{"id":2521,"date":"2021-10-14T15:29:12","date_gmt":"2021-10-14T15:29:12","guid":{"rendered":"https:\/\/cymood.com\/web\/?p=2521"},"modified":"2022-11-28T08:43:10","modified_gmt":"2022-11-28T08:43:10","slug":"trading-vs-investing-with-bitcoin","status":"publish","type":"post","link":"https:\/\/cymood.com\/web\/2021\/10\/14\/trading-vs-investing-with-bitcoin\/","title":{"rendered":"Trading vs Investing, with Bitcoin"},"content":{"rendered":"<p>In this article we talk about bitcoin trading, specifically seeing the difference between investing and trading.<\/p>\n<p>First of all we need to define what bitcoin trading is.<\/p>\n<p><em>Bitcoin trading is the exchange of fiat currency or other cryptocurrencies for bitcoin, on an exchange, with a short-term vision and then returning to fiat currency by exploiting the high volatility to gain in fiat currency<\/em>.<\/p>\n<p>We must understand that the difference between investing and trading refers specifically to the long or short term view. In fact, investing means buying bitcoin today and then reselling it in 3 4 or more years, regardless of its movements. Trading bitcoin, on the other hand, means taking advantage of its movements to make money.<\/p>\n<p>The two views are both correct and are the result of two different points of view. Investors generally believe in the underlying technology and ideology of Bitcoin, seeing in it a possible bright future for the asset. Traders, on the other hand, may not be interested in technology but are interested in the short-term economic potential of the instrument, so ups and downs are welcome when positioning in a trend.<\/p>\n<p>The two visions can be experienced simultaneously. Nobody forbids you to put some bitcoins away on a wallet for the long term and at the same time trade others for the short time.<\/p>\n<p>A popular slang term in the bitcoin world is hodl, which refers to someone who has long-term invested in bitcoin. The term comes from a mistake that has become popular on the bitcoin talk forum.<\/p>\n<p><strong>At every big down fall, don&#8217;t panic and hodl!<\/strong><\/p>\n<p>Traders not interested in bitcoin technology consider it an interesting asset for their work as the market is open 24 hours a day all year round. The volatility of the currency and its riskiness are the perfect fuel for day traders and swing traders.<\/p>\n<p>One last observation. Don&#8217;t turn a short-term trade into a long-term investment just because the market has gone in the opposite direction to what you thought and your loss percentage became important because you didn&#8217;t use the stop loss.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>In this article we talk about bitcoin trading, specifically seeing the difference between investing and trading. First of all we [&hellip;]<\/p>\n","protected":false},"author":19,"featured_media":2963,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[60,46,47,56,58],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v21.3 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Trading vs Investing, with Bitcoin | CYMood.com<\/title>\n<meta name=\"description\" content=\"Trading is different from investing, knowing the difference really make the difference. 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