Bitcoin's Lesson in Buying the Dips

Bitcoin's Lesson in Buying the Dips



hey script Oh Bobby and today I want to talk about Bitcoin taking a little bit of a temporary dive yesterday down to about 50-100 dollars and then making a really quick really strong recovery and how a lot of times the best move if you're holding the best move is no move at all and just to kind of close your eyes and let things happen I'm gonna tell why I think that in a lot of respects as well now again still traveling for work right now and if my voice sounds any my voice sounds very velvety and smooth it's because I've done nothing but eat fast food and drink beer for two days drink beer coffee and fast and eat fast food so voice might sound a little bit different but we gonna roll with it and let's we'll talk through it so if you were paying attention yesterday yesterday morning East Coast time Bitcoin was kind of taking a little bit of a temporary sell-off and over the course of the night and morning went from about fifty six fifty seven hundred all the way down at one point to about fifty 150 even a little bit lower than that really towards fifty one hundred dollars you can see here on the charts down here and as soon as it hit fifty one as soon as it hit about $5,100 it made a straight-up move right back up and people just started buying buying buying and accumulating and it looks like that's a point where there was a lot of support and a lot of interest for people to kind of quote-unquote buy that dip so people saw this happening looks like a lot of you know there's a heavy amount of a by volume towards the bottom of this little mini sell-off here and a lot of people saw that as an opportunity and and correctly so saw that as an opportunity to get into Bitcoin at a discount below where it's been trading in this fifty six fifty seven hundred range and accumulate more before a potential run back up so this was an interesting for me this was an interesting thing to to watch I wasn't able to really do all that much because I've been sitting in a conference room for her I've been sitting in a conference room for a while and that was kind of a good thing for me too because I think a lot of cases you can people can there's there's two ways that in a lot of respects I think people approach this is number one people see a sell-off people see this moving down and if they're holding they think one of two ways they think okay or there's really three ways but three way three ways to do things two ways where there's any action number one is just I'm gonna chill and hold and a lot of times that's the the best in a lot of cases that could be one of the best things if you're especially not not super experienced or don't have a great plan of action the second thing is I'm going to I see this going down I think it's gonna go down further I'm gonna try and sell off and buy back in even lower to increase my stack or move it somewhere else and that wouldn't have been a good move yesterday because that anybody who sold off here it might have been able to buy back or they're waiting for a larger dip and they weren't given that opportunity or if you sold back down here in this one kind of around 9:00 a.m. yesterday you either had to buy back and hire or you're just sitting on the sidelines now the last thing that the last option now it's basically hold sell or the last option a lot of cases the best option there is buying that dip and it's it's really difficult to actually time this successfully but looks like there were a lot of people that saw this moving and going in a direction that they felt was a good bargain price and there were a lot of people that that bought up that dip and the 5100 range now we'll have to see if that is something that continues to hold on into the future and you know there's really if there's any type of true support there if that was just kind of a one-time thing we'll have to have to end up taking a look but it's it's positive and it's encouraging in terms of bitcoins overall stability in my mind that there was a pretty decent-sized sell-off I mean we're talking about five five ten percent here sell off from the the recent highs and that was pretty quickly shaken out and then the market just moved right on back up and people just hop back into to buy and provide more support and the market continued to move up so I'd like that from Bitcoin I was pretty happy too happy to see that movement over you know over the course of 24 hours how did I play this and is there anything there that you can learn from me I actually didn't play it at all i chilled back and I held and primarily and this is a lot of the reason why – I like hardware wallets in a lot of respects is I didn't have my hardware wallet on me even if I wanted to do something I couldn't have done anything I didn't have my ledger so I couldn't really I mean I could buy more if I wanted to but I wasn't really even available to do so but I definitely couldn't sell anything if I if I even wanted to and it's oh there's no temptation there and that's something that ends up working out nicely for me because sometimes if you have if you have Bitcoin if you have a theorem if you have litecoin if you have whatever sitting on these exchanges whether it's G Dax which is what I'm looking at here on the Bitcoin charts or if it's something else you know you get that temptation to make a move in a lot of cases you know motion gets caught up you can get caught up into motion and make some not great decisions for me the best thing is just having it on the hardware wall and having the component of crypto that I'm just gonna hold and let do its thing and that way I can continue to I really don't have those those tempting thoughts to if if I think the market is going down and I'm like alright I want to I want to get out right now maybe it a lot of people are saying right now okay I guess for example a lot of people are saying I think bitcoins gonna go back down to 4500 or so or 4,200 something like that if I saw this momentum maybe Bitcoin I thought yesterday was losing momentum and it's gonna go all the way down to the mid for for thousands or maybe 240 900 if I sell out here and buy back in lower I'm gonna increase my stack a bit I didn't even have that temptation just cuz it wasn't physically possible for me to do anything so that's something that for me as just an overall trading strategy – that is helpful is taking away access to that cryptocurrency on a 24/7 basis because this is a 24/7 market it goes crazy crazy things happen and in a lot of cases reducing your access to some of that crap where you're not able to trade and make stupid decisions all the time is I think for me that's a beneficial