Making profit with a bubble

[Questat]

I'm not trying to predict the future, I'm just trying to be honest myself considering that this cycle will come to an end (as always did before), but that could represent an opportunity too, for instance, with a short position opened at the right time (I know that I could appear like a complete fool who is trying to imitate Michael Burry in 2008).


What's your idea about that?

It won't ever last, that is the reality. It had a pump now and it will naturally dump someday, find this a usual market cycle, and we don't just know about this but we are truly aware that this certainly has to come whether we like it or not. That is why it is too risky when buying coins during the hype as there is a huge chance that we lose if we don't sell it when it finally reaches its peak. And in fact, many people had missed their time to do this for they are about to think more pumps to come neglecting the possibility of the sudden correction.

[Fesatmas]

Everyone took advantage of the benefits according to the conditions that looked quite good. There is no mistaking that when continued fluctuations take profits means ending ownership. There is no need to hold long term if you already predict the market will always vary significantly up and down. As a trader, you have to take advantage of the momentum, and take the opportunity again when there is a correction. It always leaves a gap for traders to see a common ground for buying buy back orders.

[Ziskinberg]

It has to admit that we use to take advantage of the situation and having this volatility makes traders become profitable but somehow, it is also the reason for new traders to lose. This is how important to have TA, a sort of market analysis that could help to identify when to buy and when to sell. Of course, it won't be 100% accurate due to the unpredictable market but at least, we have some basis, and sometimes it works actually. But even without using TA, if we are able to use our common sense, we probably know that buying during the bullish season corresponds to higher risk as well which it was most prepared to start during the bear season.

[blockman]

I don’t think this is a bubble, for me this is a trend on a normal cycle where every pump, price correction will start to happen and no one can stop that because its necessary so for you to make profit, you should know how to do it properly. Don’t be afraid to sell, and just think that there’s another opportunity waiting for you instead of being greedy to hold and earn nothing because the market started the corrections already. We are in cryptomarket  and everything is possible, I’ll choose to take profit always.

There are descriptions that whenever the market is too high, there are people depicting it as a bubble. Bubble or not, the fact is that the market has gone through and conservative investors see that there's a likelihood that it may drop a lot anytime soon.
But as we look at the whole year, there's a massive drop that has happened so I think it's able to sustain the high price that we have. The usual pattern we see is when it drops heavily, it will take time to recover. However, for this year, the heavy correction has recovered so fast.

[kawetsriyanto]

There’s no market that will always go up, you should anticipate the dump trend and do the necessary actions so taking profit is advisable and this is how trading works.

Yes, there is the time for the end of Bullrun (bullish trend). We have experienced the bullish for many months, some experts have predicted December probably the end of this Bullrun. So, we must prepare to take profits before December comes, or take profits as soon as possible in the early of December. But trading activity can continue even it is in a bearish market, there is always many chances to take profits. Taking profits soon, mostly addressed to people that invest their tokens/coins for a long time.

[chaser15]

Just take profit once we think it's the right time to do it. Holding will not increase the number of our coins. It should be circulated so we can get more once the price got dipped. It's not always that a bull trend will happen. There's always a crash in the midst of a strong bull trend. Just a matter of patience on waiting when it will happen.

It's better not to be FOMO during the hype. Rather like to miss that 1st train and wait for the next one instead of going after it where the distance is far.

[adaseb]

It’s hard to predict the top. Did you think $20k would be the top? No we assumed $10K would be the top. Same with $64K, everybody assumed $50 I would be the top. Now it’s no different, people are expecting $100K to be the top and most likely it’ll either go to like $95K or blow right past $100k.

You can use funding basis to predict tops however in a strong trend most of the time you exit way too early. The funding in early 2021 kept increasing and increasing from Jan all the way to the peak in April. Funding was nuts April something like 50% annualized. That means the top is very near.

[michellee]

As long as you can use the moment to make a profit, you will be fine. The price will always go up and down and maybe that could be like a bubble. So when you can sell at a high price and calm down for a while to wait for the bubble to be blown, you will see the right time to buy back again.

That happens not just for bitcoin, but it happens with altcoin, especially the altcoin that can increase back later. But it is hard to know when the price reaches the high price as we can only guess the high price without knowing the real.

[AakZaki]

When a bubble occurs in crypto all the altcoins start to rise and more FOMO occurs. Good opportunity for coin holders who bought at pre-bubble prices. When the Bitcoin bubble, there will be many new investors who start to enter so that Bitcoin can reach new ATH. There will be many benefits to be had. Take Profit a few percent to save capital it would be better than having to wait for the highest price which would be very risky flash dump.
use the bubble opportunity well and get out when the money is right. Don't be too greedy.

[LUCKMCFLY]

This is nothing new, if we go back to the 1800s when the stock market was with market spectators like Richard Wyckoff, Jesse Livermore, there were many scams that people made money, one of the most common was tulips, obviously there they earned a lot money, and finally those who took everything won more, then the last scam in the 1990s which was when they invented the project of capturing the smell through the internet.

Currently there are people who take money from scam projects, they already know how to do it and in fact there are people who only look for scam projects to get money, it is incredible, but on YouTube there are many youtubers who are traders who do this technique.

[TheUltraElite]

I'm not trying to predict the future, I'm just trying to be honest myself considering that this cycle will come to an end (as always did before), but that could represent an opportunity too, for instance, with a short position opened at the right time (I know that I could appear like a complete fool who is trying to imitate Michael Burry in 2008).

