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Just a few thoughts of my own. It seems to me that BTC is starting to more and more follow the trend of the S&P macro movement swings. As traders become scared
by jadbox 5y ago
Just a few thoughts of my own. It seems to me that BTC is starting to more and more follow the trend of the S&P macro movement swings. As traders become scared of the stability of the future, they reduce their investment purchases (or sell) across all their speculative assets. This global 'market fear and exhuberance' may end up impacting BTC as much as it does wall street, compounded by automated cross-market bot trading that occurs. (I tend to follow behavioral economics)
- paulpauper 5y agoBTC is highly correlated with the S&P 500 to the negative and not to the upside. A good hedge shorting BTC and going long S&P 500.
- dustintrex 5y agoExcept that's next to impossible to short BTC without incurring major exposure to the crypto market as a whole in process. In other words, you can gamble that BTC will go down all you like in the wonderful world of DeFi, but if your gainzzz are in $random_shitcoin then the fiat value of that will also go down the toilet. The closest you can do is shorting BTC-adjacent regular stocks like MSTR, MARA, etc.
- paulpauper 5y agoput options on BITO or sell calls
- tobltobs 5y agoBITOs current holdings consists out of ~30% CME Bitcoin Futures, ~40% Treasure Bills and ~30% Cash. Why would that be a good proxy for Bitcoin?