Post
Topic
Board Trading Discussion
Re: Is This How You Short A Crypto Coin?
by
Fivestar4everMVP
on 28/07/2023, 06:37:04 UTC

For example, let's say I believe BTC will go down. So I BUY BTC. And then I wait for it to go down and then SELL.
Don't I lose money?
Of course you lose money if you do it this way bud, lol.
Making money from trading crypto is the other way around, that is , if you believe the price of the coin will go up, you wait find a good price when its down and buy in, then wait for the price to go up and then sell, when you buy when the price is low and sell at a higher price, that is how you make profit, but if you buy at a particular price and end up selling it at a price that is lower than the price you bought, you lose money.

Simplest way to understand this is, if you have any experience of how businesses work in the real world, like you buy a bottle of wine at a wholesale price, then sale it at a retail price, that is exactly how trading works as well , you buy low, you sell high, buy low, sell high.
I believe this is understandable.