Dollars or Bitcoin?

An interesting thing that happens during the bull market is that you’ll see a lot of videos of people making money in trading. They will show you their accounts and you will literally see how the money grows. This phenomenon rarely happens during the bear market.

Figure 6.5 – Dollar or Bitcoin?

That is because in the bull market, if you keep your winnings in BTC and if BTC grows by 13%, let’s say monthly, and your trading system’s monthly profit is -2%, your total account growth in dollars is 11%. You can show your account balance, and everybody will see how good you are as a trader.

Still, if you check your balance in BTC, you’re actually losing 2% each month. Hmm...

In the bear market, if you keep your money in BTC and BTC decreases by 5% and your trading system is 1% profitable, your total account growth in dollars is -4%, and in BTC, it’s 1%. Hmm again.

So, you can see how people...