Post
Topic
Board Economics
Re: less risk or big profit?
by
Nwada001
on 28/06/2023, 23:23:16 UTC
Cryptocurrencies are a very risky type of investment because price fluctuations are very high, a decrease or increase in prices can reach 2 digit percent so that we have to understand the risks that can occur, many people get stressed because of losses and sell assets to invest in cryptocurrencies.

Those things we call risk are what others call opportunity. Everything in life is to some point all about risk. Before you could make any good trade and take a good profit, you must take some kind of huge risk, such as trading in the market where others might see it as a high risk.
 
Volatility is what makes crypto currency risky, but it's also at the same time what makes it profitable: the price movement, which turns out negative and positive sometimes. If you are good at trading in all of those times, you can still make a little profit by partaking in a risky trade. Even when the market is bullish or bearish, profits can still be made.
 
What really matters to me in this crypto currency trading is the level to which one is able to control and manage his own risk, reducing the possible amount that could be lost on every trade if it happens to go against the trader.