So you are looking to become a pro crypto trader right ? Hahaha ! well that's great, It's simple but not easy. So am going to be taking you through some good and proven ideas you should learn and apply in order to increase your chances of profitability in the crypto market. first of all you should understand that what ever suggestions and ideas contained in this piece are for educational purposes only, my own kind of ideas and therefore they do not suggest any form of investment advise.
Becoming a pro crypto trader is not a day journey and I should believe by now you must have known that crypto trading isn't a get rich quick program. I see lots of people come into the crypto space with this mind of cashing out big within the shortest period of time. This set of individual often get disappointed when it doesn't turn out to be the way they expected. you can't get rich quick trading crypto except on rare occasions where; maybe you are fortunate to invest in one of the low cap coins that got pumped massively within a very short time. Realistically, it doesn't happen often times, that isn't even the way. If you are drawn to investing on some memes and low cap tokens, this has a more higher risk and you are expose to losing most of your initial investment if not all. Should you want to be successful trading crypto, you need to first of all be aware of the risk involved trading these assets, and only deploy the funds that you are ready to loss. We will take a look at some possible reason why most people fail trading crypto.
Mindset
1]Some friends that come into crypto space have already seen crypto as gambling rather than seeing an investment opportunities. They throw in funds in expectation to double back in two days or even hours. and so they can't imagine seeing their money fluctuating in their wallet. they feel grief and annoy when it doesn't meet their expectations.
2] Lack of crypto education is one big challenge in this space, If you are thinking you will come into this space where brightest minds rule and milk some good stuffs out without considering getting educated about the system, then you lie. Why do people go to school to study a profession for good four years or more to become professionals in their area of focus ? Nothing different from crypto trading. Trading crypto currency or any other form of financial asset, is a profession on it own. you have to consider getting educated, being fully informed of what you are doing which will shape your mindset into an investor/ trader.
3] trading with scared money; It will interest you to know that you will never make money in this market if you are trading with money you are afraid to loss. Your heart fails anytime you see a slide decrease in the value of your asset, you feel like selling them out and get your funds out immediately. This isn't a the best approach as a trader or an investor, you will never gonna make money in any financial market.
4] Reacting to every market moves; So you are easily move by impulses right ? you think you can be smarter than the market algorithm hmmm! well unfortunately, it doesn't work that way. responding to every market moves will quickly reg your account and take you out immediately from the market painfully. You need to learn how to understand the market moves, structure and circle.
5] Impatience; Well this very one has destroy a lot of trader and investors. When we say trading is simple but not easy really lies here. Impatience has denied lots of people fortune in this space. great things doesn't come in seconds or just days. you've got to define the difference between waste of time and being patience. This is very necessary in the financial market. IF you can't posses this quality, then you probably shouldn't be trading any financial asset.
So these are few things that brings about failure in financial market. ok so lets look at the things that can improve our success trading the financial market.
1] Information; information is one of the key ingredient for overall success in the financial market. a complete fool in a financial market with information, will out-perform a pro without information. Information is the number one key you need for success. How do you get informed ? well its by studies, research and communities.
2}Plans; okay you maybe informed, but you lack plans. Now how do you begin a building without plans ? the same way you can't build a House without plans, is just the same way you can never build your portfolio without plans. You need plan to get the most out of the financial market.
3] Study the market; It's necessary to study the market; what affect the market both technical and fundamental.
4] Become a manager; as and investor/ a trader, you need to understand that, you are portfolio manager. If you develop this mindset as a manager, you will do so much to increase your portfolio.
So friends, I hope this help in your trading career. Thanks for reading, and always trade wisely.
Posted Using InLeo Alpha