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Guruprasad - Verslan
@GPVerslan
I run a startup named Verslan that is into RWA.
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nice trade
I opened an XRP long position trade in October and held that position for over a month. I wasn’t really worried about liquidation at 0.2 because I knew it wouldn’t hit that liquidation level, as the bear market has been ongoing since 2022 and hasn't reached that price level. I also did my technical analysis and found there were many support levels that would get hit before reaching that price. Then, around the 3rd week of November, XRP pumped, and boom, I booked 400 USDT. As long as you know your liquidation price and it's not likely to be hit, but it's better to set a stop loss for more certainty.
Atleast 20% correction is the territory where we officially enter onto bear markets. Alts have gone up by more than 100-200%. So these corrections are quite normal. Still intact..
Guess Who REALLY Caused The Crypto Crash Today? The Shocking Truth Revealed!
🚨 Guess Who REALLY Caused The Crypto Crash Today? The Shocking Truth Revealed! 🚨
If you woke up to a sea of red in your crypto portfolio, you’re not alone. Today’s crypto crash has sent shockwaves through the market, wiping billions off market caps and sparking fears of another prolonged downtrend. But who, or what, is really behind the chaos?
Let’s dive into the key causes, the players involved, and what this means for crypto investors moving forward.
The Immediate Trigger: A Sudden Market Shakeup
This morning, Bitcoin plunged by over 8%, dragging Ethereum, Solana, and other major altcoins down with it. But the big question remains: What caused this sudden crash?
Here’s what we’ve uncovered:
🔎 1. The Institutional Sell-Off
Reports suggest that large institutional players dumped significant portions of Bitcoin and Ethereum.Data from Glassnode shows a net outflow of over $2 billion from major crypto wallets within a 24-hour period.
🔑 Why It Matters: Institutions often act as market movers. Their sell-offs can trigger panic among retail investors, creating a ripple effect that accelerates the downturn.
🔎 2. Regulatory Fears Reignite
U.S. SEC News: Rumors of stricter regulatory measures targeting decentralized exchanges and stablecoins have resurfaced.China’s Ban Expansion: Reports indicate that China is doubling down on its crypto ban, targeting even OTC trading platforms.
🔑 Why It Matters: Uncertainty around regulations fuels fear, leading investors to exit positions until clarity emerges.
🔎 3. The Macro-Economic Storm
Dollar Strengthens: The U.S. dollar has been rallying, creating pressure on risk assets like crypto.Inflation Woes: Upcoming U.S. Consumer Price Index (CPI) data has sparked fears that inflation may persist, reducing risk appetite across the board.
🔑 Why It Matters: When macroeconomic factors turn bearish, crypto markets often suffer as investors seek safer assets.
The Role of Whales and Liquidations
Data from IntoTheBlock shows a surge in large Bitcoin transactions (over $1 million), suggesting that whales played a significant role in today’s downturn. Meanwhile, over $800 million in long positions were liquidated, adding fuel to the fire.
The Social Media Frenzy
Platforms like Twitter and Reddit have been buzzing with speculation and fear-mongering. Terms like “crypto crash,” “Bitcoin bear market,” and “altcoin liquidation” are trending, further stoking panic among retail investors.
Breaking Down the Aftermath
💔 Who’s Hit the Hardest?
Altcoins: Solana (SOL), Avalanche (AVAX), and Polygon (MATIC) saw double-digit declines.Meme Coins: Dogecoin (DOGE) and Shiba Inu (SHIB) were among the worst performers, with losses exceeding 15%.
💡 What’s Holding Strong?
Surprisingly, stablecoins like USDT and USDC have held up well as investors seek shelter.Bitcoin’s dominance rose slightly, signaling a flight to safety even within the crypto space.
What Happens Next?
1️⃣ Short-Term Outlook:
Expect continued volatility as the market digests the news. Key support levels for Bitcoin are around $95,000, with Ethereum hovering near $3,800.
2️⃣ Long-Term Implications:
The crash serves as a wake-up call for over-leveraged traders and speculative altcoin investors. It also underscores the need for clear regulatory frameworks to stabilize market sentiment.
What Should You Do Now?
💡 For Long-Term Investors:
Stay calm and avoid panic selling.Use this opportunity to dollar-cost average (DCA) into fundamentally strong assets.
💡 For Traders:
Be cautious with leverage, today’s liquidations prove how quickly things can go south.Monitor key resistance and support levels to plan entries and exits.
💡 For Everyone:
Keep an eye on upcoming regulatory announcements and macroeconomic indicators like CPI data.
Final Verdict: A Crash or a Correction?
While today’s crash is alarming, it’s essential to see the bigger picture. Crypto markets are inherently volatile, and periods of extreme fear often present the best opportunities for disciplined investors.
💬 What’s your take on today’s crash? Share your thoughts in the comments below!
