e_abrams

Tesla issued an announcement: “We expect to begin accepting Bitcoin as a form of payment for our products in the near future, subject to applicable laws and initially on a limited basis,” What is more, the company, which is the largest producer of electric vehicles in the world, has invested 1,5 billion USD in Bitcoin. All this caused the Bitcoin price to skyrocket to an alltime high – after Tesla’s announcement its price jumped with a whopping 16% to 44,795 USD and it continues to move north. This move by Tesla pushed Bitcoin into the mainstream more than ever. Tesla’s shares also rose with 3% after the announcement. Source Tesla has done the crypto industry a great favour, I wouldn't be surprised if BTC rallied to 50k soon.

Profit is the biggest motivation there is when it comes to trading. Everything else is secondary.

True. Risk management is a vital part of successful forex trading.

The cryptocurrency industry reached a staggering market cap at 1.1 trillion US dollars after Bitcoin and Ethereum sharply jumped in both price and demand recently. The crypto market added 50 billion US dollars to its market cap once the price of Bitcoin passed 38,000 US dollars. Bitcoin has been pretty bullish for the past day, up 5% compared to the previous day, and its market cap lingers around the 700 billion mark. The second most popular cryptocurrency, Ethereum is currently priced at 1600 US dollars which is also a record price. It has seen a 30% increase for the past week and its current market cap is 190 billion US dollars. The other cryptos that have had a good run since the beginning of the year are Cardano, Litecoin, and Stellar. Source The crypto industry has boomed in the past few months. I wonder what the market cap will be when BTC reaches 50k.

So you do not always use a stop loss then?

Usually that list is already available in the instructional materials newbies use, they don't need to make them from scratch themselves.

Indeed. It's just not realistic and attempting to achieve that just leads to losses. Accept that not all your trades will be successful, but do your best to minimize the non-successful ones.

I agree. The small capital allows one to learn how to trade with real money without putting the trader at risk of losing a large sum.

Which pairs are those though? Which ones do you prefer?

After spending months first considering whether to ban cryptos, then how to tax them big time, India is now focused on creating its own digital currency. The Reserve Bank of India is the latest regulator that has decided to explore optimal possibilities of a CBDC. The Bank recently released a Payment and Settlement Systems in India” booklet which refers to the issuing of a CBDC. “Private digital currencies (PDCs) / virtual currencies (VCs) / cryptocurrencies (CCs) have gained popularity in recent years… Nevertheless, RBI is exploring the possibility as to whether there is a need for a digital version of fiat currency and in case there is, then how to operationalize it.” said the RBI. The RBI governor has, however, said that it is actually too early to act due to an insufficient technological standard in the face of India’s vast geographical diversity and economic divide. The challenge would be collosal. Source I think they will probably overcome these issues eventually, as CBDCs are embraced globally.

I think that is the motivation for the vast majority of people. Everyone are in this industry for the profit.

One always needs experience to trade, regardless of the strategy. But the only way to gain that experience is to actually trade. And lose, in many cases.

That last part is vital. If it is not as close to the real thing as possible it is useless.

I think some companies allow even smaller initial deposits for micro accounts.

Do you think a long-term trading approach is more reliable?

I think it is necessary for any newbie to spend some time on a demo account. And on a good demo account too, because not all are.

How did you manage to put your emotions under control?

Christine Lagarde, the President of the European Central Bank, once again called for cryptocurrency regulation. Lagarde expressed concern for Bitcoin’s anonymous nature and its troubled past – to quote her, the most popular crypto in the world has been used for some “funny business”. This statement comes on the heels of Lagarde’s past comments about regulating stablecoins as well. This time, however, she was focused on Bitcoin, rather than stablecoins. The whole sector is in dire need of regulation, according to her words. Bitcoin is not entirely unregulated in the EU – brokers that accept Bitcoin deposits do tend to follow strict Anti-Money Laundering procedures, but Lagarde does not consider that to be enough. Source I, personally, think that such regulation is necessary, because it will make the crypto industry bother safer and more widely available to the public.

I think comparison is necessary in as much that demo needs to behave as closely to a live account for it to be useful. You can't test EAs or strategies on a demo accounts that doesn't problems while the live counterpart requotes all the time.

Sometimes an abundance of confidence is the problem. A trader being too arrogant to see their own flaws is what sometimes leads to losses.

Developing a new strategy from scratch is practically impossible for a newbie, their best bet is to find an already existing one that works and use it.

Emotions are a very natural thing but a trader needs to remain in control of them if they want to be successful.

The UK financial regulator Financial Conduct Authority (FCA) issued a sharp warning to cryptocurrency investors to be prepared to lose all their money. This warning was issued after a day on the cryptocurrency markets which saw 200 billion US dollars getting wiped out from the total value of all digital currencies. “The FCA is aware that some firms are offering investments in crypto assets, or lending or investments linked to cryptoassets, that promise high returns. If consumers invest in these types of product, they should be prepared to lose all their money”, the regulator said, warning that crypto lending and investments are considered “very high risk”. Source Sadly, the sudden Bitcoin crash earlier this week led to massive losses, no wonder the FCA is issuing such dire warnings. Cryptos are very volatile - they can be quite profitable, but invest in the wrong time and the losses are just as big.

There is no point in investing large sums if you are sill finding your proverbial feet as a trader. You'll just lose your money and give up on trading.

I think newbies choosing currency pairs should stick to the most popular ones, because the information about them is a lot and broadly available. That is not always the case with the more obscure pairs.