Short now = make lots of money?

[Rabo]

Hi,

I have no experience short selling but I debate shorting now. Good idea? Anyone with experience? BTC seems overbought...

[Tzupy]

No, risk is too high, not worth it yet. If in the near future support won't hold and a downtrend will become apparent, then it may be worth and not risky.

[knight22]

Bear market is over so good luck with that.

[tmfp]

Hi,

I have no experience short selling but I debate shorting now. Good idea? Anyone with experience? BTC seems overbought...

There are indicators which can help define whether a market is overbought. I use RSI in daily trading and it proves reliable if read correctly. Many people don't agree that technical analysis is relevant to Bitcoin, I disagree.
This simple chart shows the RSI and Fibionacci retracement indicators for Bitcoin for the last three months.
The retracement lines help to show where bounces within the down trend might reach before failing. As you can see, Bitcoin could rise to around 310 and still have only retraced 50% of the recent move down from the 420+ highs of November.
The dips below the RSI red line show when it became oversold and rallied.
In conventional RSI reading, the downtrend will stay intact until a reading of over 50 is established, currently about 42, a level which has more or less been a lid on it for the last month.

TL:DR
So, no, I don't think it's overbought yet, but it's still in a down trend.
 

[TrollinU]

Bear market is over so good luck with that.

lol Because of a comparison of 2011 and this downtrend? Yeah right. Just like the $339 or $275 bottoms right? Keep watching.

[cypherdoc]

short now and die.

[NotHatinJustTrollin]

Shorting now is risky, picking tops when price is heavily bulltrapping is not a good idea.


If you are in BTC and you wanna take profit sure, but shorting right now is asking for trouble.

[knight22]

Bear market is over so good luck with that.

lol Because of a comparison of 2011 and this downtrend? Yeah right. Just like the $339 or $275 bottoms right? Keep watching.

Please go on and short 

[marvinrouge]

Hi,

I have no experience short selling but I debate shorting now. Good idea? Anyone with experience? BTC seems overbought...

BUY SIGNAL


To da mooon

[Rabo]

Hi,

I have no experience short selling but I debate shorting now. Good idea? Anyone with experience? BTC seems overbought...

There are indicators which can help define whether a market is overbought. I use RSI in daily trading and it proves reliable if read correctly. Many people don't agree that technical analysis is relevant to Bitcoin, I disagree.
This simple chart shows the RSI and Fibionacci retracement indicators for Bitcoin for the last three months.
The retracement lines help to show where bounces within the down trend might reach before failing. As you can see, Bitcoin could rise to around 310 and still have only retraced 50% of the recent move down from the 420+ highs of November.
The dips below the RSI red line show when it became oversold and rallied.
In conventional RSI reading, the downtrend will stay intact until a reading of over 50 is established, currently about 42, a level which has more or less been a lid on it for the last month.

TL:DR
So, no, I don't think it's overbought yet, but it's still in a down trend.
 

https://i.imgur.com/ixyXrOQ.png

Thank you for your reply. Great explanation!

[Rabo]

Ok I short at $245. Wish me luck.

[Dilla]

We need to test $250s, from there we will see if we retest $100s or keep a pace upwards. I really think people who are thinking this is a repeat of 2011 are forgetting how much has changed since 2011. Wall Street is coming soon. I don't think any of the past cycles will matter once they come in. It will be a whole new ball game.

[damnek]

Wall Street is coming soon. I don't think any of the past cycles will matter once they come in. It will be a whole new ball game.

So true.

[Morecoin Freeman]

Ok I short at $245. Wish me luck.

The ballsy thing to do.

[TrollinU]

Bear market is over so good luck with that.

lol Because of a comparison of 2011 and this downtrend? Yeah right. Just like the $339 or $275 bottoms right? Keep watching.

Please go on and short 

I'm not shorting right now, but the bear market is not over yet. I'll wait for the top of this sucker rally. Should be soon.

We need to test $250s, from there we will see if we retest $100s or keep a pace upwards. I really think people who are thinking this is a repeat of 2011 are forgetting how much has changed since 2011. Wall Street is coming soon. I don't think any of the past cycles will matter once they come in. It will be a whole new ball game.

If it's part of the historical price, it matters. Wall street isn't coming soon. At least not "soon" like the soon in my reply to knight22.


And the circlejerk begins.   A little early to celebrate don't ya think? We aren't even out of the $200s

[AtheistAKASaneBrain]

Ok I short at $245. Wish me luck.

You sold at 245, means you have a safe margin to make 40 dollars as I expect another test of 200ish waters.. lower than that and you are on risk, still doable at 200-170, lower than that and then you require balls of steel to hold on fiat. Just my view.

[SirChiko]

Ok I short at $245. Wish me luck.

With a bit of luck you will success but you will probably loose alot.

[tmfp]

Ok I short at $245. Wish me luck.

Do you have an exit strategy? Never open a trade without one.
At what level of loss will you accept your original decision was wrong and get out?

I ask because the 1 hour chart is quite interesting.
I can see the logic of shorting it now, because it is currently again attempting to break through the 238/240 previous highs and should it not be third time lucky and fail again, then it would be likely to test support around 225.
But you are talking about selling at a level just above resistance, after it has broken through: not a good idea.

[Rabo]

Ok I short at $245. Wish me luck.

Do you have an exit strategy? Never open a trade without one.
At what level of loss will you accept your original decision was wrong and get out?

No exit strategy. I'm really brave.
Plan on taking profit around $230.

[tmfp]

No exit strategy. I'm really brave  stupid.

FTFY