Quote from: Stingery64 on December 05, 2013, 10:18:55 AM

You are wrong,

its not designed to increase your fiat and decrease your bitcoins, its designed to decrease your fiat and also your bitcoins.

becuase just holding your 49 bitcoins would return you more fiat in exchange than using the bot.

I'm really getting tired of the "because I said so" buy-and-hold argument. It sounds awesome, compared to the performance of BTC over the past two years... but it only makes long-term sense if the price always goes up, in perpetuity. No investment ever does that. Moreover, you're bluntly advocating a strategy without acknowledging the risks of using the strategy. People lost their livelihoods by putting all their eggs into baskets at Nortel and Blackberry/RIM. At some point in the future, Google will fall. And so will Apple. And everything else... because entropy is a fundamental force in the universe.

So: how does "buy and hold" play out when the price drops or crashes? We all know it happens; we all know crashes can be big or small. The history of BTC price looks fantastic, but the past performance is no guarantee of future performance. What will happen when central banks and governments attempt to regulate it (or ban it)? When commercial banks start to sully it by creating derivative products based on bitcoin that will sully and confuse investors AND tie BTC to the existing debt-based system? When large commercial banks make it impossible to transfer fiat to BTC by shutting down accounts tied to exchanges? When governments unite to assert that BTC will never be currency? When a new and better crypto is inevitably created at some point in the future? When the market arrives at a consensus about what the "fundamentals" of Bitcoin are and then decides the market is horribly overpriced? Will you buy and hold then, plugging your ears and singing loudly until what you're holding becomes valueless?

I don't mean to harp on you. I suspect you've thought about all of this. I hope you've evaluated it, have asserted yourself as a bitcoin evangelist, and have decided that buy-and-hold is your strategy, and that's fine for you. It's NOT fine for everyone, though, and I think that if you're going to advocate it, you need to do more than show a chart for the last few months and extend a line past the end of it, blindly. Kids can do that.

TO be fair: I also have no sympathy for people who buy a trading bot they don't understand, to profit from a technology they don't understand, because it magically implements a trading strategy they don't understand. If you look at "3464% PROFIT!" on the butter-bot web page, buy it without thinking, and transfer your whole 401-K into it, you're a sucker.

You need a PLAN in order to invest/trade profitably, and you have to stick to it objectively so that emotions don't overrule you. I have decided that "buy and hold" is not a plan. EMA-based trading is a simple, solid, long-term strategy that I have tested and found to work for my risk tolerance level, even though it means I will lose a little on 70% of my trades and earn a lot on 30% of them. Your mileage may vary.