Hi there Luc,
First of all I'm new here and I would like to thank you for sharing so much valuable information about trading cryptocurrencies. Especially for new traders like me.
Just a quick question if I may:
I was wondering on what point are you trading your bitcoins/altcoins back to dollars? Is it on a daily basis, weekly, or? Because every altcoin is connected to the value of the bitcoin, or ethereum, whats the best moment to take your profit into dollars? The next day your profit could be vanished because of a dump of the bitcoin value, right?
I hope my question makes sense, and would love to hear about your methods! Thanks mate!
I always hold ETH and BTC as base currencies because most other coins pair off them.. And I dont ever trade back to dollars, but I do use the tether coin (USDT) which mirrors the US dollar ..
Hmm okay! But what's the purpose of trading coins and not trading back to dollars? Is it a long term plan?
I trade into coins because they can be moved around fast from one exchange to another.. I often do arbitrage, because the market is so new that there can be a big difference from one exchange to the next.. If your money was in regular old USD, you cannot move it in minutes to another exhange.
IIRC, Luc said in one of his videos he's never taken a withdrawal from his crypto exchange accounts. So he's not using this stuff to pay the bills. Presumably that comes from his stock market trades.
Yup, this is true.. I havnt sent anything back to me yet.. Im a true investor, I bought $300 worth of BTC in 2015, its all up up up since..
Or are you always changing your ETH and BTC to USDT each day? So you can secure the value of your coins before bitcoins' value will drop?
no.. im not trying to make currency trades over my regular trades.. If you believe in ETH and BTC longterm, then there is no harm to just hold a little of each to trade other coins with.. .. and then if you want to trade ETH/USDT or BTC/USDT then set aside some money for those trades.. but i dont want to over complicate it