Going Long on BTC


#1

I am becoming very bullish on BTC recently and I’m thinking about “going long”. Which my understanding is leveraging your money and betting on something going up in the midterm to long term. Can someone explain this concept to me? I don’t know much about leveraging or trading on margin.

How do you do it and what’s the best exchange to do so with limited risk. I believe this bet has very low risk of being bad since institutional money will be flowing in soon. As long is it’s done after the fork/possible correction it seems to be golden.

If you only leverage yourself say, 2 to 1 then you can only be liquidated if BTC goes down to 50% of its value when you made the bet. Correct?


#2

Man. I feel you bro.

Let me tell you why that’s a bad idea, mostly because I’ve deeply considered doing it years ago.

It would be a good bet but:

  • to trade on margin you must borrow from someone else, a broker or even worse, a banker.
  • you are now controlled by another entity for the sole purpose of “more” (whatever you want to call it, money, money-possessions, etc)
  • you also pay interest
  • you may be selling your current state for slavery in a hypothetical future state

I do not like the idea at all. Period. Ever. For trading on margin.

A famous man once said that he came to free his people from the yoke of slavery. I believe this to include ALL forms of bondage.

Bitcoin relieves for me, one of the final chains of bondage I am in during my short time in life.

I claim that right every day.


#3

As @peter said, good advice.

From my point of view, DO NOT DO MARGIN TRADING UNLESS YOU HAVE EXTENSIVE EXPERIENCE OR YOU WILL LOSE MONEY


#4

I absolutely agree. For me margin trading is for times when you don’t have to think about it, and for quick returns. It has to be something you would do with your own money in a heartbeat.

I think of it like the dealer is showing a 6, and I don’t have another chip to double down. It doesn’t always pay off, but I’d do it every time.