Summarize of Mini Crypto Program Part 1,2,3 by @rizkiblangpadang
Thank you to sister @liasteem for initiating this program, I hope my summary is in accordance with sister's wishes.
Summarize of Mini Crypto Program
There are 3 Sections in the Mini Crypto Program which have different topics from each other. Part 1 is about Trading Views, Part 2 is about psychological influences in market cycles and part 3 is about blockchain.
In this post, I will only explain the important things from each part, such as summarizing each part in one post.
In part 1, I have to make a post based on some questions about TradingView. The question is as follows:
TradingView is a social networking site where more than 30 million traders and investors around the world come together. The charts provided here are the world's best analytical tools for spotting opportunities in the global market. TradingView is commonly used to follow our favorite assets, find trade ideas, chat with others, see trends, and place trades directly on existing charts.
Tradingview is a place for investors to share information with each other. Such an information center that provides relevant information about the global market. Here we can also find trading analysis that really helps us in terms of stock exchange, crypto, and Forex. Of course, as someone new to the crypto world, TradingView was like a guide for me to explore the world of global markets, especially cryptocurrencies. Then here too we incur no additional hidden fees and no transmission of our data to any hedge fund.
There are two kinds of upgrades that we can do, namely monthly and annually, and the payment options offered are varied, which I will explain below:
In this package we can access the market more freely because there are many charts, intervals and indicators that we can use. For this packages, we have to pay $14.5 USD every month for monthly package. For annualy package we have to pay 154 USD every years. They also gave us 30 days of free use.
The steps are very easy, go to the chart menu first so that a display like the one below appears.
Click the 3 lines in the left corner of the page so we can change the theme and language according to our wishes. Switch the theme to dark by sliding the button sideways, the theme goes dark. The default language of this chart is English, we can change it to any language we want. Activate the drawing panel so we can edit the graphic more freely.
At the top of the menu bar, look for the settings button and then click it. Many things we can set such as symbols, scale, status line, appearance, trade and events. I prefer a predominantly white and light blue chart, so I changed the body color, borders and axes to white and blue, on the symbols tab.
Click the Indicators tab at the top of the chart, then several choices of indicator and strategy categories appear such as Built Ins, Candlestick Patterns, Public Library, Volume Profile and also we can directly search for the indicator we want.
I was looking for the Bollinger Bands Indicator at Built Ins category and I immediately added it to the chart.
We can directly configure the indicator as we wish.
Using TradingView is very helpful for investors, in understanding the market. For new users like me, of course this platform is very useful for me, because I can understand new and old ideas from seniors here.The platform is not only about cryptocurrencies, but also stocks and forex, thereby increasing the user's knowledge of all things commonly traded in the global market.
Of course, this platform is very helpful for professional traders and investors, because the information about market cycles and market analysts provided here makes the market more predictable.
TradingView is a social network of 30 million traders and investors providing information on global market developments such as market cycles, market analysis and various other things about global markets such as stock price developments, forex and crypto. The information is presented in graphical form.
There are 3 packages provided for us to subscribe, namely Pro, Pro+, or premium with a monthly or yearly subscription. We can edit the chart as we wish, and we can also add indicators to the chart as a tool to better understand the market. TradingView is a very important platform for investors, especially new users like me. It didn't take long to understand a bit about how to use the platform.
In this part, we have to make a post based on some questions too. The question is as follows:
Fear of missing out, which is abbreviated as FOMO, is a condition where someone is afraid to be said not to be updated because they miss the news that is currently circulating. FOMO is a type of anxiety disorder, and excessive fear is commonly felt by millennials (born 1981 to 1996) in other words my generation. Usually FOMO is a term for those who are heavily addicted to social media for fear of missing out on information.
In the world of Crypto Trading, FOMO is a psychological condition in the form of fear of losing opportunities so that you follow the market's desires. FOMO often happens to novice investors who are just investing in cryptocurrencies. In simple sentence it can be said that FOMO in the world of cryptocurrency trading is a phenomenon where investors fear being left behind as prices continue to rise, forcing them to buy at very high prices. The main cause of FOMO is due to negative emotions that arise, such as Greed, Fear, and Envy. So that excessive anxiety arises which causes someone to be desperate to buy at a price that is too high.
FUD stands for Fear, Uncertainty, Doubt or often also called Facts U Dislike. FUD is a psychological strategy that plays with the negative emotions of humans, especially crypto traders and investors to influence the market. FUD is usually a sneaky trick of traders or investors who want to lower the price of crypto by spreading fear, so that in the end they can buy crypto at a low price.
