In the last eight months, we had to fight with bears but that was not the first time. History had something for our reference. Something similar happened in the crypto market at the end of 2013. In December 2013, it reached record levels of $ 1250. Shortly thereafter, the market sank 90% by registering a minimum of $ 100 before stabilizing. Thus, the fall in Bitcoin prices was over 90%. So, as you can see, there's a duplication that opens up before our eyes especially when you put the XRP in the image. Although it is one of the best Crypto Market currencies, at current spot prices, XRP is down 93% and one of the "worst" performers as experts say.
There was no doubt around these circumstances that I was asked in various forums what I thought was the best way to make money during these trying and bearish moments. We can exchange or keep XRP but as always, we should enter between the lines and give you conclusive answers based on facts. To simplify, we will distill and see what the advantages and disadvantages of each strategy are and what you can do to overcome these insatiable bears.
Too much, trading is entirely based on profits and there are three main trading categories mostly defined by the trading style:
– Day trading (where trades are held between ; hour and day)
– Short-term trading (where trades take place within a week)
– Swing or swing trading (For traders who perform operations for several months)
One way or in the other, we have practiced one or several types of trading strategies mentioned above. Ten years ago, when I was a beginner, I experienced day trading. I was attracted by the charm of quick profits. However, I was quick to lean that day trading is not suitable for those who want freedom. In fact it is quite difficult since you have to stay glued to your computer all day. While I graduated and I made use of several technical indicators that began trading based on sales signals, it was just a boring job to look at the leaderboard all day. Yes, there were limited orders that I used but, of course, these sales or purchase limits are not guaranteed in any way. Prices could reach our target value and then fall off meaning we did not make profits and most of the time we ended up losing.
Limiting this is the prevailing high volatility in the market which makes unreliable stoppage losses and not something of a guarantee. Too often, I earned money from time to time, but these were necessary experiences that strengthened my learning curve.
However, looking at your operations and manually opening and closing orders is the surest route to profitability. However, I must say, I stopped doing day trading soon after, let's face it. Profits are low and yes, you can not manage greed successfully.
After daily trading, I tried short-term trading and continued to play in the market for about a year. The experience gained with this style of trading has been nothing short of definitive. The good thing about this trading period is the time of the cartographer, which has been reduced and, moreover, the profits have increased. This did not stop me from pushing around and later I settled for the swing trading. It's really easy to make pea and all you have to do is buy when there are significant market corrections with executions that only happen after a few months or when your goals have been hit. The only strategy that improves Swing's exchange on the return on investment is the Buy and Hold strategy.
Buy and hold:
Along with these trading activities, I have assigned part of my portfolio to the buy and hold strategy. This trading strategy is pretty simple and so is it. All you need to buy is when prices are cheap and fairly priced. And I did not mind waiting because sometimes to get a low price, I had to wait a couple of months often in 3 or 4 months.
You can buy as many as you want for a single price or you can choose a step to buy the strategy. More specifically, money is divided into three equal parts with open purchase positions at important levels of support spread across three levels. This style of trading is better known as laddering. After increasing your longitude, the purchase and maintenance strategy requires you to wait between 6 months and several years until you get the desired profit.
Warren Buffett is one of many million dollar traders through the purchase and holding strategy . Warren tried to buy cheap shares, generally after market crashes, after which he waited for years to sell his shares.
After analyzing our trading strategies over the past decade, we have come to the following conclusions:
– never invest more than you allow yourself to lose.
– Before buying, always try to get cheap. Identify these minima by looking critically at the graphs.
– Buy and Hold strategy often returns the highest ROI
– Statistics support the Buy and Hold strategy and over 90% of the time traders have made a profit.
– Select a trading strategy that best suits your personality
– Trading in a bear market is difficult for newbies, often experienced traders make a profit.
– Day trading is tasking and ROI is low
Based on our deductions, it is certain that current market conditions are not favorable for those who start. Students would do better to jump and practice when the market is stuck inside a range or when buyers roam around
When I say that the best strategy is the one that fits your personality, I mean that a young man anxious will probably think to buy and hold is an inappropriate strategy for him. But if he has not tried this style of investment, he can not know whether to buy and keep him fit. In general, young people want fast money and are trying to exchange, not buy and hold. Ultimately, what matters is a bigger ROI, and this huge profit can only be achieved on XRP through purchase and storage.
So buy it and keep it and cover it with a lot of patience. After all, time has shown that a bear market can not last forever. The encrypted market has cycles, like any capital market. A bear cycle is followed by a period of accumulation and then by a bull cycle. Encouragingly, the XRP Fundamentals have improved in 2018. This year Xrapid has been tested and several financial institutions are making use of XRP for their cross-border payment solutions.
It is true that the volume of these transfers is quite low, but do not forget that follows SBI and, according to Ripple's CEO, Brad Garlinghouse, by the end of 2018 some banks will adopt XRP. The low price of XRP at this point is due to the bubble that led to the Crypto Market at the end of 2017 and at the beginning of 2018. As such, this price drop has nothing to do with the fundamental data of XRP .
Over time, XRP has proven to be a solid product and with increasing adoption, it is undoubtedly that prices will be higher than one inch. These price decreases have existed in other capital markets and on several occasions in the cryptographic sphere and in those trial periods, the capital markets have recovered. You have to be patient enough if you want to become a Warren Buffet of the Crypto Market. The former $ 3.6 ATH will be reached and dismantled in the near future or very far.