Traders vs Investors

[Gposas]

I just felt a little keen to share this comparison between traders and investors seeing some other posts of advice to newbies who would like to venture into the trading tour.

In a nutshell, traders and investors are two different calibre of persons in the Crypto world having different patterns and motives towards market trend/price.

COMPARISON BETWEEN A TRADER AND AN INVESTOR.
A TRADER:
1) Requires adequate knowledge about market trend and high skill in analyzing the market. A trader without high skill in analyzing the market trend is prone to make huge losses and even empty his portfolio.

2) Trading is associated with high risk. This is the reason why every trader must have a risk management technique inorder to maximize profit while reducing loss rate.

3) Traders focus on making gain/profit from price fluctuations on short-term market movement by comprehending candlesticks charts.

4) Trading is based on a short period of time duration as traders tend to scalp out profits  in a day or less.

5) Traders need constant vigilance on the market as regards to their FOMO in order to take quick decision and flow with the market trend.

INVESTORS
1) Investors don't need much knowledge on the market trend rather they need to know mainly about the asset they are placing investment on, if the asset is truly worth investing.. If yes, investment is placed and they are at rest.

2) Investment isn't associated with much risk. When investments are placed on assets that has the ability of rising in price on a long run example is BTC, Investors are rest assured that nothing is causing loss or else on a bearish season.

3) Investors focus on price growth of an asset and grab their gains on the long term.

4) Investment is based on a Long term duration of time which can last for months and years. Where the price of the assets invested on has attained over x2, x3 or more increase in price.

5) Investors don't need to focus much on the market, reducing their emotional stress as they tend to feel relaxed understanding that the assets invested on must surely grow in price. They can even check the market once in a week.

The above is a little comparison between a Trader and an Investor, they both make gains in the crypto market but with different strategies.

[Chilwell]

Traders are individuals who buy and sell goods and services frequently to profit within a short period. Investors, on the other hand, purchase goods and hold them for an extended time to generate profits.

Traders primarily focus on price movements of commodities, whereas investors concentrate on increasing the value of their held assets.

Traders typically hold assets for a short time, while investors hold theirs for an extended period.

Traders manage risk using strategies, but investors have a higher risk tolerance.

Traders rely on charts, patterns, and technical analysis for decision-making, whereas investors depend on a company's fundamentals.

[Rruchi man]

In a nutshell, traders and investors are two different calibre of persons in the Crypto world having different patterns and motives towards market trend/price.

Cryptocurrency traders could also be active in investing, allocating some of their capital not just into dollar cost averaging or any other strategy that they employ in investing in cryptocurrency but for trading purposes. If you are not well skilled in trading, your focus as an individual should not be on trying to trade with money you should be investing with.

[Odohu]

In a nutshell, traders and investors are two different calibre of persons in the Crypto world having different patterns and motives towards market trend/price.

Cryptocurrency traders could also be active in investing, allocating some of their capital not just into dollar cost averaging or any other strategy that they employ in investing in cryptocurrency but for trading purposes. If you are not well skilled in trading, your focus as an individual should not be on trying to trade with money you should be investing with.

I know a lot of guys that are actively trading and investing part of the proceeds from their trading into investing in Bitcoin which they will hold for a long period of time. Most of them are holding large quantity of Bitcoin today and are still doing very well in trading. However, trading is not an easy thing to do so anyone going into it should not expect to be very successful within a short time.

[Stuart]

Traders can also act like investors as they know the potentials of some valuable assets in the crypto market. They can do same things investors does, by holding a particular coin which has potentials on a long run, they allocate their profits to such coins, waiting for the right time to take out profits and jump in again (as multiple times as possible in every brink of profits), cause they are always in front of the market chart. On the other hand, investors are only holders of potential coins waiting for a 2x to 3x increase for take out profits.

[Baofeng]

In a nutshell, traders and investors are two different calibre of persons in the Crypto world having different patterns and motives towards market trend/price.

Cryptocurrency traders could also be active in investing, allocating some of their capital not just into dollar cost averaging or any other strategy that they employ in investing in cryptocurrency but for trading purposes. If you are not well skilled in trading, your focus as an individual should not be on trying to trade with money you should be investing with.

