Beginner to crypto

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LatinasAreTheFuture said:
Hey guys so I got a question.

I’ve recently come into some money, let’s say it’s like 50,000. So am I right that I should just buy bitcoin low and sell high? That’ll work? If I buy bitcoin at 10,000 and it moves up to 10,100 and I sell I just made 500 bucks? Is it that simple or what am I missing?
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It is that simple. But which way will it go?

Go to /biz/ and spend a month comparing their predictions to reality.

As PB asked are you trading or investing?
 
BattleShipRick said:
It is that simple. But which way will it go?

Go to /biz/ and spend a month comparing their predictions to reality.

As PB asked are you trading or investing?
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Ya, I have realized that I could lose all my money, especially since I have no idea what I’m doing. I was planning on testing it with say a few thousand bucks to see if it would work.

Um, I’m completely new to this, so I have no experience trading or investing. I do want to learn about it.
 
LatinasAreTheFuture said:
Ya, I have realized that I could lose all my money, especially since I have no idea what I’m doing. I was planning on testing it with say a few thousand bucks to see if it would work.

Um, I’m completely new to this, so I have no experience trading or investing. I do want to learn about it.
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Unless you're like @CrunkLord420 I wouldn't bother day trading. Crypto is notoriously unstable so I would put the majority of your money into an ETF like vanguard which mirrors the market. See if you find a coin you like on an exchange and start there. Start small and build your way up.
 
chekovia said:
Unless you're like @CrunkLord420 I wouldn't bother day trading. Crypto is notoriously unstable so I would put the majority of your money into an ETF like vanguard which mirrors the market. See if you find a coin you like on an exchange and start there. Start small and build your way up.
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Ya exactly. No matter what I do I’m going to start small. I don’t want to lose all my money lol.
 
LatinasAreTheFuture said:
Ya exactly. No matter what I do I’m going to start small. I don’t want to lose all my money lol.
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Ive held bitcoin since it was worth $18 USD. If you invest, keep in mind how often the market drops. When its your money, its easy to panic when you can watch it drop so quickly in just minutes.
I knew a "smart person" who got into crypto with $1000, then get out of crypto 2 days later with $800 because theyre convinced the market is dead and they made a huge mistake. Of course it recovered and went back up and above later but he had already sold at a loss by then so why would he care? He used the word "scam" when ranting about it lol. Thats panic selling, so just be aware of it.
 
HollaGemini said:
Ive held bitcoin since it was worth $18 USD. If you invest, keep in mind how often the market drops. When its your money, its easy to panic when you can watch it drop so quickly in just minutes.
I knew a "smart person" who got into crypto with $1000, then get out of crypto 2 days later with $800 because theyre convinced the market is dead and they made a huge mistake. Of course it recovered and went back up and above later but he had already sold at a loss by then so why would he care? He used the word "scam" when ranting about it lol. Thats panic selling, so just be aware of it.
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I tend to notice it has waves in like 1day to 3 day patches if that makes sense. But ya I see your point, and I’ve seen that bitcoin is very volatile. It’s just as likely to go up as it is to go down, even over the course of a month.
 
HollaGemini said:
Ive held bitcoin since it was worth $18 USD. If you invest, keep in mind how often the market drops. When its your money, its easy to panic when you can watch it drop so quickly in just minutes.
I knew a "smart person" who got into crypto with $1000, then get out of crypto 2 days later with $800 because theyre convinced the market is dead and they made a huge mistake. Of course it recovered and went back up and above later but he had already sold at a loss by then so why would he care? He used the word "scam" when ranting about it lol. Thats panic selling, so just be aware of it.
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So you're a real OG, huh? What alts do you like the look of?
 
LatinasAreTheFuture said:
I tend to notice it has waves in like 1day to 3 day patches if that makes sense. But ya I see your point, and I’ve seen that bitcoin is very volatile. It’s just as likely to go up as it is to go down, even over the course of a month.
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It's not trival to sit and watch your profile go down by a few hundred and not react. It's just as hard not to be exceptional when you're up.

Do some research, make an investment, and stick to it. You should test with a smaller amount for a shorter timeframe and see how it effects you.

Then go all in on link.
 
chekovia said:
So you're a real OG, huh? What alts do you like the look of?
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I have just held onto what I purchased, I got into Litecoin early as well, Etherium quite early, I moved into Ripple but it didnt move much, so loss of potential profit but no actual loss. I dont keep up to date as much as I should, Im only just getting back into trading now that I have an office setup. I trade crypto for fiat on a brokerage site instead of crypto for crypto now, much more boring but a lot easier to manage. Its literally selling at a high, waiting for it to drop, buying back in, repeat. More of a hobby now than anything, I have everything I need now.
But yeah, BattleShipRick is 100% right. Research, invest, STICK TO IT! Those 3 things, write them down hahaha.
 
