Re:The cryptocurrency sell-off has exposed those swimming naked
by lupire on Friday May 20, 2022 @08:06AM
(#31446199)
You can't buy the dip during a peak. PP got a loan at 50 which is a bearish trade, halfway to shorting.
Re:The cryptocurrency sell-off has exposed those swimming naked
by rvz on Friday May 20, 2022 @08:54AM
(#31446732)
> You can't buy the dip during a peak.
The people who bought in at around >$40K and higher just did that and are now bag-holding in drawdown.
> PP got a loan at 50 which is a bearish trade, halfway to shorting.
Well no wonder they received multiple margin calls when the smart traders were taking profits or shorting from >$60K with him ending up on the wrong side of the trade or entering at higher prices and holding into unrealised losses.
> Just an example last year I had a target of $150k when it was at $50k, and also (like most people) I got a BTC based loan (it made sense for tax purposes as well).
That doesn't sound like a good idea in the middle of a bull run and everyone being in profit on Bitcoin when it was at $50K last year or even $69K. I have a different strategy - taking profits and taking advantage of the hype.
It's better to get in when the market crashes so that you can buy it significantly lower, (Like say <$10K) and sell some of it during the height of the euphoria, than it is to enter when everything is going up and end up bag-holding and waiting months, or years in an unrealised loss for it to go back up again.
Hence being against anyone jumping in at >$60K last year [0] and warning another person about DOGE going all the way up and bag-holding it at $0.6; thinking that it will go to $1 by August. [0]
Anyways, Good luck with your strategy.
[0] https://news.ycombinator.com/item?id=27206314
[1] https://news.ycombinator.com/item?id=27046019