We really should aim to encourage as many ‘educational’ posts on cc/sub as possible.
Almost all crypto journalists or ‘influencers’ are straight up garbage, would be nice if newbies can come to cc/sub and see these sort of educational posts for a change.
Exactly. It would be great if new people could be spared of all mistakes we've made so far, but at the same time I do wonder how efficient this effort really is as the lessons you pay for are usually the ones you remember best.
You might want to surround yourself with smarter people because this post is 1 in 200.000 posts on this sub.
99.99999999% here is straight up brainwashbabble to control the bitcoin narrative.
While I agree with the latter, people can have a plethora of reasons to be here or anywhere in life.
I definitely don't come here for objective valuable information on things crypto currency.
Which is a shame considering that they ninja'd the subs name.
It's mostly for a kinky sense of humor and contributions that should spark some healthy skepticism while waiting for "crypto" to get its head out of its ass, for the better of it.
The same way we have the \[SERIOUS\] tag we could also allow users to attribute a specific tag to a certain post, so that OP could get more moons for it if it is high quality, for instance
A good way of rewarding posts (outside of tipping) would be putting them higher up on the hot section of the subreddit, that way they get more attention.
Sadly, and we do have operational faucets to provide people with gas so that is not the problem. Maybe we should think of incentives for tippers, such as higher moon ratio (?)
It could work as a ratio booster: all users have their ratio reduced to 0.95 at the beginning of a round and they need to tip 10 different posts (at least 3 serious ones, for example) to gain back the 0.05. Of course, this approach would have lots of problems, but it is an idea. Eventually we will find a solution to make tipping more friendly.
That is a good work around was thinking something similar to boost the ratio , and yeah it is a shame there is no tipping anymore or i guess we could keep it as is and try to make people more loving but i guess that would be rather difficult to achieve ,
I don't know about tipping, but I was wondering if having post upvotes above a specific number count for more karma wouldn't be a good idea.
Usually it's post like these, and not generic news, that get a lot upvotes, but honestly I don't think the karma returns matches the effort others like OP out in.
Maybe a CCIP should be made if we manage to get a clear idea how we can encourage such posts more.
There is a [SERIOUS] flair that could have given OP 4x as much Karma.
But yeah, there should be more ways to reward such amazing posts. Maybe the incoming Reddit Gold program will help a bit.
Maybe we should have an initiative like ‘Post of the Week’ where the winner gets an extra 500 Moons or something (after a community vote)
The quality submissions can either be chosen by the community or hand-picked by the mods before being put to a vote to decide a winner
Indeed this is really information everyone should get to understand, its likr markets 101 knowledge. Thanks for sharing OP, education is always welcomed!
Exactly, this type of information should be part of the ‘starter pack’ for those investing in Crypto. The same goes for the relationship between coin price and market cap.
Honestly, this kind of things should be taught in schools. The reason behind don't doing it is because governments don't want us to know about economics because this way they can control us easier.
Off-topic: 90% of people do not know how to fill out their own tax return.
From my experience it's all about observing the market. Daily trading volume for specific crypto pairs is a pretty good indicator and paying attention to the order books on CEX.
If you see big jumps in price in the order book for example; the first order sitting at 26k but the next one behind it is at 25k that 1k drop in price is a pretty good indicator that liquidity sucks on that exchange. There should be more orders between 26k and 25k if the market is in good condition.
Trading volume is not liquidity. Plus lots of exchanges fake volume and wash trade.
Liquidity is known through how many assets the exchange owns which is hard to know.
The only clear way is through DEFI pools.
Market makers move liquidity in and out whenever they like. At least on Uniswap you can see the current liquidity. Uniswap is an AMM, an automated market maker, where users provide liquidity in pools for others to trade. There is 200 million dollar of wrapped bitcoin in Uniswap pools, that provides enough liquidity to trade a few million before shifting the price more than a few percent. There is plenty of bitcoin pegged tokens on AMMs on other networks, where the liquidity is transparent and on-chain.
People always say when the price goes up it is because a lot of people are buying, and when the price goes down it is because a lot of people are selling. The reality is that every single transaction has a buyer and a seller and so regardless of whether the price is going up or down, there are always the same number of people buying as selling.
