its called "averaging down" or "shorting"
buy the dip and hold or buy low sell high="going long"
sell the high buy the correction="shorting"
also if you look more into your "little recap of 3 cycles"
you will notice the bottom of cycle 2 did not drop below high of cycle 1
you will notice the bottom of cycle 3 did not drop below high of cycle 2
so when you use an example of time sell of upto $100k. (then corrects) then buy above $50k..
you might want to aim your target at sell upto/above $140k (then corrects) then buy above $70k
No, shorting is when you bet against an asset and you "borrow" (virtually on the exchange using a perpetual contract for example) at a given price and then pay back the virtual loan later. If the price goes down you make money because you now pay a lower price for what you borrowed and you cash in the difference. You lose money if the price goes up though. It is quite different from what you describe. You need a future contract to do shorting. Also averaging down has nothing to do with shorting. Maybe you should learn trading terminology before telling others what it is.