Quote from: The Pharmacist on November 12, 2018, 03:13:07 PM

In crypto, I would be extremely skeptical of basing your trading behavior on news of what other investors (whales) are doing. Certainly it could be fake news to begin with, but trying to follow the herd and being a momentum player has failed many a trader.

At least in the stock market business news is pretty easy to verify the accuracy of. With crypto news coming from sites that look like they value rumor just as much as real news, I'd be very uncomfortable using that kind of reporting as the basis of my trading strategy.

I don't hear much about contrarian investing around here. Seems like everyone is trying to be momentum traders instead of following the "buy low/sell high" strategy. Buying low sometimes entails buying coins that are unpopular at the moment, and my impression is that many crypto traders are extremely fearful of doing so--they're instead chasing what they think the next big thing is or buy what they think everyone else is buying. It's no wonder so many crypto traders lose money.

Yes, I agree about not trusting media. Here is a perfect example:
https://www.yahoo.com/finance/news/bitcoin-no-longer-boring-price-194000222.html

Goldman Sacks just released predictions of BTC dropping to 1.5k. The only reason they would do that is to buy BTC on the way down. Again, buying unpopular coins for profit. Warren Buffet said, "Be greedy when others are fearful and afraid when others are greedy". I think it was him at least.

Buying a coin now because it's unpopular is not enough. They will ultimately have to have an actual utility, either as a value transferor or some other utility (smart contracts, oracles etc).