Bitcoin's sharp rise in the last 24 hours has REKT short investors. Many thought Bitcoin (BTC) was on a downward trend. The unsophisticated investor (dumb money) thought BTC would see lower lows. There was an overwhelming short position by the Non-Commercial bitcoin investors of 4543 contracts versus 3175 that had long positions.
Second, there has been a negative sediment with BTC and the crypto market in general. By whom? By those that fundamentally do not understand crypto. BTC will not trade much below it's mining cost for very long. BTC seldom trades below the global average mining cost of $6100.00 (currently). To bet that BTC will fall to $4000.00 or lower is a fools errand. There is too much pressure in the crypto market for BTC to fall that low. After 6 months of downward pressure, most weak hands have sold. Who is left? Strong hands. Those in it for the long haul.
Third, always do the opposite of the general herd. Most people never get it. They are misinformed and unsophisticated in their research. If the majority Google searched how to short BTC do the opposite. This is exactly what we have seen in the past 30 days.
How many times have I said that BTC is a rare asset. It will always appreciate in value. Think in terms of 2, 5, 10 years not 30, 60, 90 days. There is only so many BTC to go around a 7.5 billion global population. Look at how many Fortune 100 companies are getting involved in block chain technology. It is inevitable that all global assets and data will be utilizing the block chain and BTC has the oldest, most trusted and valuable legacy chain.
Be smart and hang on to your BTC
image from: 4minutecrypto.com