How I made $13K (160% profit) using only the Crypto Risk Index!!
Are you one of the many people who have tried your hand at Bitcoin trading, only to find yourself losing money because of poor timing? The cryptocurrency market can be incredibly volatile, and buying and selling at the wrong times can result in significant financial losses. As a beginner trader, it can be challenging to navigate the complexities of the market and identify the best times to enter and exit trades. However, with the right tools and knowledge, you can learn how to read market signals and make informed trading decisions. In this blog post, I will explain how I used Crypto Risk Index (https://cryptomarketbuzz.com/index.html) in Bitcoin trading to make 160% profit and turned my $5K capital into $13K!!
In my previous posts I have talked about the Crypto Risk Index. If you don’t know what Crypto Risk Index is, you can read my previous stories on this cool index that incorporates multiple factors into one index that can help you with your crypto investment. It is published and updates hourly by https://cryptomarketbuzz.com/.
- Introducing Crypto Risk Index: the ultimate technical index for your cryptocurrency trading needs
- How I avoided the Nov 2022 crypto crash using the Crypto Risk Index
- Did Crypto Risk Index predict the recent market jump?
- Will Bitcoin crash to 15K?!! Crypto Risk Index weighs in!
In this story, I will go over my Bitcoin trading strategy using the Crypto Risk Index, and how I leveraged the signals form the index to inform my buy/sell strategy and make 160% profit!! For me, trading was always a game of chance, and I would buy hoping the price would go up only to find myself in a price drop and then panic selling my assets. I never knew when would be a low risk situation to enter and high risk situation to sell (or NOT TO ENTER A TRADE!!). But after I learned about the Crypto Risk Index, things changed for me. Now I have some idea of where the risk is, and when NOT to enter, and when is a relatively low risk of entering a trade, and when I can sell without getting trapped into emotional greed!
So here’s my strategy, and it’s VERY SIMPLE! Buy when the Risk is LOW, and SELL when the risk is above MODERATE or HIGH. It will depend on your risk appetite, but I have learned being greedy leads to loss and panic selling later, so I have decided that I will sell when the risk is somewhere between Moderate and High.
Below the Price and Risk history for Bitcoin over the past year, and I have listed my trades (paper trading) in the table below. As you can see, it was very simple, relatively stress free, and I made a very healthy profit over the past year. I didn’t put in a lot of capital (paper tradng) since this was an experiment for me and I had just started using the Risk Index, so I didn’t know if this would work or not, but at the end, I ended up making 160% profit and $13K cash in my account. That’s pretty sweet! Definitely, much better than how I performed before using the Risk Index (which was mainly loss! haha!).
Bitcoin 1-Year Risk and Price History
Summary of My Trades
This table is the summary of my paper trades. As you can see, I didn’t do a lot of trading. Only 5 trades between May 2022 and March 2023. I was patient, followed the risk index, and tried to control my emotions and stick to my strategy. That’s the key!
There is no Guarantee for Future Performance!
I should note that I am not a financial advisor, and this blog is NOT to advise buy, hold, sell, or do any crypto trading. It’s entirely up to you and you should do your own research. I am only sharing my experience using the Crypto Risk Index. Also, previous performance and price actions do not guarantee future performance, and you should be aware of the risks associated with crypto trading.
Have fun! Make some money! Enjoy it!
Final thoughts …
Crypto investing can be highly lucrative, but it also comes with a number of risks. Without a proper risk management strategy in place, investors can suffer significant losses when the markets go against them. As always, my advice is to manage your risks, understand the crypto markets, read the news, understand the assets you are investing in, and have proper exit or HODL strategy before entering any investments.
Keep in mind, the information provided on this blog is for informational purposes only, and does not constitute investment advice, financial advice, trading advice, or any other sort of advice and you should not treat any of the blog’s content as such. You need to do your own research and understand the underlying volatility and legal and political aspects of cryptocurrency markets. Also, you need to consult your legal, financial and tax advisors before investing in cryptocurrencies. There are risks in cryptocurrency investments. Do your own research and invest wisely.
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