A lot has been said about it and I would like to share some of what has been said. For example, Elon Musk said about it: Bitcoin may become the main digital currency...
2. James Demer: He thought Bitcoin could hit $100,000... and what he thought happened..
3. Peter Thiel: He believes that Bitcoin could become a safe haven.
As for me, I think that it might actually become so one day, especially since its positives outweigh its negatives. Let me offer some advice that I have tested and found useful in the world of digital currencies:
1. Invest small amounts.
2. Understand the risks.
3. Use trusted platforms like Binance
4. Follow news and analysis.
5. Don't invest more than you can afford to lose.
Plan your trades clearly: Set profit targets and stop loss points for each trade. You should have a clear plan that includes setting a target profit point and a stop loss point to limit losses. This means setting the maximum loss you are willing to take before closing the trade.
Choosing the right stop loss point requires taking into account several factors. Many traders fail because they become attached to their trades or to the cryptocurrency itself. You have to avoid falling into the trap of believing that the situation will improve, and I will get out of this trade with a smaller loss.
Letting emotions or ego control your decisions is a common mistake. Compared to the traditional stock market, where 2-3% volatility is considered significant, the volatility of the cryptocurrency market is much more extreme, as it is not uncommon to find a coin losing 80% of its value in a matter of hours. Remember, no one wants to be the last one holding a losing coin.
Beware of the Fear of Missing Out It’s painful to watch a currency skyrocket and make huge gains while you’re out of the market. That big green candle seems to challenge and tempt you, hinting that you’re the only one who hasn’t benefited from the situation. At such moments, you find the masses flocking to online trading platforms like Reddit, Twitter, and Telegram, talking about this massive pump.
What should you do?
The answer is simple:
Keep moving and moving forward. It can be tempting to go with the flow and believe that the market will continue this way, but remember that whales and professionals are just waiting to sell what they bought at lower prices to less experienced traders on their way up. Once the price gets too high, the result is often a big red candle that goes through the entire order book, turning the chart into a shape that looks like the Eiffel Tower or even worse, turns it into a shape that looks like the Burj Khalifa....