✨ Found this article helpful? Like, share, and follow for more real-time crypto insights and strategies. Let’s navigate this market together! 🙌
#CryptoCrash #Bitcoin #AltcoinSeason #CryptoNews #MarketAnalysis
If you woke up to a sea of red in your crypto portfolio, you’re not alone. Today’s crypto crash has sent shockwaves through the market, wiping billions off market caps and sparking fears of another prolonged downtrend. But who, or what, is really behind the chaos?
Let’s dive into the key causes, the players involved, and what this means for crypto investors moving forward.
The Immediate Trigger: A Sudden Market Shakeup
This morning, Bitcoin plunged by over 8%, dragging Ethereum, Solana, and other major altcoins down with it. But the big question remains: What caused this sudden crash?
Here’s what we’ve uncovered:
🔎 1. The Institutional Sell-Off
Reports suggest that large institutional players dumped significant portions of Bitcoin and Ethereum.Data from Glassnode shows a net outflow of over $2 billion from major crypto wallets within a 24-hour period.
🔑 Why It Matters: Institutions often act as market movers. Their sell-offs can trigger panic among retail investors, creating a ripple effect that accelerates the downturn.
🔎 2. Regulatory Fears Reignite
U.S. SEC News: Rumors of stricter regulatory measures targeting decentralized exchanges and stablecoins have resurfaced.China’s Ban Expansion: Reports indicate that China is doubling down on its crypto ban, targeting even OTC trading platforms.
🔑 Why It Matters: Uncertainty around regulations fuels fear, leading investors to exit positions until clarity emerges.
🔎 3. The Macro-Economic Storm
Dollar Strengthens: The U.S. dollar has been rallying, creating pressure on risk assets like crypto.Inflation Woes: Upcoming U.S. Consumer Price Index (CPI) data has sparked fears that inflation may persist, reducing risk appetite across the board.
🔑 Why It Matters: When macroeconomic factors turn bearish, crypto markets often suffer as investors seek safer assets.
The Role of Whales and Liquidations
Data from IntoTheBlock shows a surge in large Bitcoin transactions (over $1 million), suggesting that whales played a significant role in today’s downturn. Meanwhile, over $800 million in long positions were liquidated, adding fuel to the fire.
The Social Media Frenzy
Platforms like Twitter and Reddit have been buzzing with speculation and fear-mongering. Terms like “crypto crash,” “Bitcoin bear market,” and “altcoin liquidation” are trending, further stoking panic among retail investors.
Breaking Down the Aftermath
💔 Who’s Hit the Hardest?
Altcoins: Solana (SOL), Avalanche (AVAX), and Polygon (MATIC) saw double-digit declines.Meme Coins: Dogecoin (DOGE) and Shiba Inu (SHIB) were among the worst performers, with losses exceeding 15%.
💡 What’s Holding Strong?
Surprisingly, stablecoins like USDT and USDC have held up well as investors seek shelter.Bitcoin’s dominance rose slightly, signaling a flight to safety even within the crypto space.
What Happens Next?
1️⃣ Short-Term Outlook:
Expect continued volatility as the market digests the news. Key support levels for Bitcoin are around $95,000, with Ethereum hovering near $3,800.
2️⃣ Long-Term Implications:
The crash serves as a wake-up call for over-leveraged traders and speculative altcoin investors. It also underscores the need for clear regulatory frameworks to stabilize market sentiment.
What Should You Do Now?
💡 For Long-Term Investors:
Stay calm and avoid panic selling.Use this opportunity to dollar-cost average (DCA) into fundamentally strong assets.
💡 For Traders:
Be cautious with leverage, today’s liquidations prove how quickly things can go south.Monitor key resistance and support levels to plan entries and exits.
💡 For Everyone:
Keep an eye on upcoming regulatory announcements and macroeconomic indicators like CPI data.
Final Verdict: A Crash or a Correction?
While today’s crash is alarming, it’s essential to see the bigger picture. Crypto markets are inherently volatile, and periods of extreme fear often present the best opportunities for disciplined investors.
💬 What’s your take on today’s crash? Share your thoughts in the comments below!
✨ Found this article helpful? Like, share, and follow for more real-time crypto insights and strategies. Let’s navigate this market together! 🙌
#CryptoCrash #Bitcoin #AltcoinSeason #CryptoNews #MarketAnalysis
China ban is happening for years. When markets correct we give thousands of reason but when it moves higher we're happy with it. Correction was overdue and inevitable.
Guess Who REALLY Caused The Crypto Crash Today? The Shocking Truth Revealed!
🚨 Guess Who REALLY Caused The Crypto Crash Today? The Shocking Truth Revealed! 🚨
If you woke up to a sea of red in your crypto portfolio, you’re not alone. Today’s crypto crash has sent shockwaves through the market, wiping billions off market caps and sparking fears of another prolonged downtrend. But who, or what, is really behind the chaos?
