The goal of both trader and investor is to make more profit from their trade or investment, but this two are usually mistaken for each other, in my own case I used to think I was both a trader and investor untill I sat down to actually have a rethink about who I am and my activities in the crypto system, of course there are very big difference between the two. Well the reason for me putting this out is that I feel that some us can be making the same mistake like myself, so I believe this will help someone to understand better especially if you are new to the crypto system.although trading and investment might not just be about cryptocurrency, there could be other areas such as forex, buying of shares and many more.
So starting with an investor, is someone who thinks of long-term when buy into either stock market , cryptos , forex and so many more, yeah this is exactly what I do because I invest in cryptos with long term vision, but a trader doesn't have a long term vision ,a traders main aim is to make whatever he can during every single day trade. Most traders trades on a daily basis and some might last months.
Another area that differenciate an investor from a trader is the risk involved, for those of us that are in the cryptos system and have invested in some cryptos , you will definitely understand the risk involved, unlike traders who are face with daily fluctuation of the market which thus helps the trader to have high tolerance for the risk but as an investor, we are faced with more risk because the daily market circle doesn't really have any big impact.although it depends on the sector of investment you have choose to invest in.
Another difference is the system of approach,traders mostly profit from price movement, they usually buy when the price is low and sell when the price is high so they are regularly monitoring the market to identify the best time to trade but as an investor the reverse is the case because an investor think of long term so he's not bordered about the short profit because all he's after is the large profit that comes after the long term wait.
Note, the goal of both the investor and the trader is to make money.