Have Stablecoins Changed the Game?

[Mia Chloe]

I think everyone cannot trade Bitcoin, there are several reasons while some people prefer trading stable coins pairs than with Bitcoin or other altcoins pairs out there. Experiences, emotional filling are some of the big factors that hinder many people from trading.

Trading any token or currency pair profitably is very possible as long as you have a proper Working analysis you are able to execute. Not everyone trades bitcoin for various reasons, and one of them is volatility. Bitcoin is way too volatile when trading to joke with when trading and improper management of leverage would likely end up badly.

Aside from all these, some traders have analysis that will not work most of the time if use for a crypto currency as volatile as bitcoin. Sometimes fundamental analysis too contributes to how profitable you will be in crypto trading.

[philipma1957]

But here’s my dilemma, are these pairs actually worth my time? Are they the future of trading, or just another “option” that won’t really change much in the long run? Part of me likes the stability, but another part wonders if I’m missing out on better moves sticking to these.

Stablecoins are fine if you are using them for trading short term, but they are terrible if you plan to hold them long term.
You are basically losing value all the time same like with fiat currency inflation, and you have much bigger risks of coins going to zero with some new government or EU regulations.
They are currently tolerated by regulators but I expect things to change a lot starting next year.

I think coins like USDT or USDC or pretty much insane to hold.

I get that some may want the interest they pay but I can get 4.1% on the US dollar in my PayPal account plus the money is insured.
I can get around 5.2% on USDC at coinbase with no insurance.

So if I hodl 100,000 in usdc I make an extra 1,000 a year. Just not for me at all.

If you day trade on coinbase maybe you can do it all in usdc and pick up a bit of extra interest . But I do not bother.

[Mia Chloe]

I think coins like USDT or USDC or pretty much insane to hold.
I get that some may want the interest they pay but I can get 4.1% on the US dollar in my PayPal account plus the money is insured.
I can get around 5.2% on USDC at coinbase with no insurance.
So if I hodl 100,000 in usdc I make an extra 1,000 a year. Just not for me at all.
If you day trade on coinbase maybe you can do it all in usdc and pick up a bit of extra interest . But I do not bother.

These basically are because of the fact that they are not volatile. If prices don't move you can't except either of a huge profit or huge loss same scenario comes up for those trading stable coins. You'll find out that they need way more leverage to pull off same mass of profit a meme coin trader would in a matter of minutes.

Most times I like to view stable coins as simply having the normal fiat dollar but in this case on a digital network I have full control over.

[Report]

Globally I think that USDT or stable coins have the opposite function to cryptocurrency because its algorithmic system stabilizes the price 1:1 with USD. While cryptocurrencies like Bitcoin if they have entered the market, the price will definitely go up and down and cannot be controlled by anyone.
The presence of USDT stable coins can change a game that used to be cryptocurrency whose price always changed every time and the presence of USDT cryptocurrency is actually stable and can also change the profits and losses from price changes in BTCxUSDT trading.

[electronicash]

Globally I think that USDT or stable coins have the opposite function to cryptocurrency because its algorithmic system stabilizes the price 1:1 with USD. While cryptocurrencies like Bitcoin if they have entered the market, the price will definitely go up and down and cannot be controlled by anyone.
The presence of USDT stable coins can change a game that used to be cryptocurrency whose price always changed every time and the presence of USDT cryptocurrency is actually stable and can also change the profits and losses from price changes in BTCxUSDT trading.

holding USDT is even better for an investor especially in the bear season because you get to maintain your wealth's value while holding cryptocurrency could be hurtful.

the algorithmic stablecoin is actually risky if you have heard of the LUNA project which their stablecoin was de-pegged in the defi platform. probably the reason why the algorithmic stablecoin isn't attractive to use anymore all because of that tragic LUNA project.

[dkbit98]

holding USDT is even better for an investor especially in the bear season because you get to maintain your wealth's value while holding cryptocurrency could be hurtful.

You only have the illusion of maintaining anything, and I would never suggest anyone holding anything in stable coins long term.
First you are losing value because of constant inflation of fiat currencies, and than you have the risk of some stable coin getting banned, frozen or it can lose value because of some bug.

[Report]

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The presence of USDT stable coins can change a game that used to be cryptocurrency whose price always changed every time and the presence of USDT cryptocurrency is actually stable and can also change the profits and losses from price changes in BTCxUSDT trading.

holding USDT is even better for an investor especially in the bear season because you get to maintain your wealth's value while holding cryptocurrency could be hurtful.
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The difficult choice position must be for those who become Bitcoin maxxis because they still prioritize Bitcoin hodL over USDT also because they must have a very concrete reason with USDT which has a centralized system and at any time the USDT can be frozen.
USDT is also not entirely bad because it is able to stabilize cryptocurrency prices when the market is down but the USDT must also be in our own wallet, don't let the USDT be hacked or frozen by CEO Paolo Arduino.
In my opinion, if one day the market enters Bearish, replacing it with USDT is a wise choice. Don't let our Bitcoin assets go down, our USDT disappears in the wallet or our USDT is frozen.

[densus88]

Globally I think that USDT or stable coins have the opposite function to cryptocurrency because its algorithmic system stabilizes the price 1:1 with USD. While cryptocurrencies like Bitcoin if they have entered the market, the price will definitely go up and down and cannot be controlled by anyone.
The presence of USDT stable coins can change a game that used to be cryptocurrency whose price always changed every time and the presence of USDT cryptocurrency is actually stable and can also change the profits and losses from price changes in BTCxUSDT trading.

holding USDT is even better for an investor especially in the bear season because you get to maintain your wealth's value while holding cryptocurrency could be hurtful.

the algorithmic stablecoin is actually risky if you have heard of the LUNA project which their stablecoin was de-pegged in the defi platform. probably the reason why the algorithmic stablecoin isn't attractive to use anymore all because of that tragic LUNA project.

stable coins are indeed a way to save our asset portfolio when the market is down, we can choose USDT or USDC according to our respective preferences.
I also often do that when the market tends to go down, and it will likely take a long time to wait / When some potential coins drop in price, I will buy those coins.

[Report]

-
The presence of USDT stable coins can change a game that used to be cryptocurrency whose price always changed every time and the presence of USDT cryptocurrency is actually stable and can also change the profits and losses from price changes in BTCxUSDT trading.

holding USDT is even better for an investor especially in the bear season because you get to maintain your wealth's value while holding cryptocurrency could be hurtful.
-

stable coins are indeed a way to save our asset portfolio when the market is down, we can choose USDT or USDC according to our respective preferences.
I also often do that when the market tends to go down, and it will likely take a long time to wait / When some potential coins drop in price, I will buy those coins.

Doesn't holding BTC also affect the portfolio when the price drops?
Only altcoin trading must always be paired with BTC, for example, you have a capital of 3 Bitcoins and 1 Bitcoin is used as capital for trading with Ethereum.
If Bitcoin drops in price, the 2 BTC are still 2 BTC and the 1 BTC drops in price because the value of Ethereum drops, for example, buying at a price of 2000 dollars and dropping to a price of 1000 dollars. Your BTC will definitely drop to 0.5 BTC, right?

One more thing, in this unclear and unpredictable cryptocurrency market, do you know when Bearish will occur?

[Mia Chloe]

I also often do that when the market tends to go down, and it will likely take a long time to wait / When some potential coins drop in price, I will buy those coins.

Yeah aside from using them to trade, I sometimes use them to escape dynamic rates . That's because there are sometimes you just can't afford dump in the slightest though chances could have a pump instead and that's another scenario where stable coins come to play.

I would have mentioned fees too but it's been long since I felt a fee problem to be honest.