Quote from: EuSouBitcoin on March 15, 2013, 04:06:30 PM

Quote from: cheat_2_win on March 15, 2013, 04:00:30 PM

Quote from: EuSouBitcoin on March 15, 2013, 03:29:35 PM

Quote from: Stephen Gornick on March 15, 2013, 02:59:15 PM

Quote from: EuSouBitcoin on March 15, 2013, 02:52:03 PM

Are there any good ways to profit in USD terms if BTC/USD goes down?

Technically, buying dollars with them is shorting bitcoin. But you are probably looking for leverage to do a trade.

- http://en.bitcoin.it/wiki/Trade#Financial

If I am long USD and flat BTC with BTC/USD at $47 and then BTC/USD drops from $47 to $46 I can buy more BTC at $46 so I would have profited in BTC terms but in USD terms, I still have the same number of USD. So in USD terms, I didn't profit any from the move from $47 to $46. I'm looking for ways to profit in USD terms, not BTC terms, if the BTC/USD exchange rate goes lower.

If you buy same number of BTC at 46, then you will have some USD left over. That is your profit in USD terms.

Assume I have 100 USD and 0 BTC with BTC/USD at 47. BTC/USD drops from 47 to 46. I still have 100 USD and 0 BTC. How did I profit in USD terms on this price move?

To make money when price of an item goes down, you can borrow that item and sell it at the current price. Buy back when the price drop. If you don't want to borrow and if you don't already own that item, I don't think you can make money when the price drops.

cheat_2_win

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