Let’s dive into the key causes, the players involved, and what this means for crypto investors moving forward.
The Immediate Trigger: A Sudden Market Shakeup
This morning, Bitcoin plunged by over 8%, dragging Ethereum, Solana, and other major altcoins down with it. But the big question remains: What caused this sudden crash?
Here’s what we’ve uncovered:
🔎 1. The Institutional Sell-Off
Reports suggest that large institutional players dumped significant portions of Bitcoin and Ethereum.Data from Glassnode shows a net outflow of over $2 billion from major crypto wallets within a 24-hour period.
🔑 Why It Matters: Institutions often act as market movers. Their sell-offs can trigger panic among retail investors, creating a ripple effect that accelerates the downturn.
🔎 2. Regulatory Fears Reignite
U.S. SEC News: Rumors of stricter regulatory measures targeting decentralized exchanges and stablecoins have resurfaced.China’s Ban Expansion: Reports indicate that China is doubling down on its crypto ban, targeting even OTC trading platforms.
🔑 Why It Matters: Uncertainty around regulations fuels fear, leading investors to exit positions until clarity emerges.
🔎 3. The Macro-Economic Storm
Dollar Strengthens: The U.S. dollar has been rallying, creating pressure on risk assets like crypto.Inflation Woes: Upcoming U.S. Consumer Price Index (CPI) data has sparked fears that inflation may persist, reducing risk appetite across the board.
🔑 Why It Matters: When macroeconomic factors turn bearish, crypto markets often suffer as investors seek safer assets.
The Role of Whales and Liquidations
Data from IntoTheBlock shows a surge in large Bitcoin transactions (over $1 million), suggesting that whales played a significant role in today’s downturn. Meanwhile, over $800 million in long positions were liquidated, adding fuel to the fire.
The Social Media Frenzy
Platforms like Twitter and Reddit have been buzzing with speculation and fear-mongering. Terms like “crypto crash,” “Bitcoin bear market,” and “altcoin liquidation” are trending, further stoking panic among retail investors.
Breaking Down the Aftermath
💔 Who’s Hit the Hardest?
Altcoins: Solana (SOL), Avalanche (AVAX), and Polygon (MATIC) saw double-digit declines.Meme Coins: Dogecoin (DOGE) and Shiba Inu (SHIB) were among the worst performers, with losses exceeding 15%.
💡 What’s Holding Strong?
Surprisingly, stablecoins like USDT and USDC have held up well as investors seek shelter.Bitcoin’s dominance rose slightly, signaling a flight to safety even within the crypto space.
What Happens Next?
1️⃣ Short-Term Outlook:
Expect continued volatility as the market digests the news. Key support levels for Bitcoin are around $95,000, with Ethereum hovering near $3,800.
2️⃣ Long-Term Implications:
The crash serves as a wake-up call for over-leveraged traders and speculative altcoin investors. It also underscores the need for clear regulatory frameworks to stabilize market sentiment.
What Should You Do Now?
💡 For Long-Term Investors:
Stay calm and avoid panic selling.Use this opportunity to dollar-cost average (DCA) into fundamentally strong assets.
💡 For Traders:
Be cautious with leverage, today’s liquidations prove how quickly things can go south.Monitor key resistance and support levels to plan entries and exits.
💡 For Everyone:
Keep an eye on upcoming regulatory announcements and macroeconomic indicators like CPI data.
Final Verdict: A Crash or a Correction?
While today’s crash is alarming, it’s essential to see the bigger picture. Crypto markets are inherently volatile, and periods of extreme fear often present the best opportunities for disciplined investors.
💬 What’s your take on today’s crash? Share your thoughts in the comments below!
✨ Found this article helpful? Like, share, and follow for more real-time crypto insights and strategies. Let’s navigate this market together! 🙌
#CryptoCrash #Bitcoin #AltcoinSeason #CryptoNews #MarketAnalysis
If you woke up to a sea of red in your crypto portfolio, you’re not alone. Today’s crypto crash has sent shockwaves through the market, wiping billions off market caps and sparking fears of another prolonged downtrend. But who, or what, is really behind the chaos?
Let’s dive into the key causes, the players involved, and what this means for crypto investors moving forward.
The Immediate Trigger: A Sudden Market Shakeup
This morning, Bitcoin plunged by over 8%, dragging Ethereum, Solana, and other major altcoins down with it. But the big question remains: What caused this sudden crash?
Here’s what we’ve uncovered:
🔎 1. The Institutional Sell-Off
Reports suggest that large institutional players dumped significant portions of Bitcoin and Ethereum.Data from Glassnode shows a net outflow of over $2 billion from major crypto wallets within a 24-hour period.
🔑 Why It Matters: Institutions often act as market movers. Their sell-offs can trigger panic among retail investors, creating a ripple effect that accelerates the downturn.
