Seasoned CNBC Trader Burned on Bitcoin (BTC) Short After the Price Rises to $6,600

Voyager
Voyager

Seasoned options trader Scott Nations, the president and chief investment officer of NationsShares, recently took out a short on Bitcoin (BTC) when it was priced at $6,370.

Nations made the trade through the Cboe futures market live on CNBC on September 26 while also blasting Bitcoin for being a zero-value asset.

“I want to be a seller of the October contract. The Cboe Bitcoin futures, that is a single Bitcoin in a futures contract. My targeted downside is $5,950 and my stop to the upside is $6,600. Why do I want to short? Because it is Bitcoin. It has no fundamental value. We‚Äôre in an unraveling of this colossal bubble and the only thing going for it is hope, and hope is a horrible strategy,” said Nations

The bearish bet comes just days after Jim Iuorio, a veteran futures and options trader who commonly contributes to CNBC’s Futures Now, recently stated that $6,000 is increasingly looking like a pivotal support level for Bitcoin moving forward.

While it looked like major investors were prepping for a battle between bulls and bears at the $6,000 mark, the price of Bitcoin has recently surpassed Scott’s stop-loss of $6,600. It stands to reason that a short squeeze might occur at these levels if other major traders are following a similar thesis.

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Bitcoin has shown relative stability over the past few weeks of trading and currently makes up 54.2% of the AltDex 100 Index (ALT100), a benchmark index for large-cap cryptocurrencies and tokens.

More: Trader sees bitcoin breaking below $6,000
Similar:¬†Veteran Futures Trader: $6,000 Level for Bitcoin (BTC) Is a ‚ÄėBig Deal‚Äô

Disclaimer: This article’s author has cryptocurrency holdings that can be tracked here. This article is for informational purposes only and should not be taken as investment advice. Always conduct your own due diligence before making investments.

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