Dollar cost averaging
Timing the Bitcoin market is the supreme discipline of day trading. In principle it is actually quite simple: Buy low sell high. In practice, however, some Bitcoin self-made traders tend to buy high and sell in panic as soon as the price drops. Anyone who already intends to hodln BTC instead of trading is well advised with so-called dollar cost averaging. Behind this is a strategy that averages the entry price. This means that traders invest fixed amounts in Bitcoin at regular intervals and thus save their digital phenomenon little by little.
Don’t let your emotions trade for you
The bitcoin market can get wild. Anyone who has been with us since 2017 will remember days on which the price rose by double-digit percentage points within hours. This is a seductive breeding ground for traders. Unfortunately also for those who do not have a good knack for it.
Don’t rely on chart technique
The web is full of trading ideas. From moving averages, MACD, MVRA to Mayer Multiple and Stock-to-Flow and Co. But they all have one thing in common: They cannot predict the future. Nobody knows how people will act in the future – or which macroeconomic phenomena will influence the Bitcoin price and how.