Post
Topic
Board Bitcoin Discussion
Re: Settle down
by
Olomana
on 12/06/2011, 01:35:53 UTC
But while we're on the subject, Bitcoin is a terrible market for short-term trading. Low-volume markets are nasty, and you're likely to lose your shirt.

I disagree.  There is plenty of volatility, and trading can turn volatility into profit.  Low volume is only a problem if the volume is low relative to your trading capital and frequency of trading.  People have suggested dollar-cost averaging and buying the dips... that's already half a trading strategy.  Use the corresponding techniques on the sell side and you're a trader.   

We should be encouraging traders, as they will provide liquidity and smooth out some of the volatility.  Exactly what the bitcoin economy needs.