So I like to place an order, go to bed ..and wake up in the morning pleasantly/unpleasantly surprised.
The story until now :
Previously I managed to double my money by going long on Bitcoin.
The previous post can be found here : https://steemit.com/short/@sanbel/how-to-make-some-profits-on-margin-by-using-100x-leverage-on-bitcoin-for-aug-1st
I went 10x long on Bitcoin ... Bitcoin price rose by 10%, I closed my position and managed to make a 10%(profit)*10x (leverage)= 100% profit.
Now for the second part of the blog... "Shorting bitcoin"...
There's still a few more days left for bitcoin segwit signalling ( around 569 blocks) and I decided to take the risky route of shoring and then going long again within that time period ( Shorting during a bull run is risky !! .. As you will see )
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Shown below is that I have gone 5% short at entry position $3289, with a liquidation price of $4086.
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Steps to place a Short :
Since doubled my balance from 0.7 to 1.4, I now have about $3300 * 1.4 = $4500 in my account ...
Bitcoin price would have to fall by $4500 for my account balance to get wipedout ( liquidated).
At 5x, the price would have to drop by $4500/5 = $900 ..
If btc price shoots up from $3300 to $3300 + 900 = $4100, I would be liquidated ( balance = $0 ).
With enough room to not get wiped out... and by "selling" (shorting) about 1.4 btc (balance ) * 5 (leverage) = 7 btc worth of contracts ... 7 btc = $3300 * 7 = $23000 contracts .. I place my order ( I place about $22,000 worth contracts order TO leave some lee-way of about 0.1 btc balance in my account).
Let's wait and watch what happens!!