Bitcoin Silk Road Crash Buy-in
Capital Req:capital_medium
Entry Window:2013-10-02
Exit Window:2013-11-29
Execution Directive:
Buy BTC aggressively at $109 during peak panic.
Preparation
- Have fiat ready on major exchanges like BTC-e, Mt.Gox, or BTC China.
- Monitor Reddit (r/Bitcoin) and Bitcointalk for breaking news.
Execution Steps
- On October 2, 2013, news breaks that the FBI shut down the Silk Road. Panic selling instantly ensues.
- The price crashes down to ~$109. Retail investors panic, believing Bitcoin's "only real use case" is dead.
- Contrarian play: The destruction of the Silk Road actually removes the "dark money" stigma, paving the way for institutional and mainstream Chinese money. Scoop up all panic dumps below $110.
Exit Strategy
- Move purchased BTC to cold storage immediately.
- Wait just one month. By November, Chinese retail FOMO will ignite a monumental bull run.
- Liquidate your entire position in late November when the price breaks $1,000, securing a 10x return in under 8 weeks.