Why is virtual currency short good

2.

Short refers to selling positions, can also be called use, sell a certain type of currency loans, bullish. Do long: do and refer to the multi warehouse, can also be called Lido, also known as multi warehouse. Buy some kind of loan currency and be bearish

Long means that the price will rise after estimation, so buy the contract and sell it at sky high price after the price rises in the future. Net profit. Short selling means that the potential will fall after estimation, so sell the contract and buy the contract at a low price after the price falls in the future. Net profit

2. For hedging: to be long means to evade or wash away the risk of proct cost expansion caused by future price rise, and lock up the cost in advance. Short selling means to evade or wash away the risk of profit rection caused by the price decline in the future, and lock in the profit ahead of time

extended data

burst, under some special conditions, the customer's equity in the investor's margin account is negative. When the market changes greatly, if most of the funds in the margin account of investors are occupied by trading margin, and the trading direction is opposite to the market trend, it is easy to burst e to the leverage effect of margin trading

if the position explosion leads to the deficit and is caused by the investors, the investors need to make up the deficit, otherwise they will face legal recourse. The bigger the leverage is, the closer it is to the burst. We should be cautious when adding any leverage

3. There are no more than the following kinds of people touting virtual currency:
the first kind is the big guy who pretends to be confused. They boast about the greatness of virtual currency, in fact, just to sell their own coins, and then make their wealth more and more. This is the same reason that Mimeng's articles incite emotions. It's just to let people read more of her articles to sell advertisements. As for whether it is true or not, who cares
the second kind of people is the media outside the circle. In fact, they don't know anything. The purpose of their blowing together is to bring traffic. It's all for sale. It's just different. They follow together to brag, will have more traffic attention, advertising can be more valuable. If the business is not good, change the vest and continue. That's what we media and finance are doing now. True or false is not so important, the important thing is to bring them income, which is enough
the third kind of person is the leek of coin circle. In fact, they don't have the ability to think independently. They are superstitious in aura. They watch the big guys and the media blow, and then they really believe in it. They also blow,,,, and then they are the ones who take over. It is commonly known as "no brain blowing, no brain blowing". It lacks the ability of independent thinking, and does not carefully analyze things. It is respect to blow first and respect to blow first. Blind, therefore, only then dish's life.

4. Short currency refers to all kinds of investments that some investors think one or several currencies will become worthless in order to gain profits from the devaluation of the currency
when it comes to money investment, we have to mention the exchange rate of money. In the process of material exchange and international trade, each country needs to determine the commodity price. Within each country, the price of goods is marked by the legal tender of the country. Therefore, in international trade, each country needs to work out the exchange ratio between different currencies, which is the exchange rate
if investors are not optimistic about currency a, they think that the exchange price of currency a will fall. In other words, with the development of time, currency a with the same amount of gold
will be able to exchange less and less other currencies. Then investors can short currency a according to this judgment
the whole investment process can be simplified into the following model:
(1) the investor borrows a large amount of assets from others and agrees to return the assets in the form of currency a after a certain time. This asset can now be expressed in 10000 currency a, and after maturity, the investor needs to return 10500 currency a
(2) investors use this asset as an investment, or convert it into a kind that will not depreciate and is easy to realize. It can also be converted into other currencies that will not depreciate
(3) before the appointed time, currency a depreciated, and the real value that currency can represent decreased. As long as at this time, the actual value of 10500 currency a is lower than the original value of the borrowed assets, and after the debt is paid off, the investor can make the corresponding price difference
the content of this article comes from: financial code of the people's Republic of China: application edition, China Law Press

5. The emergence of virtual currency is not accidental, it is a part of the history of currency evolution, is the crystallization of digital technology revolution. Looking back on the history of money, any form of money from birth to maturity will experience doubt and even exclusion. Like the traditional currency, it is not naturally perfect. It is constantly improving in the process of development to better adapt to and serve the proctive forces. The virtual currency based on network is limited by credit constraints, but the innovative virtual currency is breaking through the constraints of region, nationality, culture, credit and so on. There is no doubt that virtual currency represents the future development direction of money. Virtual currency will also have a more perfect solution for sovereign currency. At present, bitcoin trading platform, jucoin trading platform and Youxun trading platform are more famous and have investment value in China. I believe there will be more in the future.

6. At present, bitcoin and Ethereum are good. According to the data of Hufu exchange, their prices have shown an upward trend in the past year.

7.

< EM > three investment and financial management modes for common people < / EM >

< EM >

1. Conservative customers: they can choose to invest in monetary funds. Since the end of last year, the income level of the monetary fund has suddenly increased. At the end of last year, China Securities Regulatory Commission relaxed the restrictions on the proportion of agreed deposits of the monetary fund, which enabled the monetary fund to gather the funds of ordinary investors to negotiate with the banks for agreed deposits, and the return was naturally more ideal. For the choice of Monetary Fund, investors should "first look at the scale, then the old and the new". Large scale monetary funds have more room to deal with liquidity shocks, and investment income will not be diluted rapidly. The old monetary funds generally operate more mature and have stronger bargaining power in negotiating deposits with banks

< / EM >

< EM > 2. Stable clients: they can choose bond funds. The main investment direction of bond funds is interest rate varieties and credit varieties. Since the end of the third quarter of last year, there has been a wave of bull market in the bond market. The main performance is that the yield curve has moved down e to the influence of loose capital. However, the yield of credit procts, especially those with medium and low ratings, has not decreased significantly. In the future, with the improvement of credit environment, the credit spread of medium and low rating varieties will graally narrow, and then generate capital gains. Stable customers can choose the bond fund with a higher proportion of credit varieties

< EM > 3. Active customers: they can choose the combination of stock and debt financing scheme. On the one hand, according to the customer's subjective risk preference and objective risk tolerance to match, that is, in strict accordance with the customer's risk rating for asset allocation; On the other hand, the downside risk should be strictly controlled. Due to the real allocation of large types of assets, the correlation coefficient between various types of assets is very low, some even negative, so it can realize diversified investment and diversify investment risk

< EM > if you have detailed investment and financial management, you can continue to ask. If it helps you, please take it. Thank you

8.

Summary: no matter what the trend, holding or short bitcoin is a better choice than short bitcoin

bitcoin dropped from its peak of $19798 on December 17, 2017 to $6519 today, down about 66%

at this time, the air force is making a lot of profits, and shorting bitcoin has become a correct market strategy

Only earn what you should earn! Short position or fixed investment is more wise than short! After all, the first rule of investment is to ensure the safety of the principal and never lose money

9. Bitcoin is a decentralized digital asset. When the financial system backed by national sovereignty collapses, bitcoin will be popular. If you are optimistic about bitcoin, you are undoubtedly short of the real financial market. The relationship between the two is more contradictory than complementary, so to some extent, you are short of the world. This statement is a bit exaggerated, but there is a deep-seated truth in careful taste. Bitcoin itself is a subversion of the current society.