This 33-year-old invested his savings in the meme cryptocurrency with inspiration from Elon Musk
After learning about the meme cryptocurrency on Reddit, Contessoto says he invested over $180,000 in dogecoin on Feb. 5, when it was priced at about 4.5 cents.
Contessoto (who works at a music company in Los Angeles) says he didn’t have disposable income to buy dogecoin, so he took a huge risk. Contessoto not only used all his savings, but he also sold all the stock he owned, including shares of Tesla and Uber, and invested on margin by borrowing money from Robinhood via the app, he says.
I hope he has the sense to join Babypips and learn something about position sizing management. If not, he may be back in the poor house sooner than it takes Jo Bidon to double taxes.
That’s how Soros helped break the BOE. Complete faith in his market analysis. What many people don’t know is that he was carrying a huge negative position until the BOE capitulated.
I’d say good luck to Doggo, but he is not exactly my role model, as he’s advertising to newbies that it’s easy to make money - which is far from reality. But try and tell newbies that - they’d rather believe in social media sirens.
Technically, it was Stan Druckenmiller, who was running Soros’ Quantum Fund, who actually came up with the idea to bet against the pound. Soros’s role was to simply ask him to increase the position size.
And although the trade was highly levered, according to Druck, their downside risk was none. The trade was structured in a way where they would either end up with a huge profit or break even.
So comparing their trade to this dude’s DOGE trade is probably a bit much.
Perhaps you could explain why there was no downside risk. Was it hedged? As for DOGE, well he got lucky, but I do respect his belief. Perhaps he is a time traveller…
That is an incredible story, but I think we shouldn’t forget that for every guy like this, there are are ten other guys who lose everything when they do that.
Just the sort of “useful news” one might expect to see on CNBC (not).
I was just reading last night that is the same reason there are so many lottery ticket buyers. Growing up really poor is a relative thing. I always say that the reason I was so happy as a child is that I did not know my parents were poor. Whilst it is a “feelgood” piece of news, it reminds me of talking to young people as the governor of a high school. It seemed that the majority of young people wanted to be famous (success being measured by how many followers you have on Facebook in the noughties), and all aspired to either being a Wayne Rooney, or winning X Factor. When I pointed out they had probably one chance in one million, they said that I was raining on their dreams, and they should be able to have their dreams. I didn’t have the heart to tell them that in just a few years, most of their parents will have exhausted their over-protection of their offspring and be in the poor house like them.
Unfortunately, when one grows up poor their finance management skills are less than zero and retaining funds becomes impossible, even when they do get money.
This is what happens in the cryptocurrency market. I just hope he keeps using his strategies and trading techniques the same way in the future or else he might go back to where he started.This is what happens in the cryptocurrency market. I just hope he keeps using his strategies and trading techniques the same way in the future or else he might go back to where he started.
This is what happens in the cryptocurrency market. I just hope he keeps using his strategies and trading techniques the same way in the future or else he might go back to where he started.
