Now is the time to go all-in with maximum leverage

[Dafar]

I sold both kidneys yesterday and used the cash to leverage up 20x on bitcoin

What does leverage up 20x on bitcoin mean?

I understand what plain simple buying bitcoins means, but what's leverage?

edit

I looked it up in the dictionary, which said

Investing with borrowed money as a way to amplify potential gains (at the risk of greater losses)

Is that all it means, buying bitcoins with borrowed money?

Came here to ask this... what the fuck are you douche bags talking about? Just throwing in buzz words to sound smart?

[piramida]

leverage in simple terms: you want to go long leveraged x10, you give the exchange your $1000 and they buy bitcoins for you with borrowed $10,000. You are free to sell whenever you want, so you get x10 profits if bitcoins go up (you return 10k when you sell, obviously). With one catch - if "your" bitcoins value ever goes down to $9000, it will be sold immediately (usually a little bit earlier to account for slippage), so exchange will have their 10,000 back (9k from sell plus your initial investment).

So, while lucrative to make more money than your deposit otherwise allows, it is *extremely* risky and *extremely* stupid in a volatile markets such as this one. Your deposit will get wiped ("margin call"ed), sooner or later. Don't do it.

If you just buy, i.e. leverage = 1, you can easily live through prices dropping to $1 per coin and come back a winner. With x20 leverage, you will lose all when the prices drop 5%. It is not much different from taking all your money and throwing them at red in roulette several times in a row.

[zakalwe]

leverage in simple terms: you want to go long leveraged x10, you give the exchange your $1000 and they buy bitcoins for you with borrowed $10,000. You are free to sell whenever you want, so you get x10 profits if bitcoins go up (you return 10k when you sell, obviously). With one catch - if "your" bitcoins value ever goes down to $9000, it will be sold immediately (usually a little bit earlier to account for slippage), so exchange will have their 10,000 back (9k from sell plus your initial investment).

So, while lucrative to make more money than your deposit otherwise allows, it is *extremely* risky and *extremely* stupid in a volatile markets such as this one. Your deposit will get wiped ("margin call"ed), sooner or later. Don't do it.

If you just buy, i.e. leverage = 1, you can easily live through prices dropping to $1 per coin and come back a winner. With x20 leverage, you will lose all when the prices drop 5%.

The best and wise advice I have seen on this thread since 2011.

And in this sea of bullshit, trolls, and worthless human being writing here, it deserves a major attention. Well wrote.

[otto93]

leverage in simple terms: you want to go long leveraged x10, you give the exchange your $1000 and they buy bitcoins for you with borrowed $10,000. You are free to sell whenever you want, so you get x10 profits if bitcoins go up (you return 10k when you sell, obviously). With one catch - if "your" bitcoins value ever goes down to $9000, it will be sold immediately (usually a little bit earlier to account for slippage), so exchange will have their 10,000 back (9k from sell plus your initial investment).

So, while lucrative to make more money than your deposit otherwise allows, it is *extremely* risky and *extremely* stupid in a volatile markets such as this one. Your deposit will get wiped ("margin call"ed), sooner or later. Don't do it.

If you just buy, i.e. leverage = 1, you can easily live through prices dropping to $1 per coin and come back a winner. With x20 leverage, you will lose all when the prices drop 5%.

The best and wise advice I have seen on this thread since 2011.

And in this sea of bullshit, trolls, and worthless human being writing here, it deserves a major attention. Well wrote.

Thanks for the great explanation and advice. Is margins getting called part of the reason for those huge drops straight down in price that happen every now and again?

[nakaone]

leverage in simple terms: you want to go long leveraged x10, you give the exchange your $1000 and they buy bitcoins for you with borrowed $10,000. You are free to sell whenever you want, so you get x10 profits if bitcoins go up (you return 10k when you sell, obviously). With one catch - if "your" bitcoins value ever goes down to $9000, it will be sold immediately (usually a little bit earlier to account for slippage), so exchange will have their 10,000 back (9k from sell plus your initial investment).

