How To Short Bitcoin And The Platforms Used To Short Bitcoin – Shorting Bitcoin (BTCUSD) may be a good option for traders who assume the currency will crash at some time in the future. With the cryptocurrency’s rising popularity in mainstream finance, the percentage of venues and methods for shorting Bitcoin has magnified.

What Is Short Bitcoin And The Risk You Need Understand 

Bitcoin shorting is the expression of selling a cryptocurrency in the optimism that its value will fall and you can repurchase it at a lower price. Market makers can then generate income from the price gap in the market. Short-selling turns the traditional mantra of “buy low, sell high” on its head: instead of buying low and selling high, the trader retails the asset first and then repurchases it later.

The risks of shorting cryptocurrency are self-evident. If you bet on a cryptocurrency’s value falling and it rises instead, you will lose. The amount you could lose is determined by the instruments or methodologies you use to access a short position and the amount at stake.

Consider the following: If you use margin to buy $1,000 in Bitcoin and the value of Bitcoin falls 50% overnight, your asset is now worth $500, and you attribute the exchange $500 plus interest.

Shorting any security, including stocks, entails similar risks. However, the risks associated with cryptocurrency are even more significant, given that it is a highly volatile and largely unregulated market. However, some experts believe that shorting can benefit the stock system.

Also read: How To Buy Bitcoin With Paypal Instantly

How To Short Bitcoin On Binance 

Too short a bitcoin, procure it and sell it on a swap at the current market price. You then buy the virtual money later and pay back the borrowed funds. If the coin’s value has dropped, you can benefit from the difference in cost between buying and selling.

If you are too short on Binance options, you can download the Binance mobile app. The steps required to quick Binance options are outlined below.

Step 1 – Download the Binance app

Step 2 – Activate futures

Step 3 – Go to the Trades tab

Step 4 – Pick the expiry time

Step 5 – Specify contract size

Step 6 – Confirm

Step 7 – Sell open positions

Step 8 – Settle

Also read: Pros And Cons Of Bitcoin: Is It A Good Investment?

How To Short Bitcoin On Coinbase 

The centralized exchange Coinbase does not currently support the 1x Short Bitcoin Token. However, you can still purchase 1x Short Bitcoin Token on Coinbase Wallet, your gateway to the crypto world. Here’s how to buy 1x Short Bitcoin Token with your Coinbase wallet:

Step 1: Download Coinbase Wallet

Step 2: Choose a Coinbase Wallet username

Step 3: Securely store your recovery phrase

Step 4: Understand and plan for Ethereum network fees

Step 5: Buy and transfer ETH to Coinbase Wallet

Step 6: Use your ETH to buy 1x Short Bitcoin Token in the trade tab

How To Short Bitcoin On Kucoin 

Let’s get started on the KuCoin exchange. Today, we will show you how to use KuCoin Futures to short any cryptocurrency.

Step 1: Make sure your account is funded

Step 2: Fund your futures account

Step 3: Find the cryptocurrency you’re shorting

Step 4: Get levered up (not recommended)

Step 5: Pull the trigger

How To Short Bitcoin On Webull 

Create your WeBull account or app.

Within the app: navigate to the ‘Watchlist’ tab

Step 1: Find the stock you want to short

Step 2: Look for a blue downward arrow icon; if it’s there, you can short-sell it.

Step 3: Press the ‘Trade’ button.

Step 4: Click ‘Sell.’

Step 5: Place the order

Your new short stance will be showcased as a negative quantity in the ‘My Positions’ segment. Remember that short selling requires borrowing shares of a company’s stock before selling them. The borrowing payment made for this company’s stock in the margin account is the cost of a short sale on WeBull. The margin loan percentage on borrowed stock adjustments daily current market conditions.

How To Short Bitcoin On Robinhood 

Regardless of the risk, short selling can be profitable if you do your research and implement risk-management strategies. Continue reading for a step-by-step tutorial on short selling.

Step 1: Open a Margin Account

Step 2: Identify a Short Sale Candidate

Step 3: Define Your Exit Strategy

Step 4: Open a Short Position

Step 5: Cover the Position

Also read: Bitcoin Diamond (BCD) Beginner Guide: Price, Prediction, News


This detailed guide for traders has supplied all the information required when short-selling Bitcoin. Short selling allows you to make profits even when the market is down, or you anticipate the need to crash. Many investors rush to sell their holdings when the cryptocurrency market hits or is expected to crash. Even so, if you become proficient in short selling, you will profit while others lose.

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