I know a lot of guys that are actively trading and investing part of the proceeds from their trading into investing in Bitcoin which they will hold for a long period of time. Most of them are holding large quantity of Bitcoin today and are still doing very well in trading. However, trading is not an easy thing to do so anyone going into it should not expect to be very successful within a short time.

But most likely this kind of individuals have a lot of money to begin with, that's why they have been trading as well. But for average joe, I do not think that trading is best for them, that's why majority could have been just accumulating and holding, then they could be define as a investors.

There's nothing wrong though with those set of individuals, two different but still falls on the category of making money in this market. Personally, if I have a lot of time and money at hand, I will prefer to be a trader and investor at the same time.

[TomPluz]

One can be doing some trading and investing at the same time...and I am sure many are doing it especially in the cryptocurrency market. Now, trading may need some time and some skills in order to be successful and one can lose a lot of money if things are not done properly. One can be an investor with some capital but one has to make good choices especially in the very volatile crypto market choosing only the most reliable assets but if one can be not risk-averse then there are many new and old memecoins for the picking where one can make unheard of x1000 gains. Trading is an actually an active way to make some money while investing is more passive where one has to wait and be patient for the potential profits to materialize.  Both can be presenting us many big opportunities and can both can expose us to potential risks.

[bitterguy28]

One can be doing some trading and investing at the same time...and I am sure many are doing it especially in the cryptocurrency market. Now, trading may need some time and some skills in order to be successful and one can lose a lot of money if things are not done properly.

yes that is because trading for some people has become their day job and holding only is an investment they will not get money from until they deem it is the right time

some traders may be allocating some of what they earn from trading to investment you are right though that trading is a lot more difficult and a lot more complex i know people who would pay to learn about trading while not many can say that about holding alone

[albon]

Both are the best and have their advantages and disadvantages. However, if you have enough experience in both then you can make good profits from both. Most people think that trading gives them a good return, which is why they take more risk than holding. Again, there are bigger profits to be made from holding so there are many currencies that are more favorable for holding, and many coins suddenly pump into the world of profits. The two plans differ because trading is best for those who want to run for short term profits, while holding is best for those who can wait for a long time.

[Bodhi2021]

I just felt a little keen to share this comparison between traders and investors seeing some other posts of advice to newbies who would like to venture into the trading tour.

In a nutshell, traders and investors are two different calibre of persons in the Crypto world having different patterns and motives towards market trend/price.

COMPARISON BETWEEN A TRADER AND AN INVESTOR.
A TRADER:
1) Requires adequate knowledge about market trend and high skill in analyzing the market. A trader without high skill in analyzing the market trend is prone to make huge losses and even empty his portfolio.

2) Trading is associated with high risk. This is the reason why every trader must have a risk management technique inorder to maximize profit while reducing loss rate.

3) Traders focus on making gain/profit from price fluctuations on short-term market movement by comprehending candlesticks charts.

4) Trading is based on a short period of time duration as traders tend to scalp out profits  in a day or less.

5) Traders need constant vigilance on the market as regards to their FOMO in order to take quick decision and flow with the market trend.

INVESTORS
1) Investors don't need much knowledge on the market trend rather they need to know mainly about the asset they are placing investment on, if the asset is truly worth investing.. If yes, investment is placed and they are at rest.

2) Investment isn't associated with much risk. When investments are placed on assets that has the ability of rising in price on a long run example is BTC, Investors are rest assured that nothing is causing loss or else on a bearish season.

3) Investors focus on price growth of an asset and grab their gains on the long term.

4) Investment is based on a Long term duration of time which can last for months and years. Where the price of the assets invested on has attained over x2, x3 or more increase in price.

5) Investors don't need to focus much on the market, reducing their emotional stress as they tend to feel relaxed understanding that the assets invested on must surely grow in price. They can even check the market once in a week.

The above is a little comparison between a Trader and an Investor, they both make gains in the crypto market but with different strategies.

