Let’s talk about Bitcoin – How To Profit with it’s Historic Rise to $39,000 – With Investor Kenny Morikawa.
So, bitcoin is on the rise, and has almost doubled in value in a month.
Is it a bubble?
How can you profit in a bubble?
How can you get some bitcoin?
What are the do’s and don’t’s of bitcoin investing?
Here’s a brief summary of how to profit with bitcoin:
#1 Invest Only What You Are Willing To Lose
At this point, I would say investing in bitcoin is pretty much like gambling.
It’s a stand alone digital currency with no business or actual tangible good or service behind it…so it is HIGH RISK.
That does not mean it is not valuable.
Recently I’ve been getting a little bit of bitcoin using the Fold App to buy gift cards. It’s a way to get cash back in bitcoin.
I sent my sister a gift card to Macy’s in September and then transferred the bitcoin to my wallet, which took a month to finally transfer by the way!
That being said, you can still make a profit, but don’t invest more than you are willing to lose.
If you lost $25 would it piss you off?
How about $10?
How about $100?
Whatever you do, don’t lose sleep on it.
Put in an amount that you feel comfortable sharing with your husband, wife or best friend, etc.
I saw people put in money from their home equity the last time bitcoin surged in value, and then when it went down, they were MIA, couldn’t get a hold of them, busy working at the grindstone again, making back the money that they lost.
#2 Have an Exit Strategy BEFORE YOU INVEST
Before you put money in, figure out when you are going to cash out.
If you put in $25, are you going to take it out when it hits $20?
Are you going to cash out the $25 as soon as you are in profit?
Are you going to cash out when you double your money?
Figure out when to cut your losses AND when to take a profit BEFORE you invest.
Are you going to set an alert to let you know?
Are you going to put in a stop loss order?
Are you going to check the value the next day?
Figure out your exit strategy and how to execute it.
If this sounds too complicated then make it easy. Check the value at a scheduled time you put in your calendar. That’s a time exit strategy.
#3 Don’t Pay Transaction Fees
If you pay a transaction fee of $5 on a $100 trade, then you have to make $5 just to break even!
Your behind when you start.
There are many options out there to transact without transaction fees.
Kenny uses WeBull, which has no transaction fees as of today, for buying and selling Bitcoin and other crypto currencies to USD.
In addition, when you open a WeBull account, you get 2 free stocks. If you decide to fund it with $100 you get another 2 free stocks.
I opened a WeBull account, and after I got the free stocks, I pulled out my $100 and I sold my free stocks and transferred them to my checking account.
At the time, the stocks were worth about $60 (I got 6 free stocks during the summer promotion, the promotions vary and may not be available when you read this, click the like for the most up to date promotion), so I made $60 in a month.