Investing In Bitcoin: Buy and Hold or Swing Trading?
Bitcoin has become my favorite thing to trade lately. Why? Because the risk to reward is HUGE!
As a matter of fact, when I set up my trades I set my target 10 TIMES my risk. Now, I'm not saying all my trades hit this target. There are losing trades just like anything else. And due to my trailing stop, trades can get stopped out anywhere between breakeven and 1:10 risk to reward (like 1:2, 1:5, 1:8, etc.).
Remember, in order to be a profitable trader, all you need to do is make more money on winning trades than you lose on losing trades. And with the huge risk to reward ratios possible trading Bitcoin... being a profitable trader is even easier with Bitcoin than other assets.
No matter how you look at it... the potential profit makes trading Bitcoin something that should be in every trader's portfolio.
However, when I look around on the Internet, I see people are mainly taking about how to buy some Bitcoin and hold on to it. But is this the best way to profit as a Bitcoin investor?
Buy & Hold Or Swing Trade Bitcoin?
So, buy some Bitcoin, hold on to it and profit if the price goes up. Sounds like a plan. And, as a matter of fact, this is part of my plan for Bitcoin. But I find it much better to swing trade Bitcoin.
Since a lot of Forex brokers have added Bitcoin to their asset choices, it is now possible to trade Bitcoin vs. US Dollar much in the same way I trade other currency pairs. This means I can apply my trading strategies and indicators to help me decide the best price levels to BUY and SELL Bitcoin. It also means I can control risk by placing a stop loss, I can set a price level to take profit and I can manage risk by moving my stop loss and trailing price.
By swing trading Bitcoin like I trade other currencies I have much more control over my trading decisions. I can find the best levels to get into a trade and know when to take profits. All in all, this is a much more profitable way of trading Bitcoin than just buying some Bitcoin and holding on to it.
Look, I get it...
Bitcoin might be completely new to you. Maybe you are uncomfortable getting involved with something you don't have a lot of experience with. This is exactly why I created the Bitcoin Investing Live Course. In the course I share with you everything I've discovered about Bitcoin (like what it is, where to get it, how to store it, how to spend it and how to exchange it back to fiat currency). I share the exact resources and services I am personally using.
Also, as part of the course, I teach my Bitcoin Swing Strategy. You get the indicators, templates and rules for trading Bitcoin vs. US Dollar on the Metatrader4 Platform. And this strategy can produce trades with risk to reward ratios of up to 1:10.
So, don't just buy and hold Bitcoin and hope for the best. A better way of trading Bitcoin for profit is to swing trade Bitcoin.
See exactly what I am doing here: Bitcoin Investing Live