Bad Crypto Investing Advice

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Furious
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Re: Bad Crypto Investing Advice

Post by Furious »

Note: Right now. 1/10/21, all crypto is taking a small dip. When I say small I mean 5-10%. Such dips are normal with cryptocoins but the usually don't happen all at the same time. I predict Monday, 1/11, there going to be a huge selloff in tech stocks and that money's going to crypto. You can laugh at me if I'm wrong.
Maeve wrote: Sun Jan 10, 2021 5:20 pm So, hypothetically, if I wanted to buy say, $100 of something right now, and expect to keep it for 5 or 6 years, hoping that it might possibly (yes, I know it might possibly not) increase enough for like, a small chunk for a downpayment on a car (say, a couple of thousand dollars) what would I possibly get?
More swoopy charting:
2021-01-10_16-23-37.jpg
2021-01-10_16-23-37.jpg (33.47 KiB) Viewed 3601 times
After the dip today we're at about 39,000 for Bitcoin. 6 years after another peak, a BTC could be worth about $200k. So $200k/$39k = approx 5.1, meaning that $100 invested today would be worth $510 in 2017. Could be more, could be less, but I do believe BTC will peak twice in that timeframe.
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Furious
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Re: Bad Crypto Investing Advice

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Maeve wrote: Sun Jan 10, 2021 5:20 pm
Is bitcoin worthwhile investing in, if there are so few left? Also, you’e mentioned getting a security usb, how do you safeguard such a thing? Are they different than the ones I bought at walmart that won’t work anymore? (Probably because they were chucked in a drawer)
Here's a review of the the USB dongle/wallet that I use: https://boxmining.com/ledger-nano-s-review/#Ledger_hack . It's more than just a USB drive, although you could download simpler BTC wallets onto a thumbdrive and store it. I don't day/swing trade crypto (for now, anyways) so the extra security is worth it for me. You'd laugh if I told you all the steps I do for security, and one step involves wrapping something in aluminum foil to protect against EMP pulses. :P :P :P

Most people don't buy full BTCs anymore, but fractions of the coin. Eventually, people may just buy tiny tiny fractions of BTC, called Satoshis, which are worth 1/100,000,000th of a Bitcoin.
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Furious
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Re: Bad Crypto Investing Advice

Post by Furious »

*looks at crypto*

*small dip is becoming a big dip*

Ugh. The punch in the face hurts. The crypto market moves much more dramatically than in other markets. Still HODLing though :P
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Re: Bad Crypto Investing Advice

Post by Maeve »

OK, I’ve read this explanation three times now and got hopelessly lost! I get the same way looking at the stock market stuff.

What I want out of life? To have about 100K a year. Honestly don’t need anything more.
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Re: Bad Crypto Investing Advice

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Maeve wrote: Mon Jan 11, 2021 7:39 pm OK, I’ve read this explanation three times now and got hopelessly lost! I get the same way looking at the stock market stuff.

What I want out of life? To have about 100K a year. Honestly don’t need anything more.
Hrm... okay. I'm pulling this from memory correct me if I'm wrong folks:

Investing
is using your money to profit off time or someone else's work (or debt).

Bonds are notes gives for moneys you lend to an organization for a profit in the future.

Stocks are similar, "but you're owning a piece of the company", which technically isn't true since you need to control a majority of shares to make your opinions valid.

Commodities
are items consumed (oil, grain, meat) that can be purchased in advance in hopes of a price gain when you sell them.

Precious metals
are items of accepted value that you can't directly use to buy anything.

Everything listed above can be thought of as a security.

Cryptocoins are similar to precious metals (securities), EXCEPT they are also currencies. and slowly being accepted as such.

Currencies are what people/businesses/govts use as a medium for financial transactions. Dollars, Pounds, Euros, Rupees, etc.

The reason why cryptocurrencies are becoming popular is because (1) people are losing faith in their own currencies and (2) they are a hedge against inflation. There's also the secure blockchain bla bla bla argument that no one understands, so I won't get into it.

To buy/sell cryptocoins, you go to a trading platform much like you would if you want to buy stocks or currencies. I use Coinbase https://www.coinbase.com/. Regardless of which platform you use, you set up an account with them, link a source of funding with them, and buy your coins.

Since crypto is currently NOT insured like other securities/currencies and since I don't daytrade, I take my cryptocoins off the trading platform and put them in a digital wallet, which is on a special USB drive. This way, if the trading platform goes down or gets hacked, my crypto is safe.

Even though I don't like them, the easiest way to buy crypto right now is though Paypal or Robinhood. You can't download your purchases to a digital wallet, so I don't feel this is 100% safe. The best analogy to this is buying shares in a gold ETF instead of holding the gold in your own hands -- you don't really own the gold in a gold ETF.

Later this week I may go buy $20-$30 in crypto from an ATM I spotted earlier. I'll tell you how that goes. :P
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Re: Bad Crypto Investing Advice

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Maeve wrote: Mon Jan 11, 2021 7:39 pm
What I want out of life? To have about 100K a year. Honestly don’t need anything more.
You want the purchasing power of $100k/yr in 2021. For that you need to make $100k/yr or to invest aggressively, which is possible through crypto or stock options. Either choice requires research, testing, and adjusting your investments to your level of comfort.

Anyone who tells you that you WILL make 10x profit in a year GUARANTEED is a con artist (although as of today even after the horrible crypto drop I still made 3.5x profit in the past 8 months but then again I am amazing).
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Re: Bad Crypto Investing Advice

Post by Maeve »

So I did clicky the link, I dunno if I can afford any of those things, *scrolls to the bottom* ooh, there’s a pink unicorn!


Yeah... maybe, just maybe I should leave this to more expert minds. If I want a gourmet meal I’m going to want Cavenagh to do it!

But I am interested in you telling me that you’ve made money :)
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Furious
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Re: Bad Crypto Investing Advice

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Maeve wrote: Tue Jan 12, 2021 12:34 am So I did clicky the link, I dunno if I can afford any of those things, *scrolls to the bottom* ooh, there’s a pink unicorn!


Yeah... maybe, just maybe I should leave this to more expert minds. If I want a gourmet meal I’m going to want Cavenagh to do it!

But I am interested in you telling me that you’ve made money :)
You can by fractions of cryptocoins, so a $100 investment can be done. I may buy more EOS this week.
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Re: Bad Crypto Investing Advice

Post by Maeve »

Also, due to living in bumfuck pennsyltucky, the only semi-reliable internet I have is a cellular ipad and a cell phone (google pixel) so... how do I use the usb dongly thingy?
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Re: Bad Crypto Investing Advice

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Maeve wrote: Tue Jan 12, 2021 5:57 pm Also, due to living in bumfuck pennsyltucky, the only semi-reliable internet I have is a cellular ipad and a cell phone (google pixel) so... how do I use the usb dongly thingy?
The Leger Nanos have software (Ledger Live) that allow to you to connect to android or iOS, but you need to make sure you have the correct transfer cable.

Edit: I'm not getting paid to promo Ledger. There are other brands but I don't use them.
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