How to hedge Bitcoin in a downtrend

The crypto currency space is very volatile, so knowing how to hedge your bets can be extremely valuable and help you survive in the crypto space. So lets get started:

Having Rules

Having rules is very importing because they can keep you out of trouble when shit goes crazy in the market:

Rule #1: Always keep 50% of you account balance in BTC

Rule #2: Always keep in mind that the crypto-currency market is heavily correlated to BTC but not all coins

Rule #3: Always try to correlated your trade to the BTC trend for example if BTC is on a good uptrend its high probability that alt coins will follow after and vice verse

Applying the rules

Because you always have 50% your account in BTC, you can swap your BTC for USDT. When BTC is about to enter down trend. Now the coins that you are bag-holding you can trade those coins back to BTC and move to a shit coin that’s at the bottom of the barrel for example; if you go to coin marketplace and start looking form the last page to the first you will notice a lot of shit coins that have a market cap of $109 and up. I recommend looking at market cap that range from $500,000 to $2,000,000 with a low coin cap supply they typically tend to move up when the rest of the market is down. The probability of them moving down is low because the already down and have low volume which is a pain in the ass. Now the amount you would be paying around with most likely would be .5 to 1 BTC because of the risk of shit coins and low volume, do this and you should survive most bear markets. Enjoy, if you have any question @ me on twitter (https://twitter.com/crypto_trader)