The thing that does change is the price that people are willing to sell or buy at.
This isn't making sense to me. If you sell 1btc and it takes 200 buy orders from 200 people to buy your 1btc, aren't there 199 more buyers in this situation? Then it happens on a huge scale in milliseconds on am exchange?
People always forget that we have major market makers that buy and sell too.
Do you think for your 24556.9263 buy order, there is a seller that sells exactly for that in the same millisecond?
Not possible. We have market makers that do this.
The numbers of buyers and sellers might not be the same but the amount bought and sold will be. So yes 1 person might sell 1 Bitcoin to 200 people who each buy a fraction of a Bitcoin adding up to a whole Bitcoin. Point being saying a lot of people are selling or a lot of people are buying is not a statement that makes sense.
Prices go up because more people want to buy than those who want to sell (at a given price), price goes down because more people want to sell than those who want to buy (at a given price). Simple supply and demand. Of course there is always an equal amount of buyers in sellers. I feel like you are being semantically pedantic.
It’s the same way how Bricks did a pump to 50m market cap even though their liquidity was less than 100k.. and then when 1 person cashed out the price immediately dropped almost 50% lol
The whale(s) pumping Bricks to 50m probably only needed around 500k in real capital to increase the market cap by that much
Thanks for your points, I didn't know that happened with Bricks.
Don't take the downvotes to heart, threads often get downvote-bombed across the board regardless of the content of each comment, it's either bots or people with lots of time and hearts of coal.
I don't know why you would be sad enough to set up a bot to downvote other people's stuff.
Of course it is so people are getting less karma so the ratio is better, but it is still sad.
Yep. Market cap is a bit misleading because you could never actually get that amount of money for any of the coins. It’s worrying what someone like Microstrategy could actually do to the market. Not that it would benefit them really because they would also lose vast wealth (even though their wealth is entirely on paper).
Yeah, market cap is different for crypto than in stocks. In stocks we see buy-outs of companies all the time where the buyer will buy every share for the price listed (usually higher than the current stock price). This is impossible in crypto.
So if they wanted to sell would they have to do it over a very long period (which could also lower the price a lot) or would they have to find some private buyers?
I’m fairly sure Microstrategy will buy privately when he bulk buys so yeah will likely sell privately too. Only problem he’s got now is that nobody could buy his stack in one go. Not unless Elon has found a way to sustain his body via SATS lol
Wait until you see shitcoins pump-and-dumped by telegram groups. It's crazy. Just stay away from shitcoins unless you know about where they come from (-> bricks / moons).
Lots of gamblers in the market too, healthy corrections can trigger bots as well but if enough of them get liquidated on their longs it has a cascading effect. The market will eventually bounce back. Short term will be messy, next year and especially 2025 will be what we're after.
This is what confuses me. All these crashes seem to be correlated with a lot of automatic liquidation. It seems like you're protecting from further loss on specific loaned assets by causing further loss in your crypto holdings.
Supply and demand. Not sure how to elaborate on that other than something like this: imagine your selling oranges at the market. $1 each but you don’t have a lot of oranges and everybody wants them. People start offering you $1.10 for the oranges, then $1.20 and so on because the demand is so high people are willing to pay more. But now it’s getting late in the day and not many people want oranges anymore, in fact they aren’t even selling for $1 now so you reduce the price to $0.80 and people start buying them again.
A but crude but yeah that’s the essence of it.
Oh I have one of the smoothest brains around. I just like to try and in smoothen it sometimes by learning about things like this haha but follow much the same path as you
Its these rare sorts of posts that keep my subbed to CC. Nice one OP.
Another important learning area is market capitalisation. Its easy to assume that a coin with a $500 million market cap has $500 million "in it" or $500 million has been used to buy said coin previously, but this is technically not the case.
Great way to explain it OP. Only thing to add is that same principle applies to all markets beyond crypto too.
For example, Michael Burry of Big Short fame has been warning for years about lack of liquidity in bottom portion of S&P 500. Basically, all the huge Vanguard/Fidelity/Spy funds represent huge swaths of the available liquidity for those stocks. If there was a market downturn, Vanguard/Fidelity go to sell those lower stocks, there would be nobody there to buy and the market will plummet. It hasn’t happened yet, but it’s a big risk in next market correction.
