Surviving the Latest Bitcoin Dump
The cryptocurrency industry that emerged only 13 years ago has gained tremendous growth in a short time. Cryptocurrencies’ decentralized nature is one of the major reasons for their popularity and fast adoption among the masses. Bitcoin was the first cryptocurrency that was followed by many in the coming years. Now daily we see lots of new cryptocurrencies emerging in this space.
Bitcoin leads the cryptocurrency market has achieved a new all-time high value in the last month after gaining +1600% in a single year. The journey of BTC from 0 to 64.8k is not straightforward as it has seen many big drops from 30% to 85% in its short history. This time again it dropped about 51% from 64.8k to 30k in a span of about one month. Ethereum, the second top cryptocurrency that gained about 5000% in a single year also dropped 60% in a few days only. Many others made tremendous gains in the current year and are all more than 50% down now.
With the kind of gains cryptocurrencies bring this year, it looks too easy to get rich but most people fail to benefit from steep growth in the prices due to greed, emotions, biases, and logical fallacies. So here you will know how to survive the market dumps and take maximum benefit out of the market.
Discipline is very necessary to be a successful trader. If you are intelligent you can be successful in several other fields but in crypto and Bitcoin trading being intelligent is not enough because there will be times when the market will go against you in spite of everything suggesting otherwise. When you make a plan you need to stick to your plan. It can make you a millionaire or it can bankrupt you as well. So be disciplined or start gambling.
If you want to stay profitable you should not expect anything good from the market and you need to enter every trade with minimal expectations while concentrating more on securing your existing capital. Having unrealistic expectations from every trade can not only cause you losses but can also decrease the ability to take profits from your trades. Always set profit targets before entering the trade and act accordingly.
Practice is another important characteristic of a trader. You can’t become a good trader overnight, the experience is making you a pro and it only comes by practice. You need to start with paper trading and should practice 100’s if not 1000’s of time. It will not only teach you the price action psychology of a market and will also find you various profitable setups that you can later use in your real trading.
You are not supposed to trade every move. If you have no patience you will be trading setups you are not confident of and will result in losing money. When you will be losing, your confidence will get shattered and you will develop a fear of losing which will result in not trading the setups that you should be trading. So be patient and only trade a setup that you are 100% confident of trading.
One of the main reasons for failure in trading is speculation. You should decide about taking a trade based on the data available currently but not by speculating the future. If you eliminate the “I think” and “I feel” elements from your trading, you will find yourself on the path of being a successful trader.
Trade Planning and Execution
Planning a Bitcoin trade (or any other crypto) and then its proper execution is the most important thing to gain and secure big profits. So having a detailed trading plan even before jumping into the market ensures that decisions are not made in the heat of the moment and you already know what you need to do in a particular situation.
- Identify a trade: You need to plan to identify the entry price first. For that, you identify a trading opportunity by considering various bullish chart patterns, fundamentals analysis, or market sentiments. You need to develop clear SOP’s to enter a trade and follow them religiously.
- Identify stop loss: Next most important thing is to plan the stop loss level in advance which can be below a horizontal or trend line support or below a fib level. A combination of many indicators will best give a strong stop loss level like if a fib level and support level are identified at the same point then a breakdown below that level is worth exiting from the trade. It will differ from trade to trade and also depends on the individual’s risk appetite.
- Exit strategy: Identifying the exit point to book profits in advance is most important to secure your profits. You can identify more than one target but you need to stick to them and even should place orders in advance. Profit is never yours unless you book it. Greed plays an important role while booking profits. Traders tend to not book the profits by assuming that the price will keep moving further in their way but they might end up losing the trade. So, always identify the exit point in advance and never look back. Another strategy that you may use to secure your profits is to keep moving your SL level up with the growth in the price. Most of the exchanges provide the stop trailing option that can be used for this purpose.
For the last four years, we at Crypto Rand Group provide training to plan and execute the whole trading process and give exact entry and exit points to keep your portfolio healthy and profitable all the time. Here are the details of the services we offer.
Frequent market analysis and updates
The Crypto market is volatile and changes quickly but we with a team of 8 analysts keep updating about the overall market, Bitcoin, and various altcoins all day non-stop to make sure your capital remains secure and only increases with time.
Spot and Leveraged trading signals
We provide spot and leveraged trading signals to our members whenever we find some good setup with proper entry and exit prices along with stop loss level.
We take part in ICO/IDO’s after careful analysis of projects and recommend the same to our members. It is pertinent to note that we have gained 5x to 70x on various recommended ICO/IDO’s.
Apart from Bitcoin/cryptocurrency analysis, we also provide stock market analysis and do provide stock trading signals to our members to diversify their portfolios.
Video Updates and lessons
We also provide daily video updates to show the actual process of technical analysis we use to provide market updates live on youtube and in zoom meetings.
Apart from technical analysis, we do provide tips and techniques to improve your trading mindset to stay on top of your trading business.
We have developed a comprehensive trading academy where you will be able to learn from basics to advanced trading techniques to become a pro trader.
We have trading discussion channels on our discord where you can discuss anything or can ask any question from our trading analysts.
This is just a brief summary of what we offer on our discord server. Join us now to find more and stay profitable.