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ArmandBouillet
Nov 1, 2017 4:58 PM

Bitcoin: Rough Landing Ahead  Short

Bitcoin / DollarBitfinex

Description

As Bitcoin continues it's parabolic ascent through the atmosphere and space it is nearing the moon. There is one problem though - rocket fuel has run out. As it approaches the moon it can no longer counter it's momentum and it's impact with the surface seems more inevitable with each passing minute.

Top (for now) ~ $7000
Target ~ $5100
Stop Loss ~ $7600

Profits = 25%

Comments
ChalifStorch
the latest spikes all started with low volume, and are then fueled by popping short positions. Due to free money expectations, few people are willing to sell, and few people are willing to buy at those high prices. but the strangely cheap interest rates seduce unexperienced people to margin short bitcoin, and when their positions fail to move downwards, they are forced to buy back at higher prices. thats all the fuel needed, and bitcoin will continue to rise at least until fork date, courtesy of little shortsellers. Then, the bubble will pop, because noone will be willing to buy again at around 8000. and lots of bitcoin will go into bitcoin cash, because it does already what segwit promises, only much cheaper in fees, and much faster, even more after its own upgrade. This is not a new phenomenon, you can see the history on bfxdata.com/positions/btcusd, where you see the biggest rises happening in times where there are more short than long positions. I would not be surprised if some exchanges themselves are part of the lucrative game... it is the little shortseller that fuel this with their vanishing dollars.

I am not invested in bitcoin at the moment, so I have no motive to say that: people do yourself a favour and dont short it until the fork :)
digitalscience
Top $7000, stop loss $7600 ? huh?
ArmandBouillet
@digitalscience, thats the approximate top, considering a 3:1 risk reward ratio you can figure out the math
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