Quote from: leonair on April 05, 2025, 05:27:52 PM

Quote from: vladtepezs on December 24, 2024, 03:09:48 PM

What I see about bitcoin is its gonna bounce between 100-110k to 80-90k for a long time (at least until Trump takes over). I have an option to take a 2.8k $ loan from a bank and pay 3.4k $ in 8 months. (I'm gonna start paying it after 2 months so you may assume its 6 months). Should I get that loan and make 3x - 5x margin trades on Bitcoin with this strategy? I really appreciate your help. Take Care.

Repaying $3.4k in just 8 months with a 2.8k loan means you will have to pay interest at 32% APR. This can be called a very high interest rate. You will never get a specific profit guarantee from crypto or Bitcoin at a specific time. If you want to take such a loan for trading purposes, then this will be the biggest stupidity for you. Because you will never be able to do anything good by trading. Unless you are an expert. And if you want to hold, then it will require a very long time where just 8 months is not enough. So I think you should never invest in Bitcoin or any other crypto coin with such a high interest rate loan.

One of the main considerations when taking up a loan on which is on the interest rate. Come to think that there's no way that you can assure yourself be able to make profits at the time due specially if it will be repaid on monthly amortization then your fucked up. The interest rate on this one is so high and thats why if ever on taking a loan then banks are the only ones that offers small interest per month but still its not recommended that you should be taking up a loan just to invest into crypto. Its not worth it, not unless if you can repay without any problems then its your choice but just like been said that if you are relying up into its income or profit then better think not. Better to save up some funds for a while and this will be used into your trading or investment on which it wont be giving out that kind of stress on repaying dates. Come also in mind that if you do took a loan and trade with it, its not a guaranteed win. What if its lost? thats surely fucked up.