🔎 2. Regulatory Fears Reignite
U.S. SEC News: Rumors of stricter regulatory measures targeting decentralized exchanges and stablecoins have resurfaced.China’s Ban Expansion: Reports indicate that China is doubling down on its crypto ban, targeting even OTC trading platforms.
🔑 Why It Matters: Uncertainty around regulations fuels fear, leading investors to exit positions until clarity emerges.
🔎 3. The Macro-Economic Storm
Dollar Strengthens: The U.S. dollar has been rallying, creating pressure on risk assets like crypto.Inflation Woes: Upcoming U.S. Consumer Price Index (CPI) data has sparked fears that inflation may persist, reducing risk appetite across the board.
🔑 Why It Matters: When macroeconomic factors turn bearish, crypto markets often suffer as investors seek safer assets.
The Role of Whales and Liquidations
Data from IntoTheBlock shows a surge in large Bitcoin transactions (over $1 million), suggesting that whales played a significant role in today’s downturn. Meanwhile, over $800 million in long positions were liquidated, adding fuel to the fire.
The Social Media Frenzy
Platforms like Twitter and Reddit have been buzzing with speculation and fear-mongering. Terms like “crypto crash,” “Bitcoin bear market,” and “altcoin liquidation” are trending, further stoking panic among retail investors.
Breaking Down the Aftermath
💔 Who’s Hit the Hardest?
Altcoins: Solana (SOL), Avalanche (AVAX), and Polygon (MATIC) saw double-digit declines.Meme Coins: Dogecoin (DOGE) and Shiba Inu (SHIB) were among the worst performers, with losses exceeding 15%.
💡 What’s Holding Strong?
Surprisingly, stablecoins like USDT and USDC have held up well as investors seek shelter.Bitcoin’s dominance rose slightly, signaling a flight to safety even within the crypto space.
What Happens Next?
1️⃣ Short-Term Outlook:
Expect continued volatility as the market digests the news. Key support levels for Bitcoin are around $95,000, with Ethereum hovering near $3,800.
2️⃣ Long-Term Implications:
The crash serves as a wake-up call for over-leveraged traders and speculative altcoin investors. It also underscores the need for clear regulatory frameworks to stabilize market sentiment.
What Should You Do Now?
💡 For Long-Term Investors:
Stay calm and avoid panic selling.Use this opportunity to dollar-cost average (DCA) into fundamentally strong assets.
💡 For Traders:
Be cautious with leverage, today’s liquidations prove how quickly things can go south.Monitor key resistance and support levels to plan entries and exits.
💡 For Everyone:
Keep an eye on upcoming regulatory announcements and macroeconomic indicators like CPI data.
Final Verdict: A Crash or a Correction?
While today’s crash is alarming, it’s essential to see the bigger picture. Crypto markets are inherently volatile, and periods of extreme fear often present the best opportunities for disciplined investors.
💬 What’s your take on today’s crash? Share your thoughts in the comments below!
✨ Found this article helpful? Like, share, and follow for more real-time crypto insights and strategies. Let’s navigate this market together! 🙌
#CryptoCrash #Bitcoin #AltcoinSeason #CryptoNews #MarketAnalysis
I shorted and made money. thanks for this article.
$ALGO ALERT: ALGO IS POISED FOR TAKEOFF!
$ALGO is currently trading at $0.47.64. Despite a sixfold increase in just one month, ALGO's price peaked at $0.61 on the 3rd and subsequently dropped for three days.
However, the tide has turned. After a two-day rebound, the price experienced a brief downturn in the last couple of hours. But here's the exciting part: the hourly chart is now rising and the 15-minute chart is increasing continuously. This indicates a bullish momentum.
Don't miss this chance! Buy $ALGO now and lock your profits before the price increase!
#ALGO #algo #tradingsignal #signal
$ALGO is currently trading at $0.47.64. Despite a sixfold increase in just one month, ALGO's price peaked at $0.61 on the 3rd and subsequently dropped for three days.
However, the tide has turned. After a two-day rebound, the price experienced a brief downturn in the last couple of hours. But here's the exciting part: the hourly chart is now rising and the 15-minute chart is increasing continuously. This indicates a bullish momentum.
Don't miss this chance! Buy $ALGO now and lock your profits before the price increase!
#ALGO #algo #tradingsignal #signal
basically he is selling more ripple from his bag at this fancy price.
🚨🚨 Breaking News: GMT Drops $100 Million Buyback – But Only YOU Can Decide What Happens Next! 🚨🚨
Something huge just went down in the world of crypto, and it’s sending shockwaves across the space: @GMT DAO DAO has just bought back a **jaw-dropping 600 million GMT tokens** worth a staggering **$100 million**. But here’s the twist – **you** are the one who decides what happens next.
Are you ready to take control of the future? Or will you let this golden opportunity slip through your fingers?