BattleShipRick said:
It's not trival to sit and watch your profile go down by a few hundred and not react. It's just as hard not to be exceptional when you're up.

Do some research, make an investment, and stick to it. You should test with a smaller amount for a shorter timeframe and see how it effects you.

Then go all in on link.
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Oh god no, a link marine. I thought you guys all died out when Sergey was dropping his 700,000 stacks.
 
BattleShipRick said:
It's not trival to sit and watch your profile go down by a few hundred and not react. It's just as hard not to be exceptional when you're up.

Do some research, make an investment, and stick to it. You should test with a smaller amount for a shorter timeframe and see how it effects you.

Then go all in on link.
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I guess I’ll come running here when I lose all my money.
 
If you're serious about getting back into crypto, understand that mining is not the way to go like it was 4-6 years ago.
Instead, invest money you can afford to lose into one of the big four: BTC, Monero, Etherum, and Litecoin.
Play around with that money for a month or two, then cash out. If you're still interested in investing, then go ahead.
If you want to mine, pick a new coin or one that has low market cap. That way you don't lose big, or at all, if it crashes into the dirt.

Also, I'm unaware of how crypto is treated in other countries, but I do know that in America crypto is taxed, so understand that you will need to pay if you cash out.
 
chekovia said:
Maybe set up a 'portfolio' of coins to try to even out the risk.
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Oh ya I could do that too. From the little that I’ve seen, it doesn’t seem like the coins move all that much, so I’d either have to live with little gains, or risk more by buying more. I like bitcoin because of how volatile it is.
 
karz said:
If you're serious about getting back into crypto, understand that mining is not the way to go like it was 4-6 years ago.
Instead, invest money you can afford to lose into one of the big four: BTC, Monero, Etherum, and Litecoin.
Play around with that money for a month or two, then cash out. If you're still interested in investing, then go ahead.
If you want to mine, pick a new coin or one that has low market cap. That way you don't lose big, or at all, if it crashes into the dirt.

Also, I'm unaware of how crypto is treated in other countries, but I do know that in America crypto is taxed, so understand that you will need to pay if you cash out.
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This, so much.
"BTC, Monero, Etherum, and Litecoin"
"but I do know that in America crypto is taxed, so understand that you will need to pay if you cash out."
I live in Australia, and my largest cashout to date for $650 K I was taxed $158 K, would have been closer to 300 K if I hadnt held onto the coins for over 12 months (in Aus you get a massive discount for holding over 12 months). Find out the tax rules of your country!! Could save you a lot of money down the road.
The tax man in most countries are onto crypto now, especially the US and Aus. Sending out letters etc to people who have cashed out into their bank accounts (there are other ways to cash out btw).
 
HollaGemini said:
This, so much.
"BTC, Monero, Etherum, and Litecoin"
"but I do know that in America crypto is taxed, so understand that you will need to pay if you cash out."
I live in Australia, and my largest cashout to date for $650 K I was taxed $158 K, would have been closer to 300 K if I hadnt held onto the coins for over 12 months (in Aus you get a massive discount for holding over 12 months). Find out the tax rules of your country!! Could save you a lot of money down the road.
The tax man in most countries are onto crypto now, especially the US and Aus. Sending out letters etc to people who have cashed out into their bank accounts (there are other ways to cash out btw).
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Fellow Australian here, never cashed out. HODLing ( holding) long term. There was a Bitcoin ATM nearby that didn't require bank info or phone number but they replaced it. *sigh*
 
chekovia said:
Fellow Australian here, never cashed out. HODLing ( holding) long term. There was a Bitcoin ATM nearby that didn't require bank info or phone number but they replaced it. *sigh*
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That sucks :( Australia isnt very crypto friendly, when Spendmybitcoins and BitInnovate went down, thats when I started noticing places wanting your identity, even most Local Bitcoin vendors started requesting ID and verification, and the vendors that didnt ask were always more expensive.
But nice work Im still holding too. I just wanted to have my own place, I didnt want to cash out but was sick of not having a stable place to live.
 
karz said:
If you're serious about getting back into crypto, understand that mining is not the way to go like it was 4-6 years ago.
Instead, invest money you can afford to lose into one of the big four: BTC, Monero, Etherum, and Litecoin.
Play around with that money for a month or two, then cash out. If you're still interested in investing, then go ahead.
If you want to mine, pick a new coin or one that has low market cap. That way you don't lose big, or at all, if it crashes into the dirt.

Also, I'm unaware of how crypto is treated in other countries, but I do know that in America crypto is taxed, so understand that you will need to pay if you cash out.
Click to expand...
What’s the tax like? Do I put this on my taxes? I feel like I’m gonna fuck this up and have the IRS coming around.
 
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