A few years ago, I read a headline about the SilkRoad. I didn't know anything about cryptocurrencies or the Deep Web then. Out of curiosity I dug in and started to read more about Bitcoin. Soon, I became fascinated by Bitcoin and decided to learn as much as I could about it. I even got to meet some enthusiasts in real life and after a while I decided to get in the game. The best advice I got was to just buy a little bit of Bitcoin and just wait and see what happens.
Unfortunately, I thought I could time the market and beat the game. I was wrong! I traded a few times and I lost. I stopped trading, stopped talking to friends about it, and decided to forget about it for a while. Instead I just bought little at a time when I could and I continued to buy it even as the price went up. Later, I realized that most of crypto trading is done by software algorithms and it's virtually impossible to beat them. I'm sure there are some very successful traders out there but I'm not one of them. I know that many people will never get into Bitcoin and I think that's OK. Cryptocurrencies in general carry a high degree of risk and it's not for everybody. However, the other side of risk is reward and I don't know of anyone that didn't risk to get something.
Here are a few things that worked for me regarding Bitcoin:
- Only risk what you're willing to lose. It's a lot like going to a casino and scared money almost never wins.
- Stop listening to other people about Bitcoin. There's a lot of hype out there and probably more scammers.
- Stop talking to your friends about Bitcoin. (OK, I'm blogging about to get Steem, sue me) Because the market is so volatile, your friends may lose money and might blame you for it. Worse, they might think you're insane for doing Bitcoin. You don't need more problems. I got 99 problems...
- Get a hardware wallet. Your smartphone wallet does not count. Leaving your coins on an exchange does not count. I will be posting a review of two hardware wallets I own soon.
- Don't trade. Just buy and hold. I don't doubt people's trading abilities but it's a tough, tough game to beat - just my two cents.