To be honest, nobody really knows how low the dump bring the price or when the dump will happen. Theoretically one can short at that correct time and gain a lot of money, but dreaming of doing so is similar to dreaming of hitting the jackpot. You would very likely miss it. But there is nothing to be disheartened of, there will be ups and downs in the market. You can cycle your money effectively in these and churn out cash in every interval.

Taking a short at this time is risky, go for it if you are having the guts to back yourself and enough money at hand to cover your losses. But keep in mind that long/short are a type of gambling, do not gamble what you cannot afford to lose.

[Ararbermas]

For me making short position and sell off if you already have good profits is the best strategy in my personal opinion wherein to prevent massive dump from the bubble. Because instead you can make profits in it there's a chance of massive losses if you just riding your greediness.. Better to be smart because all the hypes in the market didn't last wherein its more on correction than ups remember that, and lastly its always good to take the opportunity than missing it..

[Nhor1011]

Making profit with a bubble is great but be careful because that is very risky. If you already have a profit secure it and wait the massive dump before buying again. Hypecoins are profitable but can't stay longer in crypto market.

[checkmatesir]

My opinion for the traders is always that they should take the profit from the market and then leave at a site, but most of the people due to their greed losses their most of the money, I always suggest that whether your profit is small or great then it will give you more profit, as I had seen a lot of people doing mistake in following other strategies.

[DarkDays]

I'm not trying to predict the future, I'm just trying to be honest myself considering that this cycle will come to an end (as always did before), but that could represent an opportunity too, for instance, with a short position opened at the right time (I know that I could appear like a complete fool who is trying to imitate Michael Burry in 2008).

I think it is natural to think that markets will eventually retrace. Sure, in everyone's minds now is when will that happen and the best way to prepare for that is to devise a plan now and put it into action then. Nobody has perfect timing but if paying close attention you will find a few signs.

Just because some people plan ahead doesn't make them negative but realistic with real expectations, grabbing the available opportunities before the unprepared ones.

[ShowOff]

History will probably repeat itself especially for the bitcoin price. I might be a little worried about the bitcoin price going back below $30k if the end of the year or the beginning of 2022 it doesn't hit $100k. The support so far will have a big impact on the price so we stay between $60K, but if we can't get past ATH $67K for some time then the correction will happen again. Anything can still happen including massive dumping of bitcoins when whale and institutional investors want to secure their profit in fiat.

[lixer]

I'm not trying to predict the future, I'm just trying to be honest myself considering that this cycle will come to an end (as always did before), but that could represent an opportunity too, for instance, with a short position opened at the right time

Unfortunately for shorting also you must need to predict the future. It means even you are going to sell first you need technical analysis so that you can find out at what price levels you need to sell and then you may start waiting for buying back. I am not seeing any big differences from your approach than what people are usually doing like buying at low and then selling at high. Literally both are same.

Moreover making profits in the bullish trend is more easier than waiting for big peak level and then selling and then waiting for buying back. Otherwise you can go for making profits on both the direction of market instead of targeting only one direction.

[Mahanton]

I'm not trying to predict the future, I'm just trying to be honest myself considering that this cycle will come to an end (as always did before), but that could represent an opportunity too, for instance, with a short position opened at the right time (I know that I could appear like a complete fool who is trying to imitate Michael Burry in 2008).

I think it is natural to think that markets will eventually retrace. Sure, in everyone's minds now is when will that happen and the best way to prepare for that is to devise a plan now and put it into action then. Nobody has perfect timing but if paying close attention you will find a few signs.

Just because some people plan ahead doesn't make them negative but realistic with real expectations, grabbing the available opportunities before the unprepared ones.

Retracement or corrections would definitely happen no matter how things we would do because prices cant really just move up forever and theres always a breaking point
on that which basically means that you do need to get out before that happens which means you do really need to be clever on how you do take advantage of things because
once you do get caught on a dump then you would really be ending up on holding for long term or like forever because price neither do recover or would stay that low
for a very long time.

[SquallLeonhart]

Moreover making profits in the bullish trend is more easier than waiting for big peak level and then selling and then waiting for buying back. Otherwise you can go for making profits on both the direction of market instead of targeting only one direction.

I will not suggest anyone to go for making profits on both the direction of market because it will intensify your risk levels but buying and selling must be the easiest way for the case of bitcoin markets to make assured profits. I agree that you are suggesting that because OP was mentioning about selling from the peak price level still that must be a different case than going for shorting and longing on the same market because you need very strong technical analysis to ride on the swings of the market.

Simply we can go for buying right now and then holding till end of this year then we can make decent profits for even small investment right now but if you are trying to catch swings of the market then you will end up losing your capital which is the reason I never suggest to go for swing trading.

[matchi2011]

For me making short position and sell off if you already have good profits is the best strategy in my personal opinion wherein to prevent massive dump from the bubble. Because instead you can make profits in it there's a chance of massive losses if you just riding your greediness.. Better to be smart because all the hypes in the market didn't last wherein its more on correction than ups remember that, and lastly its always good to take the opportunity than missing it..

Not going too much greedy will help you to enjoy riding with the bubble, there are many cases where traders
get too much greed and instead of riding with profits, they ended up losing their money; you need to be
quick when you see that you already gain from your investment, it's a tough call to make, but better to have
a little profits than suffer from a great loss when massive dump start to show, you can't avoid that quick
fall and most of the time it's a hard one after the pumped.