### The BURNGMT Initiative – The Power Is in Your Hands
This is more than just another buyback. **This is a moment of massive potential**. The GMT community is now faced with a choice: **burn the 600 million tokens**, permanently removing them from circulation, or leave them as is. The result of this decision? Well, it could be **game-changing**.
If those tokens are burned, **scarcity** becomes the name of the game. With fewer tokens in circulation, the value of each one could **skyrocket**. Imagine holding a rare asset, one that just got **more valuable** because of a community decision. It’s a rare opportunity to influence not only the token’s future but your **own financial journey**.
### But Here’s the Suspense: What Will You Do?
It’s a decision that could **alter the entire trajectory** of GMT. Are you going to take the risk and vote for the burn, knowing that it could potentially skyrocket the value of your tokens? Or will you play it safe and let the status quo remain?
### GMT Is More Than Just a Token – It’s a Movement
Behind this monumental buyback is a **growing ecosystem** with real-world value:
- **STEPN**: The fitness app that rewards you with GMT for staying active.
- **MOOAR**: A marketplace for exclusive NFTs powered by GMT.
- Global partnerships with major brands like **Adidas** and **Asics** show that GMT isn’t just **another coin**. It’s part of something bigger.
And this burn could be the **catalyst** to propel GMT into the next phase of its growth. The decision is in your hands.
### How to Be Part of This Suspenseful Moment
1. Visit **burngmt.com**.
2. Lock your GMT tokens for **60 days** and participate in the vote: **Burn or not to burn?**
3. The stakes are high – vote, and earn a limited-edition **“Make GMT Great Again” NFT**, plus a share of the **100 million GMT reward pool**.
**What’s at stake here is monumental.** You have the chance to shape the future of GMT, to influence the potential rise in token value. Will you be part of this **defining moment**, or will you watch from the sidelines as others make history?
### The Countdown Is On
This isn’t just another update – it’s your chance to **make history**. With a decision that could make your holdings more valuable and an exciting reward pool at stake, now’s the time to **take control**.
The **future of $GMT is on the line, and **you’re at the center**. Will you seize the moment?
#BinanceHODLerMOVE #BURNGMT #BinanceListMagic Eden(ME) #MarketCorrection #BuyTheDipOrWait
Are you ready to take control of the future? Or will you let this golden opportunity slip through your fingers?
### The BURNGMT Initiative – The Power Is in Your Hands
This is more than just another buyback. **This is a moment of massive potential**. The GMT community is now faced with a choice: **burn the 600 million tokens**, permanently removing them from circulation, or leave them as is. The result of this decision? Well, it could be **game-changing**.
If those tokens are burned, **scarcity** becomes the name of the game. With fewer tokens in circulation, the value of each one could **skyrocket**. Imagine holding a rare asset, one that just got **more valuable** because of a community decision. It’s a rare opportunity to influence not only the token’s future but your **own financial journey**.
### But Here’s the Suspense: What Will You Do?
It’s a decision that could **alter the entire trajectory** of GMT. Are you going to take the risk and vote for the burn, knowing that it could potentially skyrocket the value of your tokens? Or will you play it safe and let the status quo remain?
### GMT Is More Than Just a Token – It’s a Movement
Behind this monumental buyback is a **growing ecosystem** with real-world value:
- **STEPN**: The fitness app that rewards you with GMT for staying active.
- **MOOAR**: A marketplace for exclusive NFTs powered by GMT.
- Global partnerships with major brands like **Adidas** and **Asics** show that GMT isn’t just **another coin**. It’s part of something bigger.
And this burn could be the **catalyst** to propel GMT into the next phase of its growth. The decision is in your hands.
### How to Be Part of This Suspenseful Moment
1. Visit **burngmt.com**.
2. Lock your GMT tokens for **60 days** and participate in the vote: **Burn or not to burn?**
3. The stakes are high – vote, and earn a limited-edition **“Make GMT Great Again” NFT**, plus a share of the **100 million GMT reward pool**.
**What’s at stake here is monumental.** You have the chance to shape the future of GMT, to influence the potential rise in token value. Will you be part of this **defining moment**, or will you watch from the sidelines as others make history?
### The Countdown Is On
This isn’t just another update – it’s your chance to **make history**. With a decision that could make your holdings more valuable and an exciting reward pool at stake, now’s the time to **take control**.
The **future of $GMT is on the line, and **you’re at the center**. Will you seize the moment?
#BinanceHODLerMOVE #BURNGMT #BinanceListMagic Eden(ME) #MarketCorrection #BuyTheDipOrWait
Derivatives for Risk Mitigation
#Derivatives are basically used for Risk Mitigation . Professional traders use derivatives to mitigate their risk on the holding of their assets.
Keeping this in mind , we have brought Derivative Swaps for #cryptocurrencies.
You could have a look into it at test.verslan.com to understand how one could find an option to trade derivatives .