Traders are those who buy crypto currency being bitcoin or altcoin when their prices are low and sell when there prices are high, depending on the type of traders they are, example
scalpler open and close their trade within one to five minutes,
while day traders open and close their trade within a day, while wing traders open and close their trade within days or weeks, while long time traders open and close their trade for as long has they C fit.
Investors are those who buys bitcoin or altcoin with a large some of money when the prices are low, then live it to accumulate profit as the prices of the crypto rises so dose thier profit and they can decide to live it as long as they desire, some may decide to withdraw some profit when needed, while some might decide to increase the investment and withdraw it all at one's when they make enough profit. Who do you think are smarter and more profitable; Traders or Investors?

[rby]

Both are the best and have their advantages and disadvantages. However, if you have enough experience in both then you can make good profits from both. Most people think that trading gives them a good return, which is why they take more risk than holding. Again, there are bigger profits to be made from holding so there are many currencies that are more favorable for holding, and many coins suddenly pump into the world of profits. The two plans differ because trading is best for those who want to run for short term profits, while holding is best for those who can wait for a long time.

Many people don't really care about these differences. They take advantage of trading gains while still holding some coins for the future. However, in most cases, traders can actually trade and invest at the same time, but most investors only hold without engaging in regular trading. The difference is that traders and investors have different risk tolerances.

[Glow]

This is a nice , refreshing and an educational topic that everyone venturing in to trading or crypto world must know because if someone does not know what they mean talk more of knowing their business then they don't even know the direction they're following and just moving with the hype or the market prices and in the process lossing money,so thank you for the clarification and these definitions are spot on.

[albon]

This is a nice , refreshing and an educational topic that everyone venturing in to trading or crypto world must know because if someone does not know what they mean talk more of knowing their business then they don't even know the direction they're following and just moving with the hype or the market prices and in the process lossing money,so thank you for the clarification and these definitions are spot on.

The crypto market is full of hype from time to time which investors use to make money and these opportunities are limited in time. However, trading is different because you don't have to wait to see what the market is doing. If you can gain experience in trading then you can make profit every day. You can gain a lot of experience from this type of forum. Because all the topics about crypto are well presented here so you will get good ideas to discuss the topics of your dreams.

[Glow]

This is a nice , refreshing and an educational topic that everyone venturing in to trading or crypto world must know because if someone does not know what they mean talk more of knowing their business then they don't even know the direction they're following and just moving with the hype or the market prices and in the process lossing money,so thank you for the clarification and these definitions are spot on.

The crypto market is full of hype from time to time which investors use to make money and these opportunities are limited in time. However, trading is different because you don't have to wait to see what the market is doing. If you can gain experience in trading then you can make profit every day. You can gain a lot of experience from this type of forum. Because all the topics about crypto are well presented here so you will get good ideas to discuss the topics of your dreams.

I can see that because from the moment I got here it has been fun and I have been learning new things each day,from those good people who choose to share their experience so people can learn from it to people who give advise when needed and it's a really valid and good advise which is applicable for growth both in life and financially it's these types of forum that moves people forward and makes them better than when they came which is rare to see.

[bitterguy28]

This is a nice , refreshing and an educational topic that everyone venturing in to trading or crypto world must know because if someone does not know what they mean talk more of knowing their business then they don't even know the direction they're following and just moving with the hype or the market prices and in the process lossing money,so thank you for the clarification and these definitions are spot on.

The crypto market is full of hype from time to time which investors use to make money and these opportunities are limited in time. However, trading is different because you don't have to wait to see what the market is doing. If you can gain experience in trading then you can make profit every day. You can gain a lot of experience from this type of forum. Because all the topics about crypto are well presented here so you will get good ideas to discuss the topics of your dreams.

I can see that because from the moment I got here it has been fun and I have been learning new things each day,from those good people who choose to share their experience so people can learn from it to people who give advise when needed and it's a really valid and good advise which is applicable for growth both in life and financially it's these types of forum that moves people forward and makes them better than when they came which is rare to see.

yes this forum is incredibly helpful because a lot of us here just like to share our average experiences which means you get the authentic and genuine experiences and opinions of people on here we are not sharing experiences for an agenda but simply to discuss about the crypto space

if there is anything we are curious about we can ask it here and if there is anything we want to share we can also do it on here any recent news can also be found here but most importantly the topics we can discuss is not exclusive to just crypto we can also talk about other topics there is to talk about in the world and in our respective countries