Crypto currency

Concrete Helmet

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30k should be strong, but the more it gets tested, the more likely it will get breached. After that 20k should be strong, because it was the last bull market ath and was huge resistance.

I have no idea where it will go, but I started buying small daily amounts again since it dropped below 40k. I will 2x my daily buys below 30k and 3-4x my daily buys below 20k.

Fun experiment. Its money I am totally willing to lose so not stressed out about it. I gotta say it is good training wheels for major stock market crashes. 20% drops feel like a tuesday afternoon in crypto. Wall street hedge funds would be jumping from empire state building windows if that happened to the dow.
I was actually looking at a long term(5 year) chart and should have mentioned that earlier. I'm still very intrigued but will wait for a softer (re)entry point...probably somewhere in the low 20's. At my age and late start in investing I have to watch my ass and look both ways before stepping off the sidewalk....even if that step is 4-5K.....Ever noticed life seems to ebb and flow but not nearly enough at the same time....30% downturn in business and health issues tend to curb my appetite for speculation a little....
 

UFHealthGator

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I was actually looking at a long term(5 year) chart and should have mentioned that earlier. I'm still very intrigued but will wait for a softer (re)entry point...probably somewhere in the low 20's. At my age and late start in investing I have to watch my ass and look both ways before stepping off the sidewalk....even if that step is 4-5K.....Ever noticed life seems to ebb and flow but not nearly enough at the same time....30% downturn in business and health issues tend to curb my appetite for speculation a little....

Absolutely true. Everyone has different goals and different appetites for risk. I have hopefully a couple of decades of peak productivity to go and a high paying job with good job security and a good disability policy and life insurance, so my appetite for risk is very different than yours.

My only advice to anyone considering to enter this market is that Bitcoin is not everything in crypto. Branch out a little and understand the technology. It really is revolutionary when you delve into it. Makes holding these assets a little easier when they drop 50% in value. Lots of $hit coins out there, but the top projects have amazing things going for them.
 
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Gatormac2112

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For those in the know, what is a good hot wallet to use for online purchases? I occasionally buy gold and silver bullion online and have always paid with ACH bank transfers which is free, but takes freaking forever.....usually not shipping for a week after the purchase. I hate it. JM Bullion gives the option of paying in crypto which would increase the purchase by 1% but would ship in 1 day. Thats worth it to me. I hate waiting. However, apparently you can't make purchases with a Blockfi account and I've never had a wallet to make purchases with (I would be using GUSD for purchases, not BTC or ETH).

With GUSD would there be more fees on the wallet side on top of the 1% JM Bullion charges? Whats a good wallet, or should I just keep going the snail route with ACH purchases?
 

UFHealthGator

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For those in the know, what is a good hot wallet to use for online purchases? I occasionally buy gold and silver bullion online and have always paid with ACH bank transfers which is free, but takes freaking forever.....usually not shipping for a week after the purchase. I hate it. JM Bullion gives the option of paying in crypto which would increase the purchase by 1% but would ship in 1 day. Thats worth it to me. I hate waiting. However, apparently you can't make purchases with a Blockfi account and I've never had a wallet to make purchases with (I would be using GUSD for purchases, not BTC or ETH).

With GUSD would there be more fees on the wallet side on top of the 1% JM Bullion charges? Whats a good wallet, or should I just keep going the snail route with ACH purchases?

I honestly never used a hot wallet. Only cold wallet. That being said, GUSD is a ERC-20 token, which means it runs on the Ethereum network. To transfer the coins on the Ethereum network it costs gas fees, which are paid in Eth. The gas fees are basically what you pay the miners to run the network. Depending on the time of the day, month etc, and depending how congested the network is, the gas fees can be brutal, in the $100s just for one transaction. I think these days the gas fees are really low. Either way they can be unpredictable. You can look at current fees here:

Ethereum Gas Tracker | Etherscan

That's one of the main reasons why Ethereum is trying to upgrade to Proof of stake (Eth 2.0), and why Cardano ADA token is so popular.

To add to all this, you really have to be careful with your hot wallet seed keys and where you enter them, because mistakes could mean stolen funds. Also any issues in the address you enter could mean lost funds. I think in you situation you are better off to buy through ACH. Safer at this point. Eventually though, buying with crypto would be a no brainer once scaling solutions are optimized.
 

Gatormac2112

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I honestly never used a hot wallet. Only cold wallet. That being said, GUSD is a ERC-20 token, which means it runs on the Ethereum network. To transfer the coins on the Ethereum network it costs gas fees, which are paid in Eth. The gas fees are basically what you pay the miners to run the network. Depending on the time of the day, month etc, and depending how congested the network is, the gas fees can be brutal, in the $100s just for one transaction. I think these days the gas fees are really low. Either way they can be unpredictable. You can look at current fees here:

Ethereum Gas Tracker | Etherscan

That's one of the main reasons why Ethereum is trying to upgrade to Proof of stake (Eth 2.0), and why Cardano ADA token is so popular.

To add to all this, you really have to be careful with your hot wallet seed keys and where you enter them, because mistakes could mean stolen funds. Also any issues in the address you enter could mean lost funds. I think in you situation you are better off to buy through ACH. Safer at this point. Eventually though, buying with crypto would be a no brainer once scaling solutions are optimized.
Yeah I saw that about it being tied to ETH after I posted the question, I think USDC isn’t an ERC-20 token and might be cheaper. Not sure about that though.

