The best asset to trade right now

The gym of fun and profit

Hi,

There is one asset right now that I think everyone should consider trading.

Not because you’ll get rich, actually there is a high chance you’ll make mistakes and lose money.

But because it is the perfect training ground to build up emotional market resilience, tune your sixth sense and just enough craziness to learn how to trade both sides and use stops correctly.

Can you guess what I’m talking about?

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Now that I think about it it kind of applies to the stock market in general as well depending on your trading window.

But no, it’s Bitcoin.

This likely gets me one of two reactions: either you react hell yeah to the moon, or you stop reading because you want nothing to do with such speculation.

Stay with me a second.

Let’s ignore what Bitcoin is and just look at how it behaves as a tradable asset.

It is highly divisive in terms of opinions. You will tend to be either bullish or bearish by default depending on which environment you come from. Search for opinions online and you will find the same experts regularly flipping sides depending what season we are in.

I get newsletters that go from bullish to bearish in the same week and back again the next. If I were to trade based on that I would always lose.

Don’t trade the news.

Being widely debated and controversial on some levels there is a lot of emotion involved. Try tracking bitcoin a bit and you can literally feel the general sentiment, your emotions being influenced. And we are sitting behind a screen!

This is perfect for some self introspection. Join the party and put some money at stake either short or long and see how your self control is going.

I have a student in my advanced course who is really good. He decided to take a pause from trading Bitcoin short term because it is too emotional.

Sound judgment.

Myself I can occasionally get decision paralyzed about what to do. Those who know me will agree that I’m way more rational than emotional, yet it uncovers weaknesses. This asset really pushes me to do better analysis and execute at my best. There is a lot of changing my mind on how to trade it.

Fully understand the pundits changing with the seasons.

Don’t listen to others to make your investing decisions.

Trading Bitcoin is like going to the gym. It’s going to suck a lot, but eventually you will be fit and have a blast. For sure the swings are skewing my portfolio performance to the positive.

If you haven’t traded bitcoin yet, do as I alway recommend when starting investing in a new asset: spend 3–6 months fantasy trading before putting real money on the line.

Let me know how it goes.

Have a good one,

Chris

Thank you for reading! :)

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