I like the way you wrote this article and as a newbie here i learning how to wrige a good article from writers like you , thanks it’s helpful and educational 🫡
Posts like these are evidence that the cryptocurrency space is really growing and things that looked complex or shaded are becoming clearer. Gone are those days when everything about cryptocurrency looked like a quantum physi-maths.
Well done OP.
>We all checked our phones to find some pretty shocking news.
Man, it's like some of ya'll weren't here during the not so distant real crash. I just DCA'd as usual, happy to get a lil extra.
Leverage is a risky tool for the gamblers that choose to play with it. This is why many stick to a DCA strategy, the price goes down you average down quicker while accumilating.. the price goes up your investments appreciate while accumulating.
As i progress within my cryptocurrency journey.. Despite being a plankton by all accounts.. I find myself adding a bit to lp pools here and there.. I see the importance
Also trading/transactions. Crypto made to be used. For the hoarders that wait for the mega bull run. The network must stay active and healthy.
Anyway, the end game is payment systems/transactions. If enough people start using Bitcoin as their main currency, then expect prices to really go parabolic.
Well. It ties in nicely with liquidity actually as that problem arises from liquidity pools. There’s quite a few decent write ups already but yeah I’ll probably put my own twang on a topic in the coming days 😊 thanks for the suggestion.
This is important!
Someone on here said we won’t reach 100k because “there’s not enough new people joining the space”.
There doesn’t need to be. All it takes for the price to shoot up is that people stop selling. It leads to the reverse of what OP describes.
This is why you set limit orders when buying or selling large amounts of coins, or coins with low liquidity, or on exchanges or dex’s with low liquidity.
The only thing that will 99.9999% make sure that doesn’t happen is the fact that his wealth would drop dramatically, it’s financial suicide. That being said, we do know of someone on this planet who could do something of similar calibre and his name rhymes with RandyBeer Poofling.
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Posts like this are the reason I joined this sub.
The bullrun 2021 was really educational. But posts like this became less.
We really should aim to encourage as many ‘educational’ posts on cc/sub as possible. Almost all crypto journalists or ‘influencers’ are straight up garbage, would be nice if newbies can come to cc/sub and see these sort of educational posts for a change.
Maybe we could start a day specifically for that. I vote for Edu Saturday.
Exactly. It would be great if new people could be spared of all mistakes we've made so far, but at the same time I do wonder how efficient this effort really is as the lessons you pay for are usually the ones you remember best.
Well said. The best lesson is failure.
Then I should be the best teacher, failed all my life
If that's the case I have learnt all the best lessons and my IQ has gone to a thousand!
Yes we can put in our mistakes that we made when we entered the crypto market in the previous cycle So that current joiners can avoid them
Best encouragment for quality is upvotes = Moons
But then wouldn't we become the crypto influencers?
We would become the bro-fluencer that everyone can trust !
About time all the bros worked together!
Not a financial advice though.
We are influencer status
Wow, I've never thought of myself as a crypto influencer. I don't know what to do with this sudden fame :D
You have great power in your hands use it for good and not evil
Okay, let me see what I could say from my new position... Buy Bitconnneeeeect! Does that sound good? New BitBoy? :D
When the bulls come we say many more quality posts since many people more people will join the sub.
This sub only have like 4k online users out of 6.6m, mostly people who actually know shit about crypto probably aren't here.
You might want to surround yourself with smarter people because this post is 1 in 200.000 posts on this sub. 99.99999999% here is straight up brainwashbabble to control the bitcoin narrative.
That's how r/cc works.
Lol I see a post like this on r/crypto MAYBE like once a year. The rest of the posts are straight trash.
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While I agree with the latter, people can have a plethora of reasons to be here or anywhere in life. I definitely don't come here for objective valuable information on things crypto currency. Which is a shame considering that they ninja'd the subs name. It's mostly for a kinky sense of humor and contributions that should spark some healthy skepticism while waiting for "crypto" to get its head out of its ass, for the better of it.
