Things to know before you start trading crypto

Cryptocurrency is definitely one of the assets many of us trade here, and our experiences on this forum have really shaped our understanding of it. The knowledge we've picked up from each other has built up our insights into the crypto market, so I want to share a bit of advice. Trading crypto can feel a lot like gambling, especially when you dive into derivatives and futures. The spot market might seem safer with its lower risks, but the quick returns can still be tricky. So, just brace yourself for the worst. No matter how much you think you know about the crypto world, the wild unpredictability of assets like bitcoin means you can't really know where things are headed. Be ready for anything.

If you decide to trade, just prepare yourself for future inevitable losses. No matter how knowledgeable or skillful you are in crypto trading, one cannot guarantee profitability at all times, so never expect constant profits especially that you are trading in such an unpredictable and volatile market. Trading is like gambling, the only difference is that you can maximize your profits over your losses, but you cannot stop yourself from not committing losses at times.

I agree with that cryptocurrency trading is a gamble but for me it is a calculated gamble which carries less risk than other gambling options we know, my reason is that with cryptocurrencies you can simply calculate your loss. For bitcoin I am very much aware that its volatility is not that high and bitcoin also has the More realistic potential to actually increase in value when it is held for long, this will actually help one to understand what kind of trade to take. But for futures it is purely gambling most if it is with high leverages. For me no matter the ample of knowledge you have you cannot perfect trading because it is prediction so for that the first thing to do before taking a trade is to calculate how much you can afford to lose in such trade and make sure it is that amount that you use to trade not been too confident and going all in. You can simply have profitable trades but only one loss can liquidate you of proper risk management isn’t applied.

You can’t really compare trading to gambling because their purposes are completely different. Sure, you gamble to win, but the main reason people do it is for entertainment. In contrast, trading is more of a serious business, it’s not meant to be fun. It’s usually boring, and you need to apply real knowledge and skill if you want to be profitable in the long run. Think of it like this: Gambling --  profitable in the long run? Almost always no. Maybe 1% make it. Trading -- profitable in the long run? Yes, at a much higher percentage, especially with discipline and experience.

Anyone who is familiar with trading and gambling understands the differences between them very well. So the player can only appeal to luck, since his result depends on it. In addition to luck, a trader can always use technical and fundamental analysis when choosing a position, so that his profit will be significantly higher than that of a casino player.

Well, I do trade on futures. I have a very tight SL because I know the risk of trading with futures at least in my experience, I'm profitable with +40% WR sometimes I take 1:10 RR depending on how aggressive buyers and sellers are. So it's totally a gamble if you don't know the risk of future trades. Look at those who join the contest on Bitget, Binance, or OKX. If you can monitor their stats, you would notice there are traders that actually can trade profitably. Risk management is very important in futures because it's risky; spot has minimal risk the only good thing about spot is that you are safer from liquidation, and it is good for long-term holding. That's why I keep reminding other people to feed their brains first with knowledge and experience, starting with paper money, and use their skills consistently until they discover the profitable strategy. And don't trade against whales; if you see them going to sell, then don't hesitate to go sell. Like sample, the price came from oversold and near major support. If you see whales with aggressive buys near that area, then don't trade against them; instead, do the same thing with a proper entry plan and risk management.

As long as you keep trading in a volatile market, losses are uncontrollable. There are even times that no matter how positive your trades are, that you anticipate for a good trading outcome, but still end up losing due to sudden market changes. That’s how unpredictable trading is. The only key here, never trade if you aren’t prepared to lose. And once you lose, make sure those amount aren’t essential for you. Otherwise, you will ruin your finances without even having chances to gain profits from trading.

Crypto trading in my opinion is no different with stock trading or any other form of trading. It's all depends on a speculation so I should expect on the bare minimum that people already know this. We can't accurately predict the market and any TA or FA is just to make sure we aren't making bad decision and thats it.

It is very different if you consider fundamentals of stocks and cryptocurrencies. You can not trace whale activities in stocks, and the same with founders, CEO activities. With cryptocurrencies and their operations on public blockchains, you can easily do this, see the top rich list, make or use available on chain analysis that can help your trading plans better. Surely in all markets, we can not predict the market, time the market accurately. Doing this only makes use relying on what we have in hands and wrong belief that we can trade well with our analysis or prediction. By high chance of inaccuracy in trading, always reserving an exit gate with one of best weapons in trading.

