Bye Bye Bitcoin Bubble

chrisyeh.blogspot.com

18 points·aaronbrethorst··8 comments

> As I write this, Bitcoin just past $16,000 in value. I would bet any amount of money that on December 7, 2018, the price of Bitcoin will be below that value.

You don't have to "would bet", you can short it on some exchanges and soon you'll be able to short using futures. Bears should put their money where their mouth is. Bulls sure are doing it.

I've also been looking into this as well. But I think the bets are going to be even more appealing than the futures, since I don't need to put any money down to make them!

How exactly does one short bitcoin?

The same way you short stock. You borrow a bitcoin, promise to give it back, sell the bitcoin for its current price. At a later time you buy a new bitcoin and give it back. If the price dropped you turn a profit, if the price rose you'll have lost money.

Anybody having an idea of how many of all bitcoins get traded a day?

Whatever number you can get has no meaning. I could buy a bitcoin and sell it again and buy it again and sell it again... that would be accounted as hundreds of thousands of dollars traded even thought I only paid $10 total at the end of the day, as exchange fees.

So, exchanges don't trade real bitcoins... They can trade more than they own, etc.

Yes, an exchange can do anything, especially for bitcoins which has zero regulations.

It's like a casino. The house always wins and only insiders really knows what's going on.

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