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ways to profit from bitcoin crash

Posted: Sat Apr 17, 2021 5:32 pm
by atrchi
Looking to start a discussion on the different ways to bet against bitcoin's continued increase in "value." The actual bear case is outside the scope of this thread.

Here are a few that I know about so far:
  • BITI - Inverse ETF based in Canada
  • Shorting(*) Bitcoin Futures on the CBOE and CME
  • Shorting(*) Bitcoin ecosystem companies: COIN, RIOT, MARA, EBON, SOS, MSTR
(*) Shorting requires taking on Unlimited Risk, or a bearish options position, which has limited risk but with time decay working against you.

The problem in betting against bitcoin, is that at any time and without warning, the price can shoot up -- even if longer-term it is worth $0. Which means a successful strategy will need to employ Kelly Criterion, etc, which is beyond my analytical capabilities right now.

Anybody got a strategy or just some thoughts they're willing to share?

Re: ways to profit from bitcoin crash

Posted: Sat Apr 17, 2021 7:51 pm
by whatchamacallit
Looks like you can buy April 23rd 50k btc put for $179

https://omni.ledgerx.com/live

With crazy dogecoin action that feels like decent bet.

Re: ways to profit from bitcoin crash

Posted: Wed Aug 25, 2021 9:55 am
by bitcoininthevp
As mentioned, you can use options. Buy put spreads or sell call spreads.

You could also buy bitcoin and then short the futures and capture the premium. Not a short play persay, more market neutral.

I hope you made some profits on the 65k->28k moves.

Re: ways to profit from bitcoin crash

Posted: Wed Sep 08, 2021 5:30 pm
by gaddyslapper007
Bitcoin is a VOTE for sovereignty….and instead of actually voting for it…..you vote for against it? Quit thinking of BTC as an investment….it is literally a movement to opt into a free money economy and disempower the man……man. ….keep showing up every 4 years checking a box and think you’re making a difference with yer vote instead of voting with your dollars supporting the future of individual sovereignty and liberty. Literally what u are doing!