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Bitcoin Crashed 12% Within Minutes, but These Traders Still Took Profits | Live Bitcoin News

When Bitcoin rose to $12,100, the crypto world cheered up for the great news and a test to $15,000 seemed almost achievable. However, the joyous moment was short-lived – a few hours later, Bitcoin plummeted to as low as $10,508, easing the last three days’ gain within just a few minutes.

When Bitcoin rose to $12,100, the crypto world cheered up for the great news and a test to $15,000 seemed almost achievable. However, the joyous moment was short-lived – a few hours later, Bitcoin plummeted to as low as $10,508, easing the last three days’ gain within just a few minutes.

Nearly $1.4 billion worth of positions across major exchanges were liquidated and a majority of them were long positions. Influenced by the crash of Bitcoin, other major coins experienced sharp dumps on various degrees. The Bitcoin price has now recovered slightly and is consolidating at $11,200.

Not all hope was crushed in the bloodbath, many traders managed to earn profits by shorting Bitcoin with leverage. Leveraged trading allows traders to earn profits by speculating the ups and downs of crypto, and with the leverage borrowed from brokers, they could open positions far greater than their initial funds.

Let’s see how we can benefit from the price drop of Bitcoin:

Assume we use 1 BTC to open a short contract when Bitcoin is trading at $12,000. Please note that with 100x leverage, 1 BTC can open a contract worth 100 BTC.

If BTC price drops to $11,500.The profit will be ($12,000 – $11,500) * 100 BTC/$11,500 *100% = 4.34 BTC, making the ROI 434%.

What if BTC price continues to drop and ends up at $11,000? If such a crash does happen like the one that happened on Sunday morning, the profit will be ($12,000 – $11,000) * 100 BTC/$11,000 *100% = 9.09 BTC, making the ROI 909%.

Leveraged trading is a mature and highly profitable instrument in crypto trading. While it can generate handsome money, the loss we will bear if we make the wrong guess will hurt a lot. So if you are interested in leveraged trading, make sure you choose a user-friendly platform and use tools such as stop-loss to manage risks.

Bexplus – Go-to Crypto Exchange for Beginners and Veterans

Bexplus is a leading crypto derivatives platform offering 100x leverage in BTC, ETH, EOS, LTC, and XRP futures contracts. Headquartered in Hong Kong, Bexplus is trusted by over 100K traders around the world, including the USA, Japan, Korea, and Iran. No KYC, no deposit fee, traders can receive the most attentive services, including 24/7 customer support.

  • Demo account with 10 BTC

Trading simulator is a must-have tool for beginners. They can learn to trade in the stimulator and try out different strategies. There are 10 replenishable BTC in the demo account for traders to practice as much as they like, without taking any risks. You can also learn to analyze the market and use the tool-kit with the demo account.

bitcoin

  • 24/7 withdrawal and 24/7 customer support

You can submit a withdrawal request anytime you want and have your deposits back in as fast as 30 minutes during work hours. If you encounter any problems when using Bexplus, the team is always ready to help you via different channels, including email and live chat.

  • BTC wallet: up to 30% annualized interest without any risks

If you want to take a short break from trading, the Bexplus BTC wallet can help you generate juicy profit without taking any risks. With up to 30% annualized interests, it is no doubt one of the most profitable rates in the industry. While most lending platforms require traders to deposit at least 1 BTC, traders can make a deposit starting from 0.05 BTC on Bexplus.

btc, bexplus

  • Top ranking mobile apps to help you trade smartly

The top-ranking Bexplus mobile app has one of the most intuitive interfaces that could help you better manage your account. Even when taking the subway or waiting for your food to arrive, you can check the market, open positions, or make a deposit on the interest-bearing wallet with just a few swipes.

bexplus, btc

  • 100% bonus to help you maximize profit

Doubled margin helps you double your profits! Deposit 1 BTC and you will get 2 BTC. Up to 10 BTC is available in each deposit and you can withdraw all the profits generated by the bonus. Furthermore, bigger margin means that your positions are less likely to get liquidated. Your positions will be better secured in the highly volatile market.

bexplus, btc

A long-waited bull run may be on the way, and there will certainly be many ups and downs in the future. If you hope to take advantage of these opportunities, don’t hesitate to join Bexplus now!

Follow Bexplus on:

Website: https://www.bexplus.com/
Telegram: https://t.me/bexplusexchange
Apple App Store: https://itunes.apple.com/app/id1442189260?mt=8
Google Play: https://play.google.com/store/apps/details?id=com.lingxi.bexplus

Image by Steve B from Pixabay

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Daily Financial News

Don’t Count On JPY Correction; Staying Long GBP/JPY

The path of the potential pace of the JPY decline may still be underestimated by markets, which continue trading the JPY long.

While the 10% USDJPY advance from September lows looks impressive from a momentum point of view, it may no thave been driven by Japan’s institutional investors reducing their hedging ratios or Japan’s household sector reestablishing carry trades.

Instead, investors seemed to have been caught on the wrong foot, concerned about a sudden decline of risk appetite or the incoming US administration being focused on trade issues and not on spending. Spending requires funding and indeed the President-elect Trump’s team appears to be focused on funding. Here are a few examples: Reducing corporate taxation may pave the way for US corporates repatriating some of their USD2.6trn accumulated foreign profits. Cutting bank regulation could increase the risk-absorbing capacity within bank balance sheets. Hence, funding conditions – including for the sovereign – might generally ease. De-regulating the oil sector would help the trade balance, slowing the anticipated increase in the US current account deficit. The US current account deficit presently runs at 2.6% of GDP, which is below worrisome levels. Should the incoming government push for early trade restrictions, reaction (including Asian sovereigns reducing their holdings) could increase US funding costs, which runs against the interest of the Trump team.