In simple language, it can be said when there is a spread of hoax news to give fear to traders and investors about crypto movements with the aim of making market prices fall sharply. Some people's negative opinions about market cycles can affect traders or investors psychologically. This creates fear, doubt and uncertainty and even changes their minds regarding strategies and plans for investing in crypto assets.
Based on the graph above, we can see in the red column that I marked, FOMO Occurs here. As I explained above, because of the fear of losing the opportunity to become rich, many traders or investors buy Litecoin at the peak of the price, but what they don't realize is that the market is not stagnant and keeps changing, so that what they fear become reality, that they lose the opportunity to become rich.
The chart that I have marked above shows that FUD is taking place, many holders are releasing their Litecoin assets because they are afraid because the price trend is declining. When prices go back up, that's where their losses occur due to releasing assets.
According to the instructions, here I choose two cryptocurrencies, Litecoin (LTC) and Steem Dollars (SBD) to explain the FOMO and FUD that occur in both cryptocurrencies.
We can see in the chart above that in mid-July traders and investors bought Litecoin gradually every day and peaked in early September where Litecoin was bought at a high price. Of course this is influenced by the fear of missing out on the opportunity to get rich which we know as the psychological phenomenon of FOMO. However, the next day there was a massive sell-off of Litecoin assets, which prompted traders and investors to sell their Litecoin assets in groups out of fear, uncertainty and doubt that we know as FUD. From mid-July until now, it's been the worst.
In the chart above, it can be seen that the market movement in Steem Dollar is not as extreme as in Litecoin. But what is certain is that FOMO and FUD still occur even though they are not like Litecoin. FOMO occurs in mid-July to early August, during August the movement is relatively stable between buying and selling assets, although sometimes FOMO and FUD still occur. Then, recently there was a severe FUD against Steem Dollars. As if Traders and Investors feel the need to quickly sell their Steem Dollars.
A person's psychology is very influential in the world of cryptocurrency trading, FOMO and FUD phenomena can occur because of psychological games that take advantage of negative human emotions. Traders and investors must understand deeply the phenomenon of FOMO and FUD, so as not to be trapped by harmful negative emotions.
I did not participate in part 3, because my post has passed the time limit. In principle, the same as Part 1 and Part 2, posts are made based on questions asked by the mentor. The mentor's question is as follows :
Blockchain consists of two words namely Block and Chain, the name comes from the way blockchain works which uses computers to create blocks that are connected to each other (chains) using cryptographic principles to execute all transactions. In short, it can be said that the blockchain is a sequential block in chain that is assembled and distributed together.
Every Block in the blockchain system is verified by millions of computers and then distributed using the internet network. These verified blocks are added to the chain and distributed in a special network, which is logged. Each block created consists of a ledger and three elements, namely data, hash, and hash of the previous block. There are several terms that we often hear when talking about blockchain such as Block, Node, and Miner.
Describe one type of blockchain !
So far there are 4 types of blockchain that have developed, namely Public Blockchain, Consortium Blockchain, Private Blockchain and Hybrid Blockchain. I chose a public blockchain to explain, here's a brief explanation.
This type of blockchain is the most widely developed today. It is called a public blockchain because everyone can see the transactions that occur on the blockchain, so public blockchain is very transparent for everyone. In public blockchains the term permissionless is used together with the term public. Nothing can prevent everyone from participating and they can engage in consensus mechanisms (such as mining or staking). Everyone is free to join and get rewarded for their role in reaching consensus.
One of the characteristics of public blockchains is decentralization, so that there is no authority that regulates the wishes of each person, there is only consensus from blockchain users and the system.
As I mentioned above, a public blockchain is a system that is not centralized to one party like a central bank. In other words, the network is fully decentralized. Public blockchains offer a decentralized structure, as no central authority is required for any transactions.
Satoshi Nakamoto introduced a new transparent financial system, and showed the world that our financial system is getting too old for the information age. Of course, this is a big step, because so far it is the Central Bank of each country that controls transactions, and the transaction history is kept secret, away from the public eye. The public blockchain gives anyone the right to see all transactions that occur on the blockchain.
The system is open to anyone with an internet connection, making it easy for users to download a copy of the blockchain and have full authority to read or rewrite it. In other words ordinary people like us have control over the system, not companies or countries.
