A long trade means you are betting that the price will increase.
Example:
BTC price is $60,000. You open a long. BTC moves to $61,000. You make profit because price moved up.
Simple meaning:
Long = Buy direction = Profit when price goes up
Traders usually open long positions when:
* Price breaks above resistance * Market sentiment is bullish * BTC is holding strong support * Volume increases during upward movement * Short sellers may get squeezed
But never open a long only because price is green. Always wait for confirmation.
what is short?
A short trade means you are betting that the price will decrease.
Example:
BTC price is $60,000. You open a short. BTC drops to $59,000. You make profit because price moved down.
Simple meaning:
Short = Sell direction = Profit when price goes down
Traders usually open short positions when:
* Price rejects from resistance * Market sentiment is bearish * BTC loses support * Volume increases during downward movement * Long traders may get liquidated
But never short only because price is red. Price can suddenly bounce and create a short squeeze