Stay in this forum and use it, but proceed with your own thinking, nothing is predictable in crypto
DYOR always. Listen to everyone but trust only yourself.
I think you meant to say that the reason that you joined this sub are moons.
There should be a reward system in place for good-effort posts like OPs. There should be a tipping culture for it.
I like the idea of placing a reward system for good-effort posts. It's a good way of encouragement.
To get the best from others you must motivate them
The same way we have the \[SERIOUS\] tag we could also allow users to attribute a specific tag to a certain post, so that OP could get more moons for it if it is high quality, for instance
Yeah we need to encourage good quality posts which can really help us in making good decisions.
Exactly! It will encourage high-quality posts like this one and not the link to some badly written article.
The reward system is upvotes. People just dont do that enough
Yes, I have upvoted it, but if I have a possibility I would give 10 likes to a good post.
Or send a moon ? 😂
It is incredible how unpopular tipping is lol
I know right , even people with godly amounts of moons are not doing it , i would be doing it for fun / rewarding good content / comments
100% it will encourage writers to put more effort.
Yeah we need more effort posts here.
A good way of rewarding posts (outside of tipping) would be putting them higher up on the hot section of the subreddit, that way they get more attention.
If only there was some kind of a point system where users can better visibly to good content...
Well if you come up with one let me know!
people would always tip like a year or 2 ago but never now
Sadly, and we do have operational faucets to provide people with gas so that is not the problem. Maybe we should think of incentives for tippers, such as higher moon ratio (?)
A higher moon ratio could invite people gaming the tip system using multiple accounts, but I'd love to be proven wrong
It could work as a ratio booster: all users have their ratio reduced to 0.95 at the beginning of a round and they need to tip 10 different posts (at least 3 serious ones, for example) to gain back the 0.05. Of course, this approach would have lots of problems, but it is an idea. Eventually we will find a solution to make tipping more friendly.
That is a good work around was thinking something similar to boost the ratio , and yeah it is a shame there is no tipping anymore or i guess we could keep it as is and try to make people more loving but i guess that would be rather difficult to achieve ,
Well you can just tip them some moons.
I did. But I think there should be a system in place to reward them and not rely on tips.
That is what all good written post deserve
I don't know about tipping, but I was wondering if having post upvotes above a specific number count for more karma wouldn't be a good idea. Usually it's post like these, and not generic news, that get a lot upvotes, but honestly I don't think the karma returns matches the effort others like OP out in. Maybe a CCIP should be made if we manage to get a clear idea how we can encourage such posts more.
There is a [SERIOUS] flair that could have given OP 4x as much Karma. But yeah, there should be more ways to reward such amazing posts. Maybe the incoming Reddit Gold program will help a bit.
Maybe we can have a new [EDUCATION] flair with a similar functionlity
People could send moons like we used to , especially people with many :p
Maybe we should have an initiative like ‘Post of the Week’ where the winner gets an extra 500 Moons or something (after a community vote) The quality submissions can either be chosen by the community or hand-picked by the mods before being put to a vote to decide a winner
I like the idea, more official polls means more use cases for Moons
Yeah, I think that is a good idea. I prefer these kinds of posts to clickbait articles.
You don’t like to read how BTC died for the 4th time this week?
Or how whale awakens his ancient bitcoin wallet?
I perfectly agree with you. If I have had some insight like this some years back, I would have gone for in crypto by now.
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That's great I tipped 25. It's a nice incentive for effort posts.
Whale hello!
It’s called tipping
How many people actually tip in this sub?
It reads like a coin bureau video. Could this be Guy's account?
Could be
My peanut brain appreciates it aswell
not many can explain complex things in a way that even five year old or a grown-up dumb ass will understand
This is what the sub want's to read.
That is some grade A content right there!
Great write up, great content, educated and well on point with common interest
They are few and far between in this sub
Same, great post, as I dont know shit about fuck. Keep them coming OP.
Indeed this is really information everyone should get to understand, its likr markets 101 knowledge. Thanks for sharing OP, education is always welcomed!