So, while lucrative to make more money than your deposit otherwise allows, it is *extremely* risky and *extremely* stupid in a volatile markets such as this one. Your deposit will get wiped ("margin call"ed), sooner or later. Don't do it.

If you just buy, i.e. leverage = 1, you can easily live through prices dropping to $1 per coin and come back a winner. With x20 leverage, you will lose all when the prices drop 5%.

The best and wise advice I have seen on this thread since 2011.

And in this sea of bullshit, trolls, and worthless human being writing here, it deserves a major attention. Well wrote.

Thanks for the great explanation and advice. Is margins getting called part of the reason for those huge drops straight down in price that happen every now and again?

guys no matter what your objectives and interest in bitcoin is - please do follow this advice.

the moment any serious investors sees that a market is mostly driven by this kind of investment, he does not walk away he RUNS.

edit: is there a good overview about the use of these instruments in bitcoin sphere? I heard some strange stories from china.

[podyx]

leverage in simple terms: you want to go long leveraged x10, you give the exchange your $1000 and they buy bitcoins for you with borrowed $10,000. You are free to sell whenever you want, so you get x10 profits if bitcoins go up (you return 10k when you sell, obviously). With one catch - if "your" bitcoins value ever goes down to $9000, it will be sold immediately (usually a little bit earlier to account for slippage), so exchange will have their 10,000 back (9k from sell plus your initial investment).

So, while lucrative to make more money than your deposit otherwise allows, it is *extremely* risky and *extremely* stupid in a volatile markets such as this one. Your deposit will get wiped ("margin call"ed), sooner or later. Don't do it.

If you just buy, i.e. leverage = 1, you can easily live through prices dropping to $1 per coin and come back a winner. With x20 leverage, you will lose all when the prices drop 5%. It is not much different from taking all your money and throwing them at red in roulette several times in a row.

In that case it sounds good to go with x3 or x4 leverage
I don't think we'll go below 270
I might also go with a x10 leverage with like $800 if we have a beartrap down to ~$335 after we have gone further up

Also how safe is it to get money out of it?? Don't wanna get goxed if I were to make a killing on that site.
Any details on who owns the site and where he lives?

And if I'm going long, do I need to send dollars or do bitcoin work aswell?

[btcxyzzz]

Take a look at the graph from beginning of the year? Is this a turning point? I would say no, we're going to at least 250$ soon.

[blatchcorn]

I am rich fellas 

[piramida]

And if I'm going long, do I need to send dollars or do bitcoin work aswell?

You borrow dollars to go long on BTC, bitcoins to go short. But even with x4 leverage, imagine the price getting to 300 again, you sit within 10% of your margin call, watching the ticker all day, thinking "maybe I should save remaining 10% now while it's not too late". remember, it's not free money, it's free way to no money.

That is why many forex shops won't even post your leveraged positions to the actual market - they know you will lose sooner or later, so why share your deposit with others? They just take it

I am rich fellas 

grats blatch, don't forget to stop playing and convert your win into cold-stored bitcoins

[xmasdobo]

OP, you should at least remind people to put a wise stop loss. Right now it's 320$ and if support at 275$
won't hold after the consolidation ends, it's going to be a landslide, and max leveraged longs will lose all.
If support at 275$ will hold and a double bottom will form, then it may be worth risking max leverage long.

this battle at $300 reminds me very much of the battle at $3. was the same sentiment, the final border etc, if it gets breached all is lost, and of course it did get breached, and went to $2.22 and many things happened after that...

but my point being - now looking back at that month it seems like we were kids playing in a sandbox. $2 $3 who the hell cares should've just bought you MORONS.

True, it doesnt matter much even if it goes to 100. Future gains are way too big to risk a margin of 100-200 dollars at this point.

[derpinheimer]

I am rich fellas 

Yessir, so far your recommendation in OP would have been a great choice

Dont forget to take some profit on the way..