Steemian Investor Vs Steemian Trader: Which One Are You?
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I've been doing the stock market since 2007, that's a little more than 10 years now. Something I learned the hard way, and by the hard way I mean I've lost good amount of money as a price for my learning, is that if I want to be successful over the long term, I should be an investor, rather than a day trader.
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Nothing wrong with trading stocks or Crypto currencies, if you do it professionally. You can even make good amount of money in the process. But it requires time, energy, full attention and sharp focus. It consumes your energy and time and if a little bit of emotions jump in the picture, you can get screwed. If you stop trading for a day, you stop making money. And if you lose money in trading, you get upset and worried and totally stressed out.
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Investing is a totally different way of being and thinking. It's a different paradigm all together. You do your homework once, and you have cashflow coming to you day in and day out, month in and month out. You do your due diligence and evaluate the investment opportunity (whether it be stocks you want to invest in, cryptos or even real estate) and if the numbers look right, you go for it and just keep an eye on your investments. No need to worry or stress out after that.
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If I were to apply the same investing methodology in the cryptocurrency world (be it Steem or the other Cryptos), I know that would be the right thing to do. Unlike the "Day-Trader" paradigm, I don't worry about the daily fluctuations in the Crypto market prices (including Steem price which as of this writing is worth USD 4.93 now). I'm in for the long term investment not the short term trading. The current dip in the market, which has caused the Cryptos to go down over the last 48 hours anywhere from 5% to 25%, does not worry me. Why? Because I'm an investor not a trader. I don't want to flip Cryptos now for a quick buck. I watch the market prices to know what's going on but I don't worry about them. As a matter of fact, the lower the prices go, the happier I become... Yes, you're read that right! I become happier. Why? Because I can buy more now with less (Investor mentality). I can strengthen my portfolios of the different Crypto currencies with much less capital than I could have done has the market been rising instead. I don't panic if the Steem price goes even lower.... I don't feel bad if I see my total account value in my wallet going down. Why? Because I'm an investor not a trader.
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Any market goes through cycles... up and down cycles. Prices go up and they come back down. It's a law of nature. Just like the sun rises and sets, the moon moves through different phases from a crescent to a full moon and back to a crescent again every fortnight, the Crypto market is no different.
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You guys are here to stay... You've come across a lifetime opportunity by joining Steemit and finding out about the value it gives you and the difference it can make in your lives. Believe in it then. Don't sweat the small stuff by worrying about the current market fluctuations.. Just stand tall and strong and keep telling yourselves: we're investors. We're not traders. We believe in Steem and we'll stand firm with our commitment to make it big on the long term.
Great writeup buddy. Totally agree that investing is the right way forward. Trading in cryptos imbalances your mind completely and with such great volatility, you can just loose it all. Personally , have only been investing in steem and other cryptos. Steem and steemit has a long way to go and every SBD earned should be powered up in my opinion. Regards Nainaz.
#thealliance
Thanks for sharing your thoughts @nainaztengra .. Yes, that's my approach too. I have a goal of reinvesting all my SBDs by powering up till I reach a 3350 SP. That's where I can start reaping valuable rewards through strengthening my voting power and hence being able to upvote more quality posts.
مقال رائع ومفيد جدا نور الدين شكرا علي المشاركه
تسلمي يا غادة... دايما مشجعاني ومنوراني
ربنا يعزك نور الدين انت اللي منورنا بمنشوراتك الجميلة
I agree. This is long-term for me, so the fluctuations in the market don't panic me. Last month everyone was dancing a jig at the height of the price.
I expect it will go up again and people will be happier and more active.
Tip!
Thank you very much @dswigle... You're always very encouraging and supportive. I'm glad to know you :)
The feeling is mutual!
Hi @nuridin! You have received 0.1 SBD tip + 0.03 SBD @tipU
from @dswigle :)
@dswigle wrote lately about: Just Breathe. Feel free to follow @dswigle if you like it :)
Tipuvote! - upvote any post with with 2.5 x profit :)
Thank youuuuu... very generous of @dswigle :) Love those tips
شكرا للمشاركة الجميلة و النصائح المفيدة!
فعلا التداول امر محاط بالخطورة و احتمالية الربح ايضا!
حصلت على تصويت من
@arabsteem curation trail !
و تم اختيار مقالتك ضمن مقالات يومية مختارة للنشر اليوم في مقالنا! :)
شكراً لك أستاذ محمد... دائماً أقدر دعمك ومساعدتك لنا الكتاب العرب هنا
I'm definitely a long term investor, because right now I don´t have the time to work and study the markets for trading... that´s what happen when you try to get a degree!
But Trading in crypto has a big potential because volatility is what exist the most... you can make 5%, 10% in such low amount of time.
True... You can make money trading if you learn to do it right and pay full attention to it. Nothing wrong with it, but I'm more on the investing side like you.
You really spoke my mind with that paragraph.
Glad we're on the same wavelength my friend :)
This is a great post @nuridin. Resteemed. :)
Thank @coinbelly.. Highly appreciate your engagement with me. You're truly amazing :)
Great info @nuridin :)
Thank you :)
When the price is down on bad news, I post more and earn more out of the reward pool since everyone else lays low. I get bigger votes from the people who have me on their bots and better odds on the bid bots. Then the price comes back and I'm very happy I kept working.
I'm only an investor as much as I have to be to do well here but I'm committed to making it work and the down times are opportunities. I'm here for the Alexa ranking and that is going down in the right direction very nicely!
Fantastic... I like your approach and the way you invest in the platform. I'm glad it's working well with you both during the lows and highs of the market. That's the core of the message I wanted to give by this post. You're a living example of its success.
Thank you! I feel like a hamster on a wheel but it's working out well :)
lol... I like that metaphor... Actually that's exactly what I'm planning to escape from, the rat-race... i believe I can do it through steemit on the long term. You're close to getting there too :)