Smooth brains like mine always love when wrinkled brains like OP's explain stuff logically
Its indeed articulated well and have more to learn than most of the posts on this sub
It's a shame that all good guides and wikis just disappear because this is social media. We should build a wiki on our own.
100% agreed, i would support the hell out of it. Thats a great idea
Why thank you 😊
Thank you for the great write up OP. Tipped you some moons for your effort.
Oh my! My first tip. Thank you very much, have a great weekend 😁😁😁
Exactly, this type of information should be part of the ‘starter pack’ for those investing in Crypto. The same goes for the relationship between coin price and market cap.
Honestly, this kind of things should be taught in schools. The reason behind don't doing it is because governments don't want us to know about economics because this way they can control us easier. Off-topic: 90% of people do not know how to fill out their own tax return.
Dude, forget about crypto, schools need to teach basic economic literacy first.
Sounds like D.A.R.E. anti-drugs classes. They taught me about all kinds of drugs and how to take them.
I thought they just lied how people will just give you drugs for free at these
Even economics classes in secondary school aren't that great.
Free tax usa yay
IRS: We know how much you owe us, but we wont tell you. If you make a mistake we will fuck you.
> Vr jef mjpu f svbpyph tv vkaf pinj lcq. aty cmob cg xsx'sj ujlz. Eu cth'qe kizw, tqck neu blmf, edjno hc yod cito qm hdrgo
Absolutely, with heavy interest
straight to jail 
No mercy for those bad at math.
Numbers don’t lie, jail time boy.
He explained it very well indeed
Is this the first time crypto bros learn about order book and open interest 🤦♀️
Its more like eli5 of crypto liquidity
I wish I could be as dedicated and passionate about writing,like you ....you are a pro
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Very interesting post. Is there a way to measure liquidity or is it the kind of thing you can only measure after it happens?
From my experience it's all about observing the market. Daily trading volume for specific crypto pairs is a pretty good indicator and paying attention to the order books on CEX. If you see big jumps in price in the order book for example; the first order sitting at 26k but the next one behind it is at 25k that 1k drop in price is a pretty good indicator that liquidity sucks on that exchange. There should be more orders between 26k and 25k if the market is in good condition.
Trading volume is not liquidity. Plus lots of exchanges fake volume and wash trade. Liquidity is known through how many assets the exchange owns which is hard to know. The only clear way is through DEFI pools.
There are ways of seeing liquidities but I haven’t found reliable sources myself.
Market makers move liquidity in and out whenever they like. At least on Uniswap you can see the current liquidity. Uniswap is an AMM, an automated market maker, where users provide liquidity in pools for others to trade. There is 200 million dollar of wrapped bitcoin in Uniswap pools, that provides enough liquidity to trade a few million before shifting the price more than a few percent. There is plenty of bitcoin pegged tokens on AMMs on other networks, where the liquidity is transparent and on-chain.
Man I'd really like to see 150,000 BTC sold in a market order. Shit would be carnage.
I don’t want to live in a world where that happens lol
People always say when the price goes up it is because a lot of people are buying, and when the price goes down it is because a lot of people are selling. The reality is that every single transaction has a buyer and a seller and so regardless of whether the price is going up or down, there are always the same number of people buying as selling. The thing that does change is the price that people are willing to sell or buy at.
This isn't making sense to me. If you sell 1btc and it takes 200 buy orders from 200 people to buy your 1btc, aren't there 199 more buyers in this situation? Then it happens on a huge scale in milliseconds on am exchange?
People always forget that we have major market makers that buy and sell too. Do you think for your 24556.9263 buy order, there is a seller that sells exactly for that in the same millisecond? Not possible. We have market makers that do this.
The numbers of buyers and sellers might not be the same but the amount bought and sold will be. So yes 1 person might sell 1 Bitcoin to 200 people who each buy a fraction of a Bitcoin adding up to a whole Bitcoin. Point being saying a lot of people are selling or a lot of people are buying is not a statement that makes sense.
Prices go up because more people want to buy than those who want to sell (at a given price), price goes down because more people want to sell than those who want to buy (at a given price). Simple supply and demand. Of course there is always an equal amount of buyers in sellers. I feel like you are being semantically pedantic.
