Quote from: illyiller on August 29, 2014, 03:58:03 AM

Quote from: penii plural 4 penis on August 29, 2014, 03:51:31 AM

Quote from: illyiller on August 29, 2014, 03:50:31 AM

Nothing wrong with selling at a loss and buying back lower, either. That's not even coming from the perspective of a trader necessarily. Any investor should have a stop loss. For many bitcoiners, it's just set at zero. Grin

When was going down with the ship a good investment plan for other assets?

...except 90% of the time, you don't end up buying back lower.

The number you are looking for is 80 (see Pareto), and that is probably more effectively used to gauge a zero sum situation. However, refer to the 2014 chart and you'll find that if you cut your losses at $500 or above, you've had many chances to rebuy lower.

The question is, did you? The fact that most traders are losers, or that many investors make bad decisions, is more a matter of risk management than anything else. That doesn't mean that being the exception to that rule means you will lose.

Patience is the most important virtue in this game. And the ones chasing after bubbles are the first to lose.

How does the Pareto thing work? I have heard it applied to other things besides bitcoin but never really understood it.