Thiel’s fund wound down 8-year bitcoin bet before market crash

Discussion in 'Crypto Assets' started by Pekelo, Jan 19, 2023.

  1. Pekelo

    Pekelo

    There is nothing wrong with luck, as long as people don't confuse it with skill. Luck eventually runs out. That is why I like Mark Cuban, Charlie Lee, etc. They realized they were sitting on fool's gold and quickly sold, before others came to the same conclusion.
     
    #11     Jan 19, 2023
  2. newwurldmn

    newwurldmn

    They probably were married to it but realized that the intermediaries were of poor financial quality. They had access to these firms books as these firms were likely looking for financing and Peter thiel is a name you would love to have on your cap table.

    over 8 years there were tons of drawdowns in bitcoin.

     
    #12     Jan 19, 2023
    johnarb likes this.
  3. zdreg

    zdreg

    There is no such thing as a no brainer in markets. There is such a thing as no brains in markets.
     
    #13     Jan 19, 2023
    ElCubano and virtusa like this.
  4. virtusa

    virtusa

    Since 2015 there were only 4 real signals that the market would go down and you should sell all your BTC. If you see tons of drawdowns you should improve your strategy. You saw a lot of retracements between the four real signals. If you have positions like Thiel you only should take the real critical turning points. The fourth real signals was in 2021 when I posted it. Around 65K.
     
    #14     Jan 19, 2023
  5. newwurldmn

    newwurldmn

    My point is that he likely exited because “this time was different” and he had an inside look into that.

     
    #15     Jan 19, 2023
  6. virtusa

    virtusa

    No brains in market is the predominant condition.
    That's what creates the inefficiency in the markets.
     
    #16     Jan 19, 2023
  7. virtusa

    virtusa

    I agree. He is not a trader, so he uses a different approach. Having an inside look helps also a lot.
    What he saw confirmed my mathematical approach.
     
    #17     Jan 19, 2023
  8. He knew FTX was going to collapse, not because he has a crystal ball like Pelosi, but because he is just that super smart.

    This was not due to any random back swan events in crypto. But because he clearly saw into the future and timed it perfectly. :D
     
    #18     Jan 19, 2023
  9. R1234

    R1234

    he might have been using a very complex strategy called the '50 day moving average'
    upload_2023-1-19_13-10-56.png
     
    #19     Jan 19, 2023
  10. Pekelo

    Pekelo

    It is a good point but:

    1. They may have been playing it long/cash for the last few years.
    2. Since they have been long since 2014, holding it until the last ATH was the best strategy, by 20/20 hindsight.
     
    #20     Jan 19, 2023