Tried And Tested: What You Can Learn From Experienced Traders

Despite the current “crypto winter” which is freezing up a number of exchanges in the market, there is always business to be had.

If you are a newcomer looking to buy USDT, Tether, Ethereum, or any other form of cryptocurrency, then the chances are you will be waiting around for a while to trade it. Winters can be stark and daunting phases for anyone unfamiliar with the market itself.

But, despite appearances, the winter is actually a good time to consolidate your coins and look for a trading strategy that can work in its context. The best way to do this is to engage with some of the most experienced traders who have been doing it for years.

The Rise Of Crypto Traders

The concept of cryptocurrency has taken just ten years to form itself as a solid entity in global finance. It was 2009 when the concept of Bitcoin was put into practice, and since then the coin has worked itself up to peaks of $59,000.

Although regulation and government anxiety has (so far) hindered crypto from being recognised like any other fiat currency, it is hard to see a world in ten or so years that is not fully influenced by the blockchain and web3.

This is not a rare opinion. Influencers as significant and wealthy as Elon Musk, Vitalik Buterin and Michael Saylor have all put their faith and finances into the steady rise of crypto, with Saylor’s MicroStrategy recently investing a further $10 million into the $4 billion pot it has already accumulated.

It is these sorts of traders who have an eye on what they expect, what they want, and how they are going to get it. While the market’s volatility is a concept which can ward many people away, the most hard nosed crypto traders make the correct decisions to plough through in the knowledge that, one day, prices will soar and they will meet returns on their investments.

So What Can We Learn From These Traders?

When it comes to relative amateurs who are attempting to navigate the blizzard and keep their investments secure, there is a lot to learn from the success of these traders who are fighting for the future. 

For example, the reason experienced traders and whales can weather storms like 2018-2020 and the current crypto-winter, is primarily due to their patience. It may seem like a simple attribute, but it is arguably the most important trait a crypto trader can have.

No matter if you are a day or scalp trader, the ability to sit back and simply observe the market is important if you want to come out of a trade with zero losses.

This could mean watching your investments fall far below the price you bought them at, or it could mean missing out on what you feel were opportunities, but it is important to remember that the risks can often outweigh the rewards. 

There is always a winner when it comes to crypto trading, which means there is similarly a loser. Having the patience to form clear motives behind your trades is something that every experienced, successful crypto investor does. It means that you can go in with a clear strategy and avoid simple mistakes which can result in a win for another and a loss for yourself. 

How Do Experienced Traders Stay On Top?

As a trader, it is integral that you understand three simple things:

  • Where you want your coins to go
  • Your established stop loss level 
  • The context of a market before coins ascend in notoriety. 

The last point is a strategy which is rare amongst amateur investors, especially when prices are low across the market.

The concept of FOMO (fear of missing out) can lead to an influx of buying pumped-up coins, which have only risen in price due to the publicity of the surge itself. In most cases, this will result in an oversupply which will cause massive losses across the board. To avoid this, it is important to keep a finger on the pulse of the market and attain the coins that are predicted to grow. It may not seem like a worthwhile short-term investment now, but if you buy these coins at a low price, then you’re assured to retain your investment when losses begin to creep in. 

It is important to note the context, however.  Buying a coin simply because it is low and the market is volatile is a sure-fire way to lose out in the long term. What is important when deciding what to trade is the context of the coin in the grand scheme of things, the position it holds in the market and the market cap itself.

For instance, it would be nonsensical to buy a coin priced at $10 with 1 million market shares, compared to a coin priced at $100 with 100,000 market shares. In this way, just as any other stockbroker would gauge conventional stock, the market cap is the point of difference which should dictate to you what you should buy, whether the price is low or not.

Remain Open And Vigilant

Overall, there is a lot you can learn from and put into practice when looking at alternative trader tactics. Getting through the crypto winter is not an easy task for anyone, but with one eye on the future and another on the current trading strategies, there is no reason why you cannot prosper and come out on the other side with your investments unspoiled.

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CaptainAltcoin's writers and guest post authors may or may not have a vested interest in any of the mentioned projects and businesses. None of the content on CaptainAltcoin is investment advice nor is it a replacement for advice from a certified financial planner. The views expressed in this article are those of the author and do not necessarily reflect the official policy or position of

Felix Küster

Felix Küster

Felix Kuester works as an analyst and content manager for Captainaltcoin and specializes in chart analysis and blockchain technology. He is also actively involved in the crypto community - both online as a central contact in the Facebook and Telegram channel of Captainaltcoin and offline as an interviewer he always maintains an ongoing interaction with startups, developers and visionaries. The physicist has couple of years of professional experience as project manager and technological consultant. Felix has for many years been enthusiastic not only about the technological dimension of crypto currencies, but also about the socio-economic vision behind them.

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