Newbie question here: Is it prohibited to threaten or extort ChartBuddy? I think that if his charts do not show number going up, I may want to knee-cap him and post hacked naked pics of his sister, Tickerina. Or if he doesn't have knees because he's a robot, I could delete his config files, or drop tables in his database, or something like that.
You seem to be on margin in btc.
No. I would
never do something so stupid as to take a leveraged long on a highly volatile asset.
Instead, I shorted the dollar at high leverage. The dollar's fundamentals are wretchedly bad. In the long term, it is practically guaranteed to depreciate severely. Shorting the dollar is smart - at least in theory.
The problem is that "the market can stay irrational longer than you can stay solvent", and the dollar is now in a bull-run bubble.
The only time I was on margin, 20 years ago, the end result was zeroing of my account in the Internet crash of 2001-2002.
When I tried trading tech stocks in the same time period, I managed to lose half the portfolio's original value
without any margin at all. I am talented! You went all the way to zero, but you needed margin to do it. You have no skills at losing money fast.
See, I can laugh about that. Because the loss was in dollars - not in Bitcoin, which did not yet exist. It's only money!
imho, btc should be bought with cash only.
If you borrow money to buy btc (imho, not advisable for most with the exception of people with a huge cash flow), then borrow it OUTSIDE of the bitcoin-buying account.
See this:
The problem is not borrowing money to buy BTC. (Is it a problem for Saylor?) The problem is borrowing money on the worst possible terms. Positively malicious terms.
For most other types of loans, a borrower's default is not in the lender's best interest. Collecting on defaulted accounts is lossy, and high-overhead. Therefore, even the harsher parts of the lending terms tend to be tempered by the lender's desire not to need to deal with delinquent or defaulted accounts. Most lenders seek to minimize defaults.
The entities offering cryptocurrency margin accounts have a perverse incentive to stack the loan terms to maximize borrower defaults. Want to buy BTC at a discount? Set up an exchange, offer margin accounts, wait for the dip, and then stockpile BTC in cascading liquidations!
The whole cryptocurrency margin ecosystem has the incentives of loan-sharking. Those incentives are exploited in full accord with the ethics of people who also profit from pump-and-dump Ponzi-coins.
You need to be either stupid or crazy to take a loan on these terms, for almost any purpose.
Can you sell half of your position? It might help you sleep better if there is no chance of a total wipeout.
At any point in time, there is a 50/50 chance of the pricing going up or down. You need to be positioned accordingly.