practice and it's a beneficial thing to do this just happened to be that you know this movement happened and went down and went back up so really not a ton of change over the past over the course of 48 72 hours but within that 48 72 hours there's probably a lot of tempting thoughts if I had my money on the exchanges or if I had some you know if I had Bitcoin ready to go and if I had different law you know different orders set or if I wanted to set those orders for me there's just no temptation because I'm not physically able to to get a hold of that crypto so I like that too and I would recommend that in a lot of cases for a lot of people out there is it helps to restrict access to when you want to trade and put barriers and parameters in place so that you're not always this is the second you see you move upwards you're not FOMO by the same goes for buying in when it's skyrocketing or now maybe selling when it's going down you know those are the human emotions where you get caught up and and that is helpful to not be able to do that if you know you don't have access to those funds or to whatever it is over time so I think that's something that I would definitely recommend to and really the reason that I didn't make any place one way or another turned out fine for me too because we're basically back where we were 48 hours or so ago back in 50s you know 56 57 hundred range so no harm no foul at all and that typically turns out to be how it is most of the time with crypto is at least within something with as much stability as as Bitcoin at least that you can step away from the charts and you cannot do anything you cannot look and you cannot get all jacked up and amped up about things and you're gonna be fine you don't have to have your you don't have to be trading every day with money in the exchanges you don't have to go nuts just put your money away a lot of times and let it do its thing and if you really find an opportunity where there's a big concerted dip or even a short-term dip like yesterday where you know it went down let's see how far I went down over the course of went down about you know eight or nine percent that meant that might be the opportunity you want to to buy back into something and then from there the recovery has been pretty smooth as well I mean we're talking about close to a 10% recovery in the past in the past 24 hours so that's the type of quote-unquote buying the dip that everybody likes to talk about that's when that strategy is has always been useful is if you're buying on those red days now it's impossible really to time how how deep you buy into a dip but it's always a lesson to to see every single time at least in Bitcoin a lot of the other altcoins you know you can buy a dip and it can continue to go a lot lower and a lot lower in a lot lower Bitcoin could always go lower as well but I think with Bitcoin if you're buying a dip you're basically going to just dollar cost average yourself lower in and then eventually depending upon where Bitcoin goes bitcoins can going to continue to chug along and chug along and chug along so this is yesterday's again always a good day to understand strategy wise how you can evaluate the past 24 48 hours of what's happened to the market and learn from it and also how to evaluate how you played it did you do something that was smart did you buy the dip yesterday did you get emotional and think the market was free-falling and sell at a low point when you shouldn't have we'd love to hear what you did in the comments to below that would always be it's always interesting to hear from a psychological perspective how you guys are able to play these movements did you do anything did you just huddle and chill kick those feet up smoke a cigar and drink some beer or did you you know do one of those moves where you you panic sold or you bought the dip like a you know like a champ so those are interesting things to to check out from how you perceive the past market movements and how you can learn from historical how you can learn from historical things as well as what did you do in that scenario to affect your future holdings and to how can you learn from that as well so definitely something that you want to you know to concern yourself with and I've seen a lot of people say this as well I'll probably eventually do a video on it too but I've seen a lot of people even traders are you know traders on online talk about this where they talk about journaling and whether it's recording videos or writing something down it's just if there's a specific market movement and you make a trade what did you what did you feel during that time what was happening in the market and then you basically contain a repository of that information of that journal so whether it's a video journal or just a handwritten journal talking about what what trades you made why you made those trades what were you feeling when you when you when you bought are you sold what was happening in the market and then from there you can go back and review that information so you know if you panic sold down here and then all the sudden the market goes shooting back up and screaming back up 10% what were you feeling in that moment why did you make that decision and how can you be more successful how can you avoid doing that again in the future and I think if you're able to document that accurately it's gonna help you quite a bit in the future to just make better decisions and and be smarter about how you play the market so definitely something I would recommend there as well now outside of that today too you know pretty I don't want to say up and down day for the most part a lot of crypto out there is following bitcoins movement up which has been you know good to see for the most part a good amount of the Crypt that has been following Bitcoin up and recovering a little bit after yesterday's brief sell-off so not gonna go too much in to that outside of that guys if you have if you have any questions or again – if you have any strategies on how you psychologically deal with some of these these 10% sell-off sir some of these movements I would really be interested in hearing that whether it's doing something like that journaling or if it's just you make a concerted effort to always buy on a specific dip or how you can control your emotions it's limiting yourself to a hardware wallet we'd love to hear your thought process on that my name is Ralph encrypt Oh Bobby if you are new to the channel by any chance I hope you found this video helpful I do daily videos on the subject of cryptocurrency so please consider subscribing would really really appreciate that guys outside of that Rob from crypto Bobby signing out page

