Post
Topic
Board Trading Discussion
Re: How weird is it to borrow money and invest into Bitcoin?
by
Falconer
on 14/04/2022, 17:56:14 UTC
Best if he has other resources to pay that loan aside from waiting for his investment to grow.

This volatile industry is unknown. I mean, the chance is there either you'll gain profits or if the market does the sideways and
you don't have that knowledge and do the panic, the chance of losing a big portion of your loan money will be burned.
Unless you really have a deeper knowledge and you are willing to take that big risk, you never know what the future will be
the chance is equal to everyone it's on you take whether to deal with it or not.
Investing with borrowed money is actually never recommended for those who don't know how the market works. I once heard of a person who was very enthusiastic about investing and selling all his assets temporarily just to have capital to invest, but in the end he had to come out disappointed because the price of the assets he invested did not match his expectations.

From there we can learn that no matter how good the potential, we should only do it for what we can afford to lose. We really shouldn't be greedy because crypto is a very volatile asset so we should also be aware that at any time the price could drop far below what we expected.