I said earlier that we can't change the existing block on the blockchain nor can the public blockchain be completely immutable. No one can tamper with the block arbitrarily like double spending for example, all other node will reject the transaction.
The problem of transaction processing speed is one of the disadvantages of Public Blockchain. Networks on public blockchains take time to reach consensus so they are slow.
Scalability is the next disanvatadge, with the current state, public blockchains cannot compete with traditional systems. In fact, the more public blockchains are used, the slower it gets as more transactions clog up the network. This of course has an impact on the number of networks that are processed.
Energy consumption has become a concern when it comes to public blockchains. The Bitcoin algorithm relies on Proof-of-Work , which relies on using a lot of electricity to function.
I've visited the Blockchain Demo site according to the mentor's instructions, to be honest I was confused by the number of numbers listed there. But after trying to understand, it seems I'm starting to understand a little about this tool. There are 6 tabs to explore here, namely hash, block, blockchain, distributed, token, and coinbase.
There are many things we can learn from this tool about cryptocurrency mining. One of the easiest is when we change a number of nonce or block in the Blockchain causing the Blockchain to be invalid.
As I mentioned earlier, a decentralized system is the main benefit of this technology because, in a Blockchain system, the need for a third party or intermediary is eliminated by its working mechanism that manages the validation, verification, and clearing of various transactions.
All transactions that take place on the blockchain are recorded in a ledger that anyone can access. Blockchain technology records all important transactions in such a way that they are available to all blockchain members. The publicly accessible ledger proves transparency and trust across the system.
Confirmed blocks are impossible to tamper with, so once data has been entered into the blockchain, it is very difficult to delete or change it. Blockchain technology is an excellent technology for storing financial history or other data where an audit trail is needed because any changes can be tracked and permanently stored in a distributed ledger and can be freely accessed by the public.
As I said earlier one of the benefits of Blockchain is User Empowerment, because an open system for everyone to access all the info on the blockchain. In other words ordinary people like us have control over the system, not companies or countries.
At the time of mining cryptocurrency, the power consumed by the computer to mine is very large. Therefore, the mining process on the Blockchain system is considered not environmentally friendly.
All transactions that occur in the Blockchain system are recorded, this process is called Proof of Work (PoW). Bitcoin as the number 1 cryptocurrency in the world currently takes about 10 minutes to process PoW equivalent to 7 transactions per second, let alone other cryptocurrencies. This condition is too slow for digital world.
Data privacy that is well maintained in the blockchain system can be misused as a means to commit crimes such as illegal buying and selling transactions, money laundering, and terrorism financing.
The development of cryptocurrencies is very fast, but it is not matched by clear regulations. This is the biggest challenge facing the Blockchain system, because cryptocurrencies traded on Blockchain are still considered as illegal currencies in the majority of countries in the world.
Blockchain is a sequential block in chain that is assembled and distributed together. There are several terms that we often hear when talking about blockchain such as Block, Node, and Miner which is main aspect of Blockchain. So far there are 4 types of blockchain that have developed, namely Public Blockchain, Consortium Blockchain, Private Blockchain and Hybrid Blockchain.
There are several advantages and disadvantages to using Blockchain. Its advantages are decentralized, trusted and transparency, stability, and user empowerement. And its disadvantages are energy consumption is not environmentally friendly, too slow, potential for crime and unclear regulations.
Salim dulu sama yang konsisten 🙏
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Dear @rizkiblangpadang ,
Thank you very much for joining the Rising Star of Mini Crypto Program.
Here is the score that we can provide from the overall summary that you have done
I like this one, you have a good understanding about markdownstyle right now even I know you in Mini Crypto Program Part 1. Good job👍
Your understanding is very good. I proud of you brother 👍
Everyone has different creativity and I'm very happy because you do it so goodly
Thank you for joining the Rising Star of Mini Crypto Program and for complying with all existing regulations
Considering that you are not following the Mini Crypto Program completely, you must understand from the beginning, and we really appreciate your good intentions
Your current total score is 10
Thank you very much, and I hope I can see your good work at a better level with the assessment of Professors who have a more perfect understanding.
Has been rated by;
@liasteem as Mini Crypto mentor
@irawandedy as Admin of STEEM FOR BETTERLIFE
@heriadi as CR Indonesia and Admin of STEEM FOR BETTERLIFE
Thankyou sister.. 😁😁
You are welcome 👍👍👍
Good job for you..😀
Can i still participate in the mini crypto academy
Dahlah
😋😋