Instead of counting on risk aversion to stop the JPY depreciation, we expect nominal yield differentials and the Fed moderately hiking rates to unleash capital outflows from Japan.The yield differential argumenthas become more compelling with the BoJ turning into yield curve managers. Via this policy move, rising inflation rates push JPY real rates and yields lower, which will weaken the JPY. Exhibit 12 shows how much Japan’s labor market conditions have tightened. A minor surge in corporate profitability may now be sufficient, pushing Japan wages up and implicity real yields lower.

JPY dynamics are diametrical to last year . Last year, the JGB’s “exhausted”yield curve left the BoJ without a tool to push real yields low enough to adequately address the weakened nominal GDP outlook. JPY remained artificially high at a time when the US opted for sharply lower real yields. USDJPY had to decline, triggering JPY bullish secondround effects via JPY-based financial institutions increasing their FX hedge ratios and Japan’s retail sector cutting its carry trade exposures. Now the opposite seems to be happening. The managed JGB curve suggests rising inflation expectations are driving Japan’s real yield lower. The Fed reluctantly hiking rates may keep risk appetite supported but increase USD hedging costs.Financial institutions reducinghedge ratios and Japan’s household sector piling back into the carry trade could provide secondround JPY weakening effects

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Daily Financial News

Mexico raises interest rates, cites Trump as risk

The head of Mexico’s central bank says U.S. Republican candidate Donald Trump represents a “hurricane” sized threat to Mexico.

Banco de Mexico Gov. Agustin Carstens told the Radio Formula network Friday that a Trump presidency “would be a hurricane and a particularly intense one if he fulfills what he has been saying in his campaign.”

Trump has proposed building a wall along the border and re-negotiating the North American Free Trade Agreement.

Mexico’s central bank raised its prime lending rate by half a percent to 4.75 percent Thursday, citing “nervousness surrounding the possible consequences of the U.S. elections, whose implications for Mexico could be particularly significant.”

Mexico’s peso had lost about 6 percent in value against the dollar since mid-August. It recovered slightly after the rate hike

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Financial News

Africa’s first Fairtrade certified gold co-operative offers hope to gold miners living in poverty

Syanyonja Artisan Miners’ Alliance (SAMA) has become the first artisanal small scale mining co-operative in Africa to become Fairtrade certified, bringing much needed hope to impoverished communities who risk their lives to mine the rich gold seam that runs around Lake Victoria.

SAMA is one of nine previously informal groups from Uganda, Kenya and Tanzania which has benefitted from a pilot project launched by Fairtrade in 2013. This innovative program aims to extend the benefits of Fairtrade gold to artisanal miners across East Africa.

In that short time, SAMA has undergone training in business and entrepreneurship, as well as safe use of mercury, internal control systems, labour rights and better working conditions, health and safety and more. Previously, daily contact with toxic chemicals used to process gold meant members risked disease, premature births and even death.  Fairtrade gold was first launched in 2011, and SAMA now joins Fairtrade certified gold mines MACDESA, AURELSA and SOTRAMI in Peru.

The co-operative produces just 5 kg gold per year, but nevertheless has the potential to significantly benefit many people in the local community through better conditions through certification. It is expected that Fairtrade and organizations like Cred Jewellery will support the miners, ensuring their gold can be refined and made available to jewellers in the UK and other markets.

Gonzaga Mungai, Gold Manager at Fairtrade Africa said: “This is a truly momentous and historical achievement and the realisation of a dream that is many years in the making. Gold production is an important source of income for people in rural economies. Congratulations to SAMA, it sets a precedent which shows that if groups like this can achieve certification, then it can work for others right across the African continent.”

The Fairtrade Gold Standard encourages better practice and changes to come in line with international regulation around the production and trade of so-called ‘conflict minerals’. Under the Standard, miners are required to:

  • Uphold a human rights policy preventing war crimes, bribery, money laundering and child labour
  • Clearly represent where the minerals were mined
  • Minimise the risks of conflict minerals through robust risk assessments and collaboration across supply chains
  • Report to buyers and trading partners regarding the risks of conflict minerals

Now in its second phase, the programme will focus on supporting other mining groups in the region to access affordable loans and explore a phased approach to accessing the Fairtrade market, allowing more mining co-operatives across Africa to participate in the programme.

Gonzaga added: “Sourcing African metals from smallscale miners in the Great Lakes Region is the responsible thing to do. For a long time companies have avoided buying gold from this region, with devastating consequences for impoverished communities who were already struggling. It has driven trade deeper underground, as unscrupulous buyers pay lower prices and launder illegal gold into legitimate supply chains. That’s why we have chosen to work with these groups to help them earn more from their gold within a robust compliance system that offers social, environmental, and economic protections.”

The Fairtrade gold programme offers a small but scalable solution to sustainable sourcing of gold from the region in line with Section 1502 of the Dodd-Frank Act in the US, OECD Due Diligence Guidance and recent EU Supply-Chain Due Diligence proposals which could come into effect in 2016. This means that up to 880,000 EU firms that use tin, tungsten, tantalum and gold in manufacturing consumer products could be obliged to provide information on steps they have taken to identify and address risks in their supply chains for so-called ‘conflict minerals’.

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