An important thing about crypto is that it is speculative and like any other speculative market there is always the mental battle going on. The difference is that bitcoin is decentralized and thus difficult to trade in the short term. Long term gains and losses are possible but things will not be good in the short. Basically bitcoin traders need to learn patience and how to control their emotions to be able to place the correct trade at the proper time. There are more losses in trading than gains and trading is not for everyone. Still we can make money from this market, like selling now at high and then buying back when price drops back to 90k usd.

Definitely whenever I trade especially in futures, I feel the same thrill and excitement as when I do in sports betting and of course just like sports betting both have the risk from profit to 0 in real fast. So if you deposit and try futures, expect it that you are risking it and not just buying asset where you can hold no matter if it goes up or down, so it's profit or nothing. It's true, most traders I know do let their emotion affect their trade, sometimes they close and take profit early and some of them do get liquidated all because they let their emotions have their way in their position.

Losses are already given when you are trading in an unpredictable market. While this could trigger fears for others, but for few traders this is quite challenging. The challenge to overcome all the risks and maximize trading potentials, but this could only be possible for those who are definitely real traders, while those who are fake and pretentious ones, they do trading only for greed, so expect that their trading career end up short-lived, and completely lose all their future profits.

Trading crypto on derivatives is very risky because of the high risk, many people are not trading unlike the massive population that are investors and holder of Bitcoin but they are not trading because they don't want to lose their Bitcoin. Most people use gambling to describe trading despite that they are not same thing, the fact is losing money is almost the same and it really requires a high mastery skill to be profitable. I takes constant learning, patience and consistency to be profitable in trading, success is recorded when the trader starts hitting more winning trade than losses.

Trading and gambling are different but their risks are like the same I recommend anyone that wants to trade to use the amount of money that he or she can afford to lose to trade. Also the same for anyone that wants to gamble. Future trading is very risky.  We see what happened to James Wynn or so recently that he lost millions of dollars.

If you want to avoid big risks, choose spot trading—futures trading is for those who are prepared to take on all the risks. Have you ever been liquidated by the exchange? It's really painful. I know many people choose futures trading because of the profits they expect, but once again, skill is very much needed, and you need patience and composure in futures trading.

When a trader of cryptocurrencies doesn't know the concepts of trading then trading looks like gambling on his paths, but when a trader knows the protocols of trading, it will not seen trading as a gambling Because trading is differs from gambling and what makes trading to be different is due to trading have a skills that we have to learn and understand the bases, why in gambling it doesn't have a skill that requires a general learning Secondly, in trading you have to know which of the trading you are to establish, and you have to know that risk management is very important in anything that has to do with trading, for a trader to scare through, it has to take a risk and the management of risks is the most important thing so far we have to know about.

Metal preparation for crypto trading is needed despite our knowledge because the crypto market is not certain; it is volatile. That is why it consists of ups and downs. Entering the trading market without accurate skills and knowledge will hurt your wealth and capital, and at the same time, starting trading with huge expectations is also very risky because anything can happen at any time in the crypto market. Nevertheless, it is quite different from gambling if you are well knowledgeable about crypto trading and if you are well prepared on how the market moves but avoid greed and quick money expectations. Trading is profitable, but you need to be well prepared and have proper information.

Trading has almost the same fate as gambling because the moment you lose your money, it is gone, and sometimes, even with the analysis, anything can happen. but trading is even better than gambling since the candles can give a guideline, but trading is worse. And when you are holding them, you have a higher chance of getting your money back, even if the price is falling, so there is still a lot more that people need to understand about how the two are different, so understanding matters. Even professional traders are losing money, so it is not every time that you are going to make a profit, so it is clear, but when you have knowledge, then it becomes easier for you to trade rather than trading when you have zero knowledge, so it is very important to do a lot of chart reading because that is what will give you the kind of prediction you want. because what is supposed to be the driving force is money, but gambling is more and more dangerous.

In short, prepare yourself from losses in trading. There is no trader that has not experienced certain losses, even those successful traders in the making. And the fact that they have managed to gain from their trades now, their losses could somehow be minimized as well. Reality is, if you trade, you will definitely lose as losses are part of trading. So don’t get rid of losses because that’s really impossible, but instead embrace your losses and learn from them, develop your hidden potentials because of them.

Although trading and gambling have some aspects in common, they have significant differences. Rapid price volatility can lead to huge losses if traders put all their eggs in the wrong basket, the high risks that can arise from trading can also occur in gambling. However, traders can conduct thorough analysis and research before entering the market. They can also develop strategies and risk management to minimize losses. This differs from gambling, which often relies on luck and lacks a clear strategy. So that's why we're always involved in discussions on this forum. Some of the information shared here can increase your knowledge and insight so you can make more informed trading decisions.