#Derivatives are basically used for Risk Mitigation . Professional traders use derivatives to mitigate their risk on the holding of their assets.
Keeping this in mind , we have brought Derivative Swaps for #cryptocurrencies.
You could have a look into it at test.verslan.com to understand how one could find an option to trade derivatives .
How a position in PEPE swallowed Million dollars
There is an X handle named cryptonerd75. He has posted a tweet that states how he has lost a million on his PEPE and he is thinking about put an end to his life.
What are the lessons? If you're taking a leveraged position make sure you don't keep entire margins in perps. Keep the leveraged margins in perps and take few margins to spot so that a liquidation event won't trigger your funds in spot. Let's say you've $100,000. You take 10x leverage of $1M. When time passes by and if you're still in the position make sure that you readjust the leverage in Binance (that nerd75 guy said to be trading in Binance ) and transfer your remaining amount to spot. let's say you take 20x from 10x and transfer $50,000 to spot. By doing this you save atleast 50% of your funds. Secondly always always learn to respect markets and always put Stop Loss in your trade so that you won't get wiped out. Atleast when you're going for a sleep learn to put Stop Loss. I'm damn sure none of the traders would follow risk management from experienced traders. Bcoz of that , I've given pragmatic suggestions of SL while sleeping and moving money to spot by adjusting leverage for the traders. Hope you'd atleast follow these pragmatic things in your trading and won't end up losing a million . Good Luck !
#PEPE #RiskManagement #Leverage
There is an X handle named cryptonerd75. He has posted a tweet that states how he has lost a million on his PEPE and he is thinking about put an end to his life.
What are the lessons? If you're taking a leveraged position make sure you don't keep entire margins in perps. Keep the leveraged margins in perps and take few margins to spot so that a liquidation event won't trigger your funds in spot. Let's say you've $100,000. You take 10x leverage of $1M. When time passes by and if you're still in the position make sure that you readjust the leverage in Binance (that nerd75 guy said to be trading in Binance ) and transfer your remaining amount to spot. let's say you take 20x from 10x and transfer $50,000 to spot. By doing this you save atleast 50% of your funds. Secondly always always learn to respect markets and always put Stop Loss in your trade so that you won't get wiped out. Atleast when you're going for a sleep learn to put Stop Loss. I'm damn sure none of the traders would follow risk management from experienced traders. Bcoz of that , I've given pragmatic suggestions of SL while sleeping and moving money to spot by adjusting leverage for the traders. Hope you'd atleast follow these pragmatic things in your trading and won't end up losing a million . Good Luck !
#PEPE #RiskManagement #Leverage
Skill or Luck.
Is it possible for us to pick 10 bagger (10x), 20 bagger , 50bagger or 100 one frequently . I see lot of tweets stating that they recommended some X,Y,Z tokens and it has become a blockbuster hit. We don't know how much of their money is in line on their own recommendations.
What's my perspective ?
I've 2 decades of experience in capital markets and I'd say it's highly unlikely that one could really know a position would become 10x or 20x or even 50x. Nobody knows their position would infact become next big thing. In finance more than 75% of the things happens on luck. There are 1000s of reasons given for a blockbuster . Those are all on hindsight. Seldom someone really know that it'd infact become one. Not even founders of the cryptos that you bet would know it'd become a blockbuster and that's the truth.
What you guys think. Drop your comments.
Is it possible for us to pick 10 bagger (10x), 20 bagger , 50bagger or 100 one frequently . I see lot of tweets stating that they recommended some X,Y,Z tokens and it has become a blockbuster hit. We don't know how much of their money is in line on their own recommendations.
What's my perspective ?
I've 2 decades of experience in capital markets and I'd say it's highly unlikely that one could really know a position would become 10x or 20x or even 50x. Nobody knows their position would infact become next big thing. In finance more than 75% of the things happens on luck. There are 1000s of reasons given for a blockbuster . Those are all on hindsight. Seldom someone really know that it'd infact become one. Not even founders of the cryptos that you bet would know it'd become a blockbuster and that's the truth.
What you guys think. Drop your comments.
#RWA #Risk #Tokenization #TokenizationOfRWA
RISKS INVOLVED IN TOKENIZATION OF REAL-WORLD ASSETS (RWA) Part 2
6.Operational Risks:
Operations of an organization are important for the success of the product. Tokenization involves complexities in the operational aspect of a tokenized product. Operational issues viz., custody, security, and maintenance of tokenized products are highly complex in nature and would take a substantial amount of time and effort to produce better structure for the product.
7. Fraud & Security risks :
Due to permissionless and decentralized nature, there is a probability to commit fraud by stakeholders of tokenized products. The decentralized and pseudonymous nature of blockchain can attract fraudulent activities. Hack, theft, rug pull and other key issues are likely to get involved in a product that are tokenized by an organization.
