Bitcoin already has two big corrections in the last two weeks. The largest cryptocurrency by value shows signs of a bull run in the past two months, hitting a new all-time high of $ 19,920 on December 1. But it lacked support at this level and plummeted to $ 17,600. On-line data shows that the sell-off was started by whales and miners eager for a profit.
John Bollinger, famous technical analyst and creator of the Bollinger Bands indicator, comments that Bitcoin may be poised for another correction soon, as Bitcoin has formed a classic top.
It is recommended that traders keep a closer eye on the movement of Bitcoin over the next week. If Bitcoin manages to hold $ 19,000, it could take a breather and consolidate. But any significant drop could lead to a selloff cascade, as many traders fear that Bitcoin could repeat the massive drop just after hitting ATH in 2017.
Despite recent setbacks, institutional investors and analysts remain bullish on the long-term prospects for Bitcoin. The Guggenheim Macro Opportunities Fund is reportedly able to invest $ 500 million in Bitcoin through the Grayscale Bitcoin Trust. The Guggenheim Macro Opportunities Fund is not the only major investor viewing Bitcoin from a new perspective. 2020 has seen Bitcoin gain more recognition from institutional investors and government bodies.
How to take advantage of volatility
High volatility has been a constant for Bitcoin since its inception and will not disappear for the foreseeable future. In fact, while high volatility can cause traders to lose a large amount of money in a few hours, it is also high volatility that helps them multiply their investments in no time. So how do we make the most of it and generate more BTC? The answer is very simple: leveraged trading.
In leveraged trading, every fluctuation is an opportunity to make a profit. It is perfectly normal for operators to achieve an ROI of 100% or more.
Let's see how:
Step 1: The current price of BTC is $ 9,000. If you think the price is going to go down, you can open a short position with 0.01 BTC. Now 0.01 BTC may not sound like much, but with 100x leverage, you can open a contract worth 1 BTC.
Step 2: When the price of BTC drops 500 points to $ 8,500, close the position.
Profit: ($ 9000- $ 8500) * 1 BTC / $ 8500 = 0.059 BTC.
ROI: 0.059 / 0.01 * 100% = 590%
Leveraged trading is a mature derivative in the crypto market. Established in 2017 and based in Hong Kong, Bexplus is a leading crypto derivatives trading platform offering 100x leverage futures trading on BTC, ETH, LTC, EOS, XRP, etc.
Bexplus Chief Analysis Officer Justin Kwok is a crypto veteran with extensive experience in different derivatives. In a recent talk, he commented that “… traders would normally do their homework before investing in Bitcoin, so they have already accepted that trading bitcoins has its own risks. The more volatile the market, the more likely they (traders) to make a profit. Still, operators must be careful with their operations and avoid liquidation. "
Bexplus is one of the few exchanges that offers a free demo account, which subjects you to their trading rules and widgets. Inside the demo account there are 10 BTC for traders to practice and test strategies as much as they want.
- BTC Wallet: up to 30% annualized interest without any risk
Bexplus users can profit not only from trading. Join the Bexplus wallet to earn up to 30% annual interest risk-free. With up to 30% annualized interest, it is without a doubt one of the most profitable fees in the industry.
While most lending platforms require merchants to deposit at least 1 BTC, merchants can make a deposit starting from 0.05 BTC to Bexplus.
- Trade freely on Android and iOS
The top-notch Bexplus application integrates all the necessary functions and tools (real-time charts, a variety of indicators, news alerts, etc.) while maintaining a minimal and intuitive interface. With the Bexplus app, you can manage your account anywhere and anytime you want. Also, 24/7 notification could keep you up to date with big price movements, making it easy to secure your positions.
- Deposit activity to get a 100% refund in BTC
Deposit BTC into the Bexplus account and you can earn a 100% BTC bonus, which can also be used to trade futures contracts. In addition, more margins reduce the probability of forced liquidation. The more deposit, the more bonus you will get. Up to 10 BTC is available for each deposit.
A successful trader always diversifies his strategies and adapts to market changes. Bexplus offers you endless profit opportunities. Feel free to join Bexplus and claim your bonuses!
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