The world of crypto currency is loud. If you spend five minutes on social media, you will be bombarded by self-proclaimed gurus and influencers telling you exactly when to buy, when to sell, and which token is going "to the moon".
Frankly, I do not buy into it. Most of those voices are untrustworthy, driven by their own agendas rather than solid analysis.
I am what the industry calls a "retail" investor. In plain terms, I am a typical Joe Blogs. For me, trading Ethereum is a hobby, a bit of amateur fun, and a chance to put a specific skill set to use. In my full-time job, I trend conditions every day. It turns out that looking for patterns and reading the direction of travel is a surprisingly transferable skill when it comes to crypto charts.
I do not own a massive amount of crypto. At one point, I held 1.754 ETH, which I sold last year. After watching the market and waiting for the right moment, I jumped back in this year and currently hold 0.355 ETH.
Right now? I am underwater on that position.
But here is the thing: being down on paper is not a problem. It only becomes a real problem if you panic and cash out at a loss, and I have absolutely no intention of doing that just yet. I am perfectly content to let the market do what it does while I watch from the sidelines.
My strategy is simple, and it relies on two things: my gut, and the charts.
I look for market signals rather than headlines. In fact, I never sell on bad news. History shows that when the media is full of doom and gloom, that is precisely when the institutional bankers scoop up cheap Ethereum from "weak hands" who panic-sell.
Instead, I prefer to wait for the opposite emotional extreme. When euphoria is sky-high, everyone is celebrating, and greed takes over the market, that is generally the signal that the top is in. That is the time to sell and cash out for a profit.
Crypto trading does not require following a herd or listening to internet hype. For me, it is about staying grounded, trusting the data, and enjoying the process.
If I have some advice, it would be:
Don't spend too much cash, and have fun. Remember that a 20% gain on £50 is vastly different to that on £50,000. Don't be swayed by percentages, or you will be disappointed.
Notice:
Comments are moderated and may not appear immediately. Please keep your comments respectful, and relevant to the post. Spam will not be tolerated. My site. My rules.