8. Market Manipulation:
Due to liquidity issues, there is a probability that tokenized assets may be susceptible to market manipulation. This could include circular trading, wash trading, fake it till you make it type of schemes. This would drastically affect market players and traders that could permanently make them stay away from the markets.
These are the risks that are involved in tokenization of real world assets. An organization has to take care of these risks and would try to avoid or mitigate these risks to provide better products for the customers
RISKS INVOLVED IN TOKENIZATION OF REAL-WORLD ASSETS (RWA) Part 2
6.Operational Risks:
Operations of an organization are important for the success of the product. Tokenization involves complexities in the operational aspect of a tokenized product. Operational issues viz., custody, security, and maintenance of tokenized products are highly complex in nature and would take a substantial amount of time and effort to produce better structure for the product.
7. Fraud & Security risks :
Due to permissionless and decentralized nature, there is a probability to commit fraud by stakeholders of tokenized products. The decentralized and pseudonymous nature of blockchain can attract fraudulent activities. Hack, theft, rug pull and other key issues are likely to get involved in a product that are tokenized by an organization.
8. Market Manipulation:
Due to liquidity issues, there is a probability that tokenized assets may be susceptible to market manipulation. This could include circular trading, wash trading, fake it till you make it type of schemes. This would drastically affect market players and traders that could permanently make them stay away from the markets.
These are the risks that are involved in tokenization of real world assets. An organization has to take care of these risks and would try to avoid or mitigate these risks to provide better products for the customers
#RWA #Risk #Tokenization
RISKS INVOLVED IN TOKENIZATION OF REAL-WORLD ASSETS (RWA) - Part 1
1. Regulatory Compliance:
Regulatory risk is one of the most important risks involved in tokenization of RWA. So many regulatory authorities are there for trading finance products. From Europe to the US to Australia different regions have different authorities. Protocol that brings RWA in Blockchain needs to comply accordingly to different geographies. This is one of the toughest ask for a tech company.
2. Market Liquidity:
Have been hearing from so many quarters that tokenizing RWA in itself would bring customers whereas in reality it is not.
The demand for these products depends on so many factors viz., Understanding the product, nature of the products and right mix of the product to attract liquidity towards that specific product. This is easier said than done.
3. Smart Contract & Tech Risks:
The use of smart contracts introduces the risk of vulnerabilities and bugs. Blockchain products are totally dependent on code. In Blockchain, Code= Contract. If and when there are severe bugs then the entire product collapses. Blockchain technology is still in its nascent stage, and adopting it by common man is a tall ask. Apart from this there are scalability issues and interoperability challenges for a product.
4. Valuation Challenges:
Identifying pricing and valuation for tokenization is an herculean task. In most of the products it’s not possible to understand the market value of a product. The parameters to ascertain market value are simply not found with Tokenized products.
5. Market Perception:
Perception in acceptance of tokenized assets is still a tough challenge. This could have a tremendous impact on the value of tokenized products. How the market perceives plays a pivotal role in driving prices of a product. Creating perception is important for holding prices of a product to create value for stakeholders involved in the project.
RISKS INVOLVED IN TOKENIZATION OF REAL-WORLD ASSETS (RWA) - Part 1
1. Regulatory Compliance:
Regulatory risk is one of the most important risks involved in tokenization of RWA. So many regulatory authorities are there for trading finance products. From Europe to the US to Australia different regions have different authorities. Protocol that brings RWA in Blockchain needs to comply accordingly to different geographies. This is one of the toughest ask for a tech company.
2. Market Liquidity:
Have been hearing from so many quarters that tokenizing RWA in itself would bring customers whereas in reality it is not.
The demand for these products depends on so many factors viz., Understanding the product, nature of the products and right mix of the product to attract liquidity towards that specific product. This is easier said than done.
3. Smart Contract & Tech Risks:
The use of smart contracts introduces the risk of vulnerabilities and bugs. Blockchain products are totally dependent on code. In Blockchain, Code= Contract. If and when there are severe bugs then the entire product collapses. Blockchain technology is still in its nascent stage, and adopting it by common man is a tall ask. Apart from this there are scalability issues and interoperability challenges for a product.
4. Valuation Challenges:
Identifying pricing and valuation for tokenization is an herculean task. In most of the products it’s not possible to understand the market value of a product. The parameters to ascertain market value are simply not found with Tokenized products.
5. Market Perception:
Perception in acceptance of tokenized assets is still a tough challenge. This could have a tremendous impact on the value of tokenized products. How the market perceives plays a pivotal role in driving prices of a product. Creating perception is important for holding prices of a product to create value for stakeholders involved in the project.
#Perpetual #futures #RWA #Risk
Why do Futures Market exist?