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About the Author: Maximilian Kuhn

25 Comments

  1. Thanks so much! I feel like I have wasted so much money up till this point.
    I'm not getting burned again thanks to this kind of information.

  2. Hi, Why would you use Coingy? I mean what are advantages in comparison of free GDAX. I'm pretty new so I apologize if there is an obvious answer. Thanks for the video by the way!!! Cheers

  3. Not having my crypto on the exchanges has killed me. Every time one of my coins pumped I just happen to be at work. Now I don't trust the exchanges. That is why I don't keep it there. But I've had coins pump 50-100 % and couldn't take profits because my coins are on my PC wallets. By the time I got home and was able to get the coins up on the exchange. The price of the coin was back at the price it was before it pumped. Last night Qtum was up from 12 to 16 dollars. But no profit for me as my coins were in my wallet. By the time my funds were available on the exchange the profits we're gone. 🙁

  4. I was expecting a correction, and had orders set around 5600-5700 price, but it was evening in my time zone and I was too tired and became hesitant. Cancelled the orders before the sleep. Morning saw the downtrend in action, so after some analysis, sold on the way down and set buy orders around 5050$ 😀 So when the bottom hit, I was on the way from work to home and only caught it 100€ after the dip. In the end It was much fuss and barely made a 0.02 BTC profit from the trade. I was still lucky, as I did not lose money.

  5. One day you will realize that weed is much better than beer….By the way, I do not drink or smoke,just saying….Love your videos.

  6. Sorry if someone already posted this but it sure looks like some form of attempted and failed manipulation to me. If so they were probably hoping to initiate a much larger sell off.

  7. I actually shorted 4 BTC at 5600 thinking it will dip to 5100-5200 and was sleeping when it dipped, when I got up it was back to 5600 to I lost out on a $2000 profit. Should have set buys for 5150 5200 5250 5300 would have made money

  8. I was actually watching CryptoBobby's live stream when the first dip started happening. I sold bitcoin at $5680 and then picked it back up at $5510. Not perfect but still increased my position.

  9. I have a question Bobby if you have your bitcoin on bittrex at the time of the fork will you get your bitcoin gold ???

  10. Bobby or commenters,
    Thanks for GDAX vid and recommendation. Saving me a lot in fees 🙂
    I keep trying to sell my .08739976 BTC/USD using a limit order and I am putting in a limit price about $1-$2 less than the current price.

    I keep getting Error Message saying "Post Only: Cannot place order at 5660 USD/BTC" or any other amount I enter gets rejected.
    Why can I not execute an order?
    Thanks in advance
    Josh

  11. Yawn, if you've been a silver stacker before you got into cryptos you have learned patience. If you've ever been a regular black jack player, you learn not to get excited over a few good or bad hands.

  12. Fast food and beer 😉 thats the only way Crypto Bobby great video,well done! ,if you were to sell into what tho? cheers

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