Why it is so funny when bitcoin holders get mad at bears
It is not just because as Buffett said they are not investing but gambling. It is much more ironic than this.
Bitcoin has been going not just back to zero but even BELOW zero every time. And people still cheer.
Compare this to:
Meanwhile the crypto...
If it drops they will say they do not care they're in for the long run. And I believe them.
If it goes up then drops they will say they do not care it went up so much they were in the green. And I believe them.
It's obvious why we believe them. Because they are noobs. The price goes up they will snatch profit instantly. The price goes down they will hold on forever. Nothing new. They did not invent this. Every terrible investor has been doing the same forever.
GME had only buyers, then Citadel data shows the buyers stopped coming, and when they were all in, it dropped back to the zero line and beyond (below where it started).
It is the same thing for short sellers, that had their fun for long. Melvin took one for the team.
Today, 5 years later, Bitcoin is only just at the 2016 trendline.
And you know it would be much more fun for bulls to be testing it from above after evil shorts sold than from below after they went all in.
Even if BTC goes to 100k it won't be far above the TL, and I bet it will drop below soon enough.
The price is arbitrary it's only what buyers and sellers are agreeing on. There is no hard limit up or down (remember Oil?).
When the price trends, in a rational market, buyers agree more to buy around the trendline/fundamental value/support, and sellers are getting more open to the idea of selling when the price is far from the trendline.
So yes, Bitcoin could be at 2 million today. Although at some point people would cash out and retire. It would be higher than 50k that I am certain of.
So each time you see Bitcoin holders celebrate or get angry at sellers, remember to laugh.
Bitcoin has been going not just back to zero but even BELOW zero every time. And people still cheer.
Compare this to:
Meanwhile the crypto...
If it drops they will say they do not care they're in for the long run. And I believe them.
If it goes up then drops they will say they do not care it went up so much they were in the green. And I believe them.
It's obvious why we believe them. Because they are noobs. The price goes up they will snatch profit instantly. The price goes down they will hold on forever. Nothing new. They did not invent this. Every terrible investor has been doing the same forever.
GME had only buyers, then Citadel data shows the buyers stopped coming, and when they were all in, it dropped back to the zero line and beyond (below where it started).
It is the same thing for short sellers, that had their fun for long. Melvin took one for the team.
Today, 5 years later, Bitcoin is only just at the 2016 trendline.
And you know it would be much more fun for bulls to be testing it from above after evil shorts sold than from below after they went all in.
Even if BTC goes to 100k it won't be far above the TL, and I bet it will drop below soon enough.
The price is arbitrary it's only what buyers and sellers are agreeing on. There is no hard limit up or down (remember Oil?).
When the price trends, in a rational market, buyers agree more to buy around the trendline/fundamental value/support, and sellers are getting more open to the idea of selling when the price is far from the trendline.
So yes, Bitcoin could be at 2 million today. Although at some point people would cash out and retire. It would be higher than 50k that I am certain of.
So each time you see Bitcoin holders celebrate or get angry at sellers, remember to laugh.
It might rather be at 150k now, which is probably higher than the current euphoria bubble will ever get.
The stock I showed also had a "bubble" before its trend:
The only time it loses its TL is when it goes parabolic...
Clearly the best for long term holding is the steady trend that goes further.
Plus it's easy low risk money, a holy grail, and even better (and crazier) is it does not get much attention from the crowd.
You also have the usual idiots that fight the trend, which helps avoid these parabolic "get rich quick" moves that causes holders to get rich slow because how many can actually play the short term moves correctly?
I know I can't. Not with stocks. With crypto I can trade some because it's often stupidly obvious, and of course forex & commodity futures that's what they're meant for.
If I had a way to make a bet BTC will drop to 10k in the next 2 years I would.
For now just hold or take trades but might as well just hold till the bubble pops.
If we want to trade it 70% hold and 30% gamble money will do the trick.
There's not much to trade though... ETH is beating gold and will go vroom, Bitcoin should continue in a straight line till 100k until new order.
Can add to winners if things go well I guess. Close these leveraged longs withdraw some profit and re-enter with bigger size, if all works out.
Recruit difficulty...