Community post
A beginners guide to trade using USDT
One of my favorite trading techniques is trading against tether.
It's pretty straight forward and very easy to get used to. *Sometimes it feels like clockwork*. Also if you disregard the fact that a lot of people are worried about tether being _not soluble_ and how a tether bust can cause a crash like nothing you have ever seen in the crypto world. Then you have nothing to worry about.But let's not jinx ourselves and dive into the basics of tether trading
First of all, most coins that have a USDT pair are well established coins with relative high amount of volume. I will come back to this point later on. Trading using tether is quite the _opposite_ of normal trading where you *buy* into the coin when you think it's going up and *sell* out of it when you think it's going down. The point is with trading on tether you need to first be a holder of any coin you want to trade against tether.With tether you are selling the highs to buy back more on the lows thus increasing your holdings
So it's not like buying in on the lows and selling to profit on the highs. You sell your coin to USDT when you believe it has made some highs and will be correcting so you can buy more when it goes back down.If you make a bad call, it's not the end of the world
Let's say your coin does a 15% increase and you think this is good profit and decide to tether them so you can buy back more later. But you have not read the news today and you acted without due diligence, and your coin is just getting listed on coinbase, and the 15% increase is just about to be overshadowed with the real bull run. So basically you sold but the coin value kept going higher.Why is this not a big deal?
Two reasons
1.
You can buy back in another USDT pair that has not made any gains yet2.
More often than not *especially in a bear market* if you remain patient the gains will always correct back to a lower level. And almost everytime you can buy back more on the lows.You Just Need To Remain Patient
Do not let your emotions affect your decisions. Also make sure not to tether all your pairs at once. This is like an insurance policy in case the real bull run came and you are tethering your coins. This way you won't be missing out on everything.
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