts your road to success. Technical analysis of Bitcoin charts can be daunting at times but the longer you trade, the easier it will be to read and you will then be able to make predictions with precision.

Don’t be afraid to take the crypto leap of faith

To this day, scepticism is at the order of the day when it comes to cryptocurrencies such as Bitcoin. Many financial experts address Bitcoin to be a “bubble” and will completely destroy the way investing is done. However, as we live in the 21st century, we need to embrace the path technology leads us on.

While following traditional methods of trading stocks, adding Bitcoin to your list of profit-making strategies, you already are one step ahead of the rest.

{ 1 comment }

If you’ve ever taken a look at American retirement statistics, you probably left feeling a little glum about the financial future of many people. It’s true, most people nearing retirement age are not prepared for what comes next. With programs like Social Security being pushed to the breaking point, there are many older Americans who are truly entering a time of vulnerability. If you are a younger person and don’t want to find yourself in the same situation a couple of decades down the road, it’s time to get serious about making that happen. No one’s going to do it for you. Fortunately, it isn’t as hard as you might think.

People who have the easiest time of retiring are either 1) very lucky, or 2) make a good plan early in life and don’t deviate from it. Not everyone who retires has to have great earning potential. But retirees in this case do have to acquire a kind of sophistication that is easy to avoid through laziness or lack of attention. Having a good plan for retirement is kind of like having a budget for your entire lifespan. If you follow it to a tee, you’ll be likely to have more than enough to live once you decide you no longer want to work.

The foundation of preparing for retirement is getting your daily finances in order. First, you’ve got to earn enough to make your life worth. Earning income is the engine with which you’ll run the rest of your financial life. Even though you don’t need to have high income to retire well, it sure doesn’t hurt. If you are able to increase your earning potential, do so. It will make everything that is to follow much easier.

Once you have income worked out, saving, investing, and staying out of debt will make future retirement much easier to achieve. These are basic skills, but many people don’t practice them and thus cheat themselves out of the retirement they’d like to plan for themselves. If you don’t understand the basics of living beneath your means, take some time to learn and apply them.

Once you’ve put yourself on the road to wealth generation, through earning, saving, investing, and asset acquisition, it’s time to start to preserve what you have. Life insurance companies offer many packages which will protect your wealth moving forward, no matter what happens to you. Adjusting your portfolio balance to protect against sudden market turmoil. Spreading out money into diverse asset classes is another classic way to protect against uncertainty in one or more areas.

Retiring isn’t going to be easy for young people alive today, but with effort and determination it will be more accessible than many presently think. Just because many people nearing retirement today don’t have the resources saved up to do it, this doesn’t mean that the same fate has to befall the young people of today. As time goes on, this seems to be the goal of more and more young people. Get aboard today!

{ 1 comment }

Baby Boomers May Be Worse Off Financially Than Previously Thought

July 1, 2017

In the years between 2030 and 2032, a couple of interesting things are bound to happen. The National Academy of Social Insurance says that, by 2030, the ratio of Social Security beneficiaries to those who are paying into the system will rise to 45 per 100. In 2014, the ratio was 35 per 100. In 2031, the […]

Read the full article →

Donald Trump and the US Financial Sector: Will America Be Great Again?

May 30, 2017

“We will make America strong again. We will make America proud again. We will make America safe again. And we will make America great again.” – Donald Trump Donald Trump’s campaign to be the 45th president of the United States of America was built on the core premise that he would do what it takes […]

Read the full article →

5 Questions To Ask Before Trading Your Own Account

February 23, 2017

At some point in life, a lot of us consider the idea of managing our own investment portfolios. In some cases that might mean keeping an eye on some retirement funds and making the occasional, long-term decision. In others it might mean something more akin to day trading, making day-to-day choices in the hopes of […]

Read the full article →

What Most Entrepreneurs Won’t Talk About: Murphy’s law and the First 30 Days in Business

September 12, 2016

It’s been exactly one month since I left my corporate lawyer job to become a full-time ghostwriter, consultant, and coach. During that time I’ve had a ton of successes, mostly because I had built my business on the side very deliberately, to the point that I had a lot of people waiting for my time to free […]

Read the full article →

Why and how I quit my job as a lawyer and am now a full-time ghostwriter and content coach. The short story.

September 2, 2016

I’m going to share a little bit about the past 12 months. This is the short story about why and how I quite my job as a corporate lawyer to become a full-time ghostwriter and content coach.Just over 1 year ago, I announced that When you’re done reading, feel free to ask questions in the […]

Read the full article →

Money Management Tips for Newlyweds

August 26, 2016

If you’ve recently committed to your partner “for richer or poorer,” you may be wondering exactly how that will play out over the coming decades. Hopefully, you will never have to experience poverty, but in the interest of keeping your marriage strong, healthy, and happy, you may want to spend some time talking about money. […]

Read the full article →

An overview of the 20 Myths about Forex: Busted

June 30, 2016

Have you heard about Forex trading myths? Many traders have stopped trading in Forex from these myths thus preventing them from making millions of dollars from the investment. However, when you know about these myths, you will start to make money in Forex. Here is an overview of the 20 Myths about Forex: Busted: 1. […]

Read the full article →

Are you ready for a new money mindset?

June 28, 2016

When you write about money people reach out with books to read, offers of content, and yada yada yada. Most of the time I politely pass. But when Cara MacMillan sent me a copy of It Is Only Money and It Grows on Trees! I knew I’d be in for a cool treat because it’s […]

Read the full article →