Biggest Crypto Mistake: Shorting Bitcoin

[Kemarit]

Sure, you might snag a few wins, but in the long run, you WILL get rekt.

Bitcoin is an unstoppable train. If you don't believe in its power, don't hop on.

But here's the golden rule: Never bet against Bitcoin.

Isn't it obvious though? but there are those individuals who goes, what I mean is that they could have sold Bitcoin early and stay away specially if we hit the bear market. But on the other hand, there are smart investors who goes and accumulation on that cycle and then wait for the bull to sell and make profits.

And without those who sell, market might not be this liquid, so it's good to us that some of us will get REKT, learn their mistakes and then comeback with a different strategy. But then it will be cyclical, as there will be newbies in the market that don't know how to play the game.

[GreatArkansas]

Sure, you might snag a few wins, but in the long run, you WILL get rekt.

Bitcoin is an unstoppable train. If you don't believe in its power, don't hop on.

But here's the golden rule: Never bet against Bitcoin.

Well, I am against this, because if you are a trader you must be not biased. If your analysis is against Bitcoin and you identified to short Bitcoin in x period of time, then you will execute it. That's how good trader trade, no bias, and have dedication whenever what will comes in technical or fundamental analysis.

[Cookdata]

Sure, you might snag a few wins, but in the long run, you WILL get rekt.

Bitcoin is an unstoppable train. If you don't believe in its power, don't hop on.

But here's the golden rule: Never bet against Bitcoin.

There are people that are actually good with shorting the market and it work very well them but here is something you need to understand about the market, time is everything you need to open a position in the market, when we are in the bull run, there are more opportunities of long position for market to go up more often than for it to go down and most of the times it quickly retrace anytime the market dump but there is risk as well.

Likewise it's healthy to short a market during a beer run, this is when you tend to make more money and it has it own risk, if you don't have liquidation price far from your mark price, you will lose money quickly because there are times we do have market squeeze when beers and bulls tend to liquidate each other account and it's the exchange that enjoys the fees been burnt for this operations.

[Dr.Bitcoin_Strange]

One character of Bitcoin is volatility. Experts who are already experienced with price movement are the people that short Bitcoin and they do make profit from it but they also run lose sometimes. New investors should not take such risk unless they already have an experience investors who is backing them up.

For new investors, best option is to start accumulation during bear market and  hold till a bull season when they can take profit.

[Hamza2424]

Sure, you might snag a few wins, but in the long run, you WILL get rekt.

Bitcoin is an unstoppable train. If you don't believe in its power, don't hop on.

But here's the golden rule: Never bet against Bitcoin.

Hmm, I don't think it needs to be mentioned Bitcoin's potential especially don't Bitcointalk except for a few idiots, at the same time in my view betting is not a good habit you need to learn about market price action and phycology especially because betting is HAram haha, and super dangerous for the precious funds.

OP I won't even recommend anyone to long or short in leverage for Bitcoin or any other asset because you don't have control and ownership in prepertual trading, if you've taken a position in spot even if you are in loss aginst your value, it wont be considered as loss until or unless you take an exit from market.

[boyptc]

For new investors, best option is to start accumulation during bear market and  hold till a bull season when they can take profit.

But they have to wait again for that time but if they can wait for the bear market, it's going to take two years or near to that.

That's all what they can do with the market for them to start buying at the right time. Those that are going to make this bull run, they're the ones that have accumulated on 2022.

Now, the bull run has started and everyone has to wait that have missed it on 2026 which is likely the bear market.

[justdimin]

There are people that are actually good with shorting the market and it work very well them but here is something you need to understand about the market, time is everything you need to open a position in the market, when we are in the bull run, there are more opportunities of long position for market to go up more often than for it to go down and most of the times it quickly retrace anytime the market dump but there is risk as well.

Likewise it's healthy to short a market during a beer run, this is when you tend to make more money and it has it own risk, if you don't have liquidation price far from your mark price, you will lose money quickly because there are times we do have market squeeze when beers and bulls tend to liquidate each other account and it's the exchange that enjoys the fees been burnt for this operations.

