Number 2 doesn't really matter too much in crypto trading... I don't know for others though.
Actually the amount of the capital is what matters the most and is prerequisite to the trader's knowledge.
In Crypto trading, you can start trading with small amounts of money and still make reasonable profits...though it will be smaller profits compared to trading with large amounts. Besides, newbies are normally advised to trade what they can afford to lose.
Yes everyone can start with small amount, but does it level their knowledge about trading? if you are trading for a long time would you still risk at a very chance?
What newbies in trading has a problem is with their expectation inversely proportional to their capital, like they are expecting a huge profit out of low capital.
" It takes money to make money"