ACH it is then. I’m not happy about that
 

UFHealthGator

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Yeah I saw that about it being tied to ETH after I posted the question, I think USDC isn’t an ERC-20 token and might be cheaper. Not sure about that though.

ACH it is then. I’m not happy about that

No harm in trying. Send a small amount enough to cover your smallest transaction to a wallet. Make the smallest purchase possible to limit your risk. Now is a good time to experiment because of low transaction fees. If it works out, you can venture into bigger purchases.
 

UFHealthGator

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Something about this crypto crash feels to me like it is front running a coming sell off in the stock market. We shall see.
 

Concrete Helmet

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Something about this crypto crash feels to me like it is front running a coming sell off in the stock market. We shall see.
I pulled back about 35% last week(SM) after getting hammered(I was heavily weighted in value/financial and commodities)...I almost stuck my foot back in BTC when it shot over 40k but got distracted at work...:lol: I do think I'll buy a small position if it ticks around 32k. Weird times everywhere.
 

BMF

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I pulled back about 35% last week(SM) after getting hammered(I was heavily weighted in value/financial and commodities)...I almost stuck my foot back in BTC when it shot over 40k but got distracted at work...:lol: I do think I'll buy a small position if it ticks around 32k. Weird times everywhere.

Just went under $32k.....
 

BMF

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BTC dipped under $29k for a while this morning.....I added a little bit, up to 22.5% of one BTC!!
 

BMF

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BTC made a nice 10% comeback from earlier this morning, back over $32k this afternoon:

10443471.jpeg
 

Concrete Helmet

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It's under $30k this morning, down over 50% from it's high just a few months ago.
I keep messing up my 7's and 2's...I'm looking at 12k. BIG TIME head and shoulders on that chart. Could retrace below 10k by August.
 

UFHealthGator

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I keep messing up my 7's and 2's...I'm looking at 12k. BIG TIME head and shoulders on that chart. Could retrace below 10k by August.

I don't see it going there. Over the past 11 years in Bitcoin's history, it has only dropped below its 200 week simple moving average only once, and I think that was during the covid crash. Every other time it held as support in a bear market. Currently that is sitting at 13.5k and rising quickly every day. Only way it will go below there is a catastrophic economic event to be honest.

Interestingly enough, Bitcoin never retested its last bullmarket high in the next bullmarket once it breaks it. 20k was the ATH in 2017, and if Bitcoin retests it, or even breaks down from it that would be a first also. Another possible bottom I am looking at is 25-26k. Microstrategy's average buy price is about 26k. I am buying a set amount every day below 40k, I will 2x my daily buys below 30k and will 4x them if we drop below 20k.

I would rather sink whatever money I am allocating to this than miss the boat.
 

UFHealthGator

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Moved one of my Roth IRAs to it
iTrustCapital: Low Cost 24/7 Bitcoin, Crypto & Gold IRA Self-Trading Platform

I hear good things about them. That being said do your own research. I plan to move my roth IRA there eventually, but I have not tried them yet.

I finally managed to move one of my roth IRAs to itrustcapital. I moved it from Vangaurd to them. I have to say it was the most painless rollover I ever had. Took less than one week from the day I submitted my forms to the day the account was funded.

So far so good.

Pros:
- Very fast rollover.
- You buy actual BTC, Eth, Ada and othee crypto instead of indirect exposure to companies like GBTC and Microstrategy.
- All their crypto is held Curve currently, that are being bought by Paypal. They will be moving Coinbase custodial services, which offers them 320 million USD insurance, and are basically the standard in the space for institutions.
- Staking is coming in the fall of this year. If you hold ADA, not only will you get 0 capital gains tax inside the account, but also any rewards from staking (basically interest) is also tax free as opposed to normally paying earned income tax. Thats huge once it happens hopefully soon.
- They have a great selection of crypto to buy.
- They also offer "physical" gold and silver. I am not a precious metals guy but for you here who are interested could also have that option.
- Unlike any funds or Etfs on exchanges, you don't pay any annual expense ratios.
- trading available 24/7

Cons:
- Trading fees are a bit steep (1%), but remeber there are no capital gains tax inside a roth IRA, so this is peanuts hopefully to the capital gains tax savings 10 years down the line. You pay the trading fee only at the time of the trade, not annually like mutual funds or etfs expense ratios.
- There is monthly fixed maintenance fee of $30. The good thing is you pay this from a credit card or debit card, not from your precious funds inside the ira to avoid eating at your capital.
- No limit buys that I can see or any sophisticated trading platform. So if there is a dip you can't just set a limit buy and forget. You need to be at your phone or pc and buy as it happens. Very annoying.

Hope this helps anyone who is thinking about using this. I would consider it a win if I can beat the S&p 500 in 10 years. Will see.

Also remember there is a risk as they are a new company and you are trusting your retirement account to them. Do your own research before you ape into if you decide to do so.
 

ChiefGator

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According to my somewhat informed self cryptos are good for the following:

Criminals getting money from extortion etc.

Those in very high inflation countries to defend their purchasing power.

Folks who like to speculate and trade rather than invest in things that actually create value.

Media folks to have something to talk about and convince folks to "invest" in.

Folks who like to jump on the bandwagon and be the first to do things.

I believe everyone needs a financial plan with objectives, then they can buy things to make that happen. If one of your objectives is to have fun trading things then crypto is an option.

My plan is to pay my bills through my investments for the rest of my life, not to enjoy taking risks or trading things. Thus no crypto for me.

Just my somewhat informed opinion, note the somewhat!
 

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