After this round of market activity, we should have a good understanding of going long. Shorting is actually the most difficult; experienced traders often suffer losses when shorting. In a fierce market, prices can be pushed up crazily without regard for cost or thought. We should try to avoid shorting. After Bitcoin broke 110k, many people used their assets to short. Why? They believed it would at least pull back to around 100k, but it just wouldn't drop. What awaits them is a pump. The period of a big dump lasts about one or two months, and during this time, it’s completely possible to rest. Developing a habit of shorting can be very detrimental. For any commodity, the mainstream mindset is to be willing to raise prices; even those who short will need to buy back and close positions at certain prices. They do not believe that coins will drop to zero and do not wish for that either, because after it drops to zero, who will they sell back to? To air? Hence, while short positions are indeed strong, they are actually a potential large buy order. Whether making money after a pullback or losing money after a rise, both provide tremendous support for the market and serve as the backbone of market development!

BTC0.08%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • Comment
  • Repost
  • Share
Comment
0/400
No comments
Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate app
Community
English
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)