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Trading Crypto In Your Parents’ Basement Isn’t That Bad

Trading Crypto In Your Parents’ Basement Isn’t That Bad

By CMM Team - 24-Jan-2024

Trading is a legitimate profession like any other. But crypto traders are meme’d in ways other traders are not.

Anyone who trades and invests in crypto has more or less embraced the meme of “trading from your parents’ basement” unlike the average Wall Street investor sitting in a downtown office. But trading from the basement isn’t all that bad. In fact, it can be a uniquely productive environment. The purpose of this short article is to put the meme aside and explain a few tips for optimizing a basement setting for peak trading performance.

Step 1: Create a productive environment.

In an office or in a basement, having the right environment to do business in the market is essential. Whether the issue is lighting, clutter, temperature, noise, or anything else, traders should focus on making sure they are able to enjoy a relaxing and peaceful environment that fully supports their focus on analyzing and reacting to the market.

Temperature, music, lighting and other environmental elements definitely affect performance. Read more in this post on the CMM trading blog. And consider what parts of the basement need to change to improve profitability!

Step 2: Treat trading like a business.

Just because a trader isn’t sitting in an office doesn’t mean their work isn’t business. For any trader, their performance will only be as serious as they make it. Do not get too comfortable and lackadaisical in a downstairs trading ten. The “work from home” nature of trading may seem glamorous, but it requires focus, order, and determination to make trading into a primary source of income.

Before leaving the basement office, moreover, traders should dedicate a few minutes at the end of each trading day to a mental walkthrough of their performance from that day and their plans for tomorrow. Leave the “office” ready to return in the morning…even if “morning” means waking up at noon.

Step 3: Remember to stretch.

Traders should always stretch. Traders should stay hydrated. Traders should maybe even meditate or get a dog and walk it. It’s important to not sit and stare at charts all day. Keeping a clear head by getting outside (or just away from the charts into another room) for a few minutes at a time throughout the day is incredibly valuable. Take breaks and achieve brief periods of separation from the charts. 

In general, health science is an underappreciated edge in trading. Crypto “degen” traders are often stereotyped as unhealthy urchins, but it is possible to be a degen and stay healthy. Read more about the effects of health on trading here

Step 4: Distractions are okay.

Taking a break from trading doesn’t always mean walking the dog. YouTube rabbit holes, group chat banter, or the PS5 are also great distractions. Trading requires a lot of focus, but it usually lasts for relatively short periods of time. In between those periods of hyper focus comes time to recharge and reset, which usually means choosing a distraction and enjoying it. Of course, being distracted during trading periods is far from productive. But after staying focused on the market, traders should remember to distract themselves with something else until it’s time to focus on the charts again. x

Step 5: Communicate with your family.

Unless a trader lives alone in their own basement watching charts, they probably have other humans in their home who deserve periodic communication to preserve a friendly environment that fosters mental clarity and concentration. It’s okay and sometimes even necessary to calmly and clearly explain how and when a trader works and the benefits of preserving a calm, comfortable work space…in the basement or wherever. Traders can make it easier on themselves by making it easy for their housemates to understand their schedule, workloads, and habits for performing well in the market.

Regardless of a trader’s living situation, moreover, it’s also important to leave personal things outside of the work environment just like they would if they commuted to an office. Trading is no different, even when it happens at home. Focus on work in the work space and enjoy personal life outside of it.