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Comment by xiphias2 | Hacker News Reader

I’m extremely bad at trading, but it didn’t stop me from achieving amazing returns. Just an example last year I had a target of $150k when it was at $50k, and also (like most people) I got a BTC based loan (it made sense for tax purposes as well). The problem was that everybody was doing it, and professional traders probably used those loans to short the market and trigger margin calls. I had multiple margin calls as well, but I was able to add extra collateral. At the same time I spoke with a person who lost all his money because he bought BTC/ETH from his loan.

At the end the only experience I got is that I’m still a bad trader, and I won’t do it :)

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That is only if you bought Bitcoin when it was <$10K and as low as $5K or 6K in March 2020 which I hope you got in at the time and not at $20K, $30K or $40K.

> Just an example last year I had a target of $150k when it was at $50k, and also (like most people) I got a BTC based loan (it made sense for tax purposes as well).

That doesn't sound like a good idea in the middle of a bull run and everyone being in profit on Bitcoin when it was at $50K last year or even $69K. I have a different strategy - taking profits and taking advantage of the hype.

It's better to get in when the market crashes so that you can buy it significantly lower, (Like say <$10K) and sell some of it during the height of the euphoria, than it is to enter when everything is going up and end up bag-holding and waiting months, or years in an unrealised loss for it to go back up again.

Hence being against anyone jumping in at >$60K last year [0] and warning another person about DOGE going all the way up and bag-holding it at $0.6; thinking that it will go to $1 by August. [0]

Anyways, Good luck with your strategy.

[0] https://news.ycombinator.com/item?id=27206314

[1] https://news.ycombinator.com/item?id=27046019

You can't buy the dip during a peak. PP got a loan at 50 which is a bearish trade, halfway to shorting.

> You can't buy the dip during a peak.

The people who bought in at around >$40K and higher just did that and are now bag-holding in drawdown.

> PP got a loan at 50 which is a bearish trade, halfway to shorting.

Well no wonder they received multiple margin calls when the smart traders were taking profits or shorting from >$60K with him ending up on the wrong side of the trade or entering at higher prices and holding into unrealised losses.

It's completely different, OP still owned the BTC, it was just collateral to a loan. The loan currency was presumably USD, so they were short USD but still long BTC.

r/trader/gambler

Thars like saying r/poker player/gambler

Financial instrument trading is always gambling. Imvesting is what it's not.

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