Making that kind of profit from shorting isn't that common, and we should consider that when we are talking about this. I am not saying it is not possible, of course it is possible and can be done, it is just not that common and because of that it is not suggested. Obviously if you are great at what you do then you could make a good profit, and you should probably consider that as your main source of income if you are good at it because one can make so much profit from it.

However, if you do not know what you are doing, or haven't made a profit from it so far, then I would suggest staying away from it because you could lose so much more and very quickly as well, I have seen people lose entire savings in under an hour.

[shinratensei_]

Sure, you might snag a few wins, but in the long run, you WILL get rekt.

Bitcoin is an unstoppable train. If you don't believe in its power, don't hop on.

But here's the golden rule: Never bet against Bitcoin.

Many people will disagree with you because in this market, there are two sides of movements, up and down. There are different times when market will have liquidations on either up or down way, with Short squeeze or Long squeeze respectively.

It's not rare to see both Long and Short squeezes within couple of minutes in this volatile market.

The bottom line is not bet against Bitcoin, I see you meant don't short against Bitcoin, but "Don't use leverage in Bitcoin market, for either Long or Short positions".

Liquidation data https://www.coinglass.com/LiquidationData

the short squeeze and long squeeze isn't really a problem when we don't over leverage and set tolerance against these kind of things, all the price swing so far that I've seen never ever liquidate people with leverage below 3x beyond that its exposed to the short or long squeeze but if we're talking about don't bet against bitcoin it does make sense, the fact that bitcoin keep increase its all time high means people that shorted bitcoin are just making temporary profit amidst the chaos like the sudden price pullback but will eventually caught up with the price pump and being margin called eventually if they keep shorting against bitcoin, they are not playing the long term game, they just playing the short game and will sees mediocre profit from their shorting activities.

longing bitcoin is what makes people rich these days, the people that longed bitcoin from the day of bearish probably making a ton, the people that don't over leverage are rather spared against the long squeeze and they can have peace of mind.
so shorting bitcoin is not a great strategy for long term. well it never was.

[Mr. Magkaisa]

Sure, you might snag a few wins, but in the long run, you WILL get rekt.

Bitcoin is an unstoppable train. If you don't believe in its power, don't hop on.

But here's the golden rule: Never bet against Bitcoin.

        -    You know how many times I have read it here in our forum that bitcoin is more than 100% proven and tested in the long term. It is impossible for you to earn anything there after a few years, especially if 1 year before the bull run started. If you save bitcoin, you will definitely have something to grow on your capital after 1 or 2 years.

And what one of our colleagues here said is also right: if the timing we chose is right, for sure the profit we will experience and get from our holdings is also good. And if the timing is wrong, then you can lose, depending on the situation.

[Gaza13]

It is cool when professional traders are trading and making profit from shorts no matter how little it is. What I am concerned is the newbies that just got into the crypto space, who does not have the knowledge about the market jump into trading and loss all their capital. Such people should stay away from trading, because it is easy to be a long-term hodler than short-term. Bitcoin market is risky and needs solid trading skills to survive in the market.

Yes, this is what makes everyone want to become a professional trader by seeing their activities and getting enough profits from there. It's true what you say, being a long term investor is much better than short term which has much greater risk than long term. What you mentioned above is really not recommended or recommended for beginners to jump straight into the market without being equipped with knowledge, and if they force it of course they will lose a lot of their money. Yes, it is best if someone is new or wants to enter the world of trading, you should first study the various types of indicators that are often used by professionals to provide you with basic knowledge to start trading.

[Catenaccio]

Sure, you might snag a few wins, but in the long run, you WILL get rekt.

Bitcoin is an unstoppable train. If you don't believe in its power, don't hop on.

But here's the golden rule: Never bet against Bitcoin.

Bitcoin stops many times and in bull run, it has many corrections, draw downs. If you short Bitcoin around its correction, you will get profit and remember an important thing if you open a short position. Short position is for a short period of holding that position so don't make a short position and let it opens for some days, weeks, you will definitely get rekt.

Time is important with short positions but best is don't use leverage. Because you can not short Bitcoin if you use Spot trading which is a trading type you should use, not leverage trading or futures trading.

You can let your position opens a long time with Long but never do this with Short. Generally it is more true to say with leveraged positions, you should not let your positions open too long time like some days or weeks.