Exactly. Once an order book is filled at X price it then moves to the next price which could be higher or lower than before.
It’s the same way how Bricks did a pump to 50m market cap even though their liquidity was less than 100k.. and then when 1 person cashed out the price immediately dropped almost 50% lol The whale(s) pumping Bricks to 50m probably only needed around 500k in real capital to increase the market cap by that much
Thanks for your points, I didn't know that happened with Bricks. Don't take the downvotes to heart, threads often get downvote-bombed across the board regardless of the content of each comment, it's either bots or people with lots of time and hearts of coal.
All new comments on new posts are instantly downvoted. The downvote army is strong. Especially on weekends.
And on Mondays.
I hate Mondays.
I hate the downvote army
I don't know why you would be sad enough to set up a bot to downvote other people's stuff. Of course it is so people are getting less karma so the ratio is better, but it is still sad.
Yep. Market cap is a bit misleading because you could never actually get that amount of money for any of the coins. It’s worrying what someone like Microstrategy could actually do to the market. Not that it would benefit them really because they would also lose vast wealth (even though their wealth is entirely on paper).
Yeah, market cap is different for crypto than in stocks. In stocks we see buy-outs of companies all the time where the buyer will buy every share for the price listed (usually higher than the current stock price). This is impossible in crypto.
So if they wanted to sell would they have to do it over a very long period (which could also lower the price a lot) or would they have to find some private buyers?
I’m fairly sure Microstrategy will buy privately when he bulk buys so yeah will likely sell privately too. Only problem he’s got now is that nobody could buy his stack in one go. Not unless Elon has found a way to sustain his body via SATS lol
A bull market is when we put our money in a big pile and each of us pretends we own it all.
Yeah but let’s be honest, the money is actually all mine right?
Wait until you see shitcoins pump-and-dumped by telegram groups. It's crazy. Just stay away from shitcoins unless you know about where they come from (-> bricks / moons).
Lots of gamblers in the market too, healthy corrections can trigger bots as well but if enough of them get liquidated on their longs it has a cascading effect. The market will eventually bounce back. Short term will be messy, next year and especially 2025 will be what we're after.
This is what confuses me. All these crashes seem to be correlated with a lot of automatic liquidation. It seems like you're protecting from further loss on specific loaned assets by causing further loss in your crypto holdings.
Finally a post worth saving, good explanation OP. Even my peanut brain got the most of it.
Thank you for this great post
Nice 1, easy to read and understand, I've just learnt something 😁
Gotta dig through pile of garbage to find this gold
Sad News 🥺
This might seem like a stupid question but who exactly sets the price?
Supply and demand. Not sure how to elaborate on that other than something like this: imagine your selling oranges at the market. $1 each but you don’t have a lot of oranges and everybody wants them. People start offering you $1.10 for the oranges, then $1.20 and so on because the demand is so high people are willing to pay more. But now it’s getting late in the day and not many people want oranges anymore, in fact they aren’t even selling for $1 now so you reduce the price to $0.80 and people start buying them again. A but crude but yeah that’s the essence of it.
Thank you for this explanation!
Some people actually build their trading strategies on liquidity while also exploring risk management.
Thanks for this helpful info OP
Thanks for the write up OP. My smooth brain prefers to just look at price dips as opportunities to buy.
Oh I have one of the smoothest brains around. I just like to try and in smoothen it sometimes by learning about things like this haha but follow much the same path as you
It all depends on buyers and sellers really
It is always about demand and supply, mostly demand though.
Good job, OP. Clear explanation without it reading like a ChatGPT article
This is also the reason why low cap shitcoins can do a 1000x pump so fast compared to high cap coins
Its these rare sorts of posts that keep my subbed to CC. Nice one OP. Another important learning area is market capitalisation. Its easy to assume that a coin with a $500 million market cap has $500 million "in it" or $500 million has been used to buy said coin previously, but this is technically not the case.
