I don't know why most people enjoy the heavy rise of bitcoin while it is only good for long term holders. How long do they want to hold? Forever? They have to sell at some point and exit the market. For day traders like me, expensive bitcoin is not attractive at all because it not only reduces my profit, it also increases my stress.
I have to buy at $40.000 and sell at $40.200 to gain daily profit (This is an example). This is much less profitable than when I used to buy at $8000 and sell at $8200 the same day. Apart from this, whenever I buy at $40.000, I am worried about a big crash right around the corner because the prices are too high now.
How do you cope with this situation as a day trader? Do you dare to buy $40K bitcoin for short term trading?
When you buy at $40,000 and sell at $40,200 you make $200 profit. When you buy at $8,000 and sell at $8,200 you still make $200 profit. How is this less profitable? In fact when the price is high, the price rises (or drops) are significantly more. When you see a 1% increase, you will see higher rise when the price is high. But yeah the loss is also more. But you don't make any loss as long as you don't sell!
The stress should be a bit more when the price is high since its risk to do short term trading when the price is high. But those who know the risk are probably less stressed about making a loss.