Part 2 of the article 👇👇👇
Hypothesis 1 - $180. He had made a profit of $20/ ton on hedging the contracts he sold. Anyhow he would be providing delivery of those contracts in physical goods. He'd continue his risk mitigation by doing the trade in forward contracts. He made his $20 on mitigating the risk. But in real terms, there is no change in prices. He would keep on continuing to manufacture Aluminium. He would continue to sell his current obligations in spot markets by delivering to his regular customers. This is what we call hedging. In this case, the manufacturer has mitigated the risk by selling in future markets. He would continue to sell his products as he has to do it to continue his business. In future markets, he wouldn't have a substantial premium yet he would continue to do it simply to manage the risk.
Hypothesis 2 - $220. He had made a loss of $20/ ton on hedging the contracts he sold. Anyhow he would be providing delivery of those contracts in physical goods. He'd continue his risk mitigation by doing the trade in forward contracts. He lost $20 on mitigating the risk. But it wouldn't affect him as he simply mitigated the risk by placing future contracts. Anyhow he is going to settle the contracts with his Aluminium. He sold the Aluminium at $200 when the spot was around $180. This is how a manufacturer mitigates the risk. In the coming forward markets, he would fetch more premium for his products. It's a win-win situation for him.
Now replicate this to crypto and we could understand the concept of derivatives and risk mitigation it plays in the protection.
Why do Futures Market exist?
Part 2 of the article 👇👇👇
Hypothesis 1 - $180. He had made a profit of $20/ ton on hedging the contracts he sold. Anyhow he would be providing delivery of those contracts in physical goods. He'd continue his risk mitigation by doing the trade in forward contracts. He made his $20 on mitigating the risk. But in real terms, there is no change in prices. He would keep on continuing to manufacture Aluminium. He would continue to sell his current obligations in spot markets by delivering to his regular customers. This is what we call hedging. In this case, the manufacturer has mitigated the risk by selling in future markets. He would continue to sell his products as he has to do it to continue his business. In future markets, he wouldn't have a substantial premium yet he would continue to do it simply to manage the risk.
Hypothesis 2 - $220. He had made a loss of $20/ ton on hedging the contracts he sold. Anyhow he would be providing delivery of those contracts in physical goods. He'd continue his risk mitigation by doing the trade in forward contracts. He lost $20 on mitigating the risk. But it wouldn't affect him as he simply mitigated the risk by placing future contracts. Anyhow he is going to settle the contracts with his Aluminium. He sold the Aluminium at $200 when the spot was around $180. This is how a manufacturer mitigates the risk. In the coming forward markets, he would fetch more premium for his products. It's a win-win situation for him.
Now replicate this to crypto and we could understand the concept of derivatives and risk mitigation it plays in the protection.
Why Does the Futures Market Exist?
Part 1 of the article 👇👇👇
I'd like to give real-world examples to make readers understand the existence of future markets. Let's say there is an Aluminium Manufacturer. He would like to mitigate his risk on the prices of Aluminium. Why is he mitigating his risk? Simple, he doesn't know what would happen to the prices of Aluminium over the future course of his business.
Before unerstanding the way to mitigate the risk,one must understand that Risk mitigation is the practice of reducing the impact of potential risks by developing a plan to manage, eliminate, or limit setbacks as much as possible.
How would he do that?
Well, he goes to the "Futures Exchange" to sell his product. He could sell the forward contract of his product. In the forward contract, the probability of receiving a premium for his products is high and he'd sell contracts of Aluminum. Let me explain through a hypothetical case - let's call him Manufacturer A. A sells 10000 contracts of Aluminium of 2 months forward assuming that we're writing this on October 28 and he is selling futures of January contract. A is selling for 10000@ $200/ton. He'd be having $2,000,000 less trading fees in his ac. Say the spot prices are trading around $180. He is getting a premium of $20/Ton. Say at the time of January 28 Aluminium is selling at $180.
Part - 2 To be Continued
Part 1 of the article 👇👇👇
I'd like to give real-world examples to make readers understand the existence of future markets. Let's say there is an Aluminium Manufacturer. He would like to mitigate his risk on the prices of Aluminium. Why is he mitigating his risk? Simple, he doesn't know what would happen to the prices of Aluminium over the future course of his business.
Before unerstanding the way to mitigate the risk,one must understand that Risk mitigation is the practice of reducing the impact of potential risks by developing a plan to manage, eliminate, or limit setbacks as much as possible.
How would he do that?
Well, he goes to the "Futures Exchange" to sell his product. He could sell the forward contract of his product. In the forward contract, the probability of receiving a premium for his products is high and he'd sell contracts of Aluminum. Let me explain through a hypothetical case - let's call him Manufacturer A. A sells 10000 contracts of Aluminium of 2 months forward assuming that we're writing this on October 28 and he is selling futures of January contract. A is selling for 10000@ $200/ton. He'd be having $2,000,000 less trading fees in his ac. Say the spot prices are trading around $180. He is getting a premium of $20/Ton. Say at the time of January 28 Aluminium is selling at $180.
Part - 2 To be Continued