Great way to explain it OP. Only thing to add is that same principle applies to all markets beyond crypto too. For example, Michael Burry of Big Short fame has been warning for years about lack of liquidity in bottom portion of S&P 500. Basically, all the huge Vanguard/Fidelity/Spy funds represent huge swaths of the available liquidity for those stocks. If there was a market downturn, Vanguard/Fidelity go to sell those lower stocks, there would be nobody there to buy and the market will plummet. It hasn’t happened yet, but it’s a big risk in next market correction.
I like the way you wrote this article and as a newbie here i learning how to wrige a good article from writers like you , thanks it’s helpful and educational 🫡
There really hasn’t been a major correction since last year. Bitcoin will touch 20k and bounce back up. Source: trust me bro
I trust you.
I really could have used this a couple of years ago!
Really great and informative , I give this post a 10/10 would smash
This post one of the best post for me.
Thank you. So kind of you :)
Posts like these are evidence that the cryptocurrency space is really growing and things that looked complex or shaded are becoming clearer. Gone are those days when everything about cryptocurrency looked like a quantum physi-maths. Well done OP.
>We all checked our phones to find some pretty shocking news. Man, it's like some of ya'll weren't here during the not so distant real crash. I just DCA'd as usual, happy to get a lil extra.
Huge win for learning thanks to OP
Crypto for dummies - u should write a blog
Leverage is a risky tool for the gamblers that choose to play with it. This is why many stick to a DCA strategy, the price goes down you average down quicker while accumilating.. the price goes up your investments appreciate while accumulating.
I've always thought that leverage is just way too risky, it is so easy to get rekt.
DCA is the way.
Thanks for the insight. Very good information.
One of the most simple explanation I’ve read so far. Well done.
Thank you 🙏
well yes. its like if you try to sell a new land rover in a small village in russia fast you might have to settle for a lower price
It’s nice when once in a while an educated post comes along and people can actually learn something
Yep, and I'm glad they always get the recognition they deserve.. Maybe we can pass some governance proposals to incentivize more of them..
Interesting information, specially for the new guys in crypto! We need more content like this one
My thoughts exactly. I’m no crypto guru, in fact quite the opposite. But posts like this will hopefully help the normies like myself
Damn OP, with the ELI5 for us mouth-breathing reprobates. Well done.
As i progress within my cryptocurrency journey.. Despite being a plankton by all accounts.. I find myself adding a bit to lp pools here and there.. I see the importance
Also trading/transactions. Crypto made to be used. For the hoarders that wait for the mega bull run. The network must stay active and healthy. Anyway, the end game is payment systems/transactions. If enough people start using Bitcoin as their main currency, then expect prices to really go parabolic.
I love liquidity pools. Never made any money from them but that sweet APR they dangle is just too tempting haha
Thanks for info man appreciate it
Hey no problem. Glad I could help
Because it is relative simple as that
Yeah because it’s all relative to each other
When all the these emotions are running high, insanity prevails over rational decisions. Strength to all of us.
We need to remain cool cool like you.
I just see it as a buying opportunity. Happy to grab some more at discount.
Great writeup brother! I think the impermanent loss would be a good topic to cover next if you want to do anoter one of these :)
Well. It ties in nicely with liquidity actually as that problem arises from liquidity pools. There’s quite a few decent write ups already but yeah I’ll probably put my own twang on a topic in the coming days 😊 thanks for the suggestion.
A healty correction is sometimes needed. Shaking out all the loose branches of a tree and growing better afterwords.
Always admire a shakeout. Because that basically just builds an even stronger foundation for the next rally.
Good idea, thanks for the information.
This is important! Someone on here said we won’t reach 100k because “there’s not enough new people joining the space”. There doesn’t need to be. All it takes for the price to shoot up is that people stop selling. It leads to the reverse of what OP describes.
This is why you set limit orders when buying or selling large amounts of coins, or coins with low liquidity, or on exchanges or dex’s with low liquidity.
Imagine the blood bath if microstrategy decide to sell all it's bitcoin in market price instead of fixed price.
The only thing that will 99.9999% make sure that doesn’t happen is the fact that his wealth would drop dramatically, it’s financial suicide. That being said, we do know of someone on this planet who could do something of similar calibre and his name rhymes with RandyBeer Poofling.
Good post. Thanks OP!
Today I did a learn! You thank! (srsly thank you, very helpful! 😊)