Dan Hollings’ The PLAN Could Lose You Money Without This Crypto Short-Selling Strategy

Dan Hollings’ The Plan teaches people how to get into hands-free cryptocurrency trading, safely and with lots of profit-making potential.

Another reviewer says it’s “possibly a once in a lifetime opportunity. The Plan is the safest way available today to invest in the cryptocurrency market. Full stop.”

Both of those statements are hype.

“It’s better than sex!”: Image via Shutterstock

Don’t get me wrong. I love The PLAN. I have purchased it myself. It’s a state of the art course that will teach you everything you need to know to make money using artificial intelligence software trading bots.

But, it’s not a completely safe, automatic money machine.

The PLAN’s AI software bots make as many as hundreds of micro-trades of cryptocurrencies every day, and also hundreds of micro-profits. The bots only sell crypto when they can make profits, and only buy when prices dip.

Countless numbers of Dan Hollings’ students have succeeded with this course and are making money everyday, so we know it works.

So, what could go wrong?

If you take the couple hours needed to learn the system and follow the instructions in setting up your bots, they will do what they’re designed to do.

When the market wiggles upwards you will make lots of little profits. When the market wiggles sideways you will also make lots of little profits.

And, when crypto prices wiggle downwards you can also profit, as long as the prices stay within the ranges you have preset for your trading bots.

If, however, crypto prices drop below your bots’ trading ranges, then the bots will stop selling, because they can’t sell at a profit, and you will not make any money.

So, you’re stuck underwater, waiting for the crypto prices to go up again and come back into range.

But, what if they don’t come back, or what if they keep going down?

Then, you have a choice of turning off the bot and either selling your crypto at a loss, or hanging onto it (hodling) in the hope it will come back someday.

That could be days, weeks, months, years, or never.

Still waiting for the damn bot. Image via Placeit

Or, you could close your current bot range settings, reset the bots with lower ranges, and let crypto prices wiggle within the new range. You could start making profits again, but overall you would still be operating at a loss compared to the purchase prices you paid within your original bot range.

If only there were a way to follow The PLAN when the market is going up or sideways or down just a bit, but be protected when crypto prices take bigger dips.

Of course there is, the title of this post has already given it away!

Image via Shutterstock

How To Cut Your Downside Risks With The PLAN

We’ve mentioned The PLAN’s vulnerability to large or sustained crypto price drops that go below your bot trading preset ranges.

When that happens, you need to have an exit plan.

Exit Strategy: Image via Pixabay

Dan Hollings suggests just holding tight and waiting for prices to come back up again. In the meantime he suggests focusing on your overall net gains, assuming you are running more than one bot and that most of them are still making profits.

We think you can do better than that.

We’re going to look at three different scenarios for getting the most out of The PLAN.

  1. Closing your bot at small loss when market indicators suggest prices may continue to decline.
  2. Adding a short-selling component to your bot trading PLAN strategy.
  3. Adding The PLAN to your overall strategy if you are already an active short-sell trader.

Let’s look at each of these approaches in more detail.

1. Limiting The PLAN losses (short-selling not needed)

A PLAN investor can avoid a lot of downside risk just by learning when to get out of a bot automation. Take a small loss if necessary, wait for better market conditions, or find better bot-trading opportunities.

2. The PLAN + Short-Selling

If you are following The PLAN with your crypto investments, adding a short-selling component adds flexibility and reduces the vulnerability of your bot-trading strategy.

If crypto prices look like they may drop below your preset bot-trading range you have choices. You can either hope for the best, that prices will come back within your bot-trading range. Or you can proactively close your bot automation campaign and take advantage of the downtrend in the market by short-selling.

3. Short-Selling + The PLAN

If you are already using crypto futures trading to make money in cryptocurrency markets, you know short-selling usually only works within narrow trading windows.

You are always on the lookout for promising short-sell opportunities. You close your position and make some money, then look for the next opportunity.

Using trading bots has the potential to create another income stream, one that is more stable than short-selling, and works when short-selling doesn’t.

Market Timing for Short-Sellers

If short-selling is already part of your arsenal, then you understand the challenges of knowing when to take short positions, and how to manage the risks associated with those positions.

Which makes you an ideal candidate for Dan Hollings’ The PLAN. You are uniquely qualified to make money with The PLAN while simultaneously being equipped to profit from downturns in the market. The biggest risk involved with The PLAN is exactly where you are comfortable trading.

The Good News and the Bad News for Students of The PLAN

One of the signature selling-points of The PLAN is “doing nothing.”

Letting the AI bots buy and sell automatically, according to preset criteria, takes work and emotion out of the picture. And that’s a good thing, because it reduces the possibility of human error. Because making trading decisions based on emotion is the best way to lose money in crypto markets.

But, adding a short-selling component on top of The PLAN means you’re no longer doing nothing. It complicates the set-it and forget-it approach.

However, the tradeoff is worth the extra effort. It answers the biggest vulnerability of The PLAN, turning potential money-losing scenarios into money-making ones.

Optimizing The PLAN: Minimizing Risk With Short-Selling

Short-selling means borrowing cryptocurrency now and selling it at its market value, then buying it back after the price drops. The investor then returns the lower price crypto to repay the crypto they borrowed. The difference in price is their profit.

For example, an investor borrows one Bitcoin and sells it on an exchange for $36,000. A week later Bitcoin is trading at $30,000. The investor buys a Bitcoin and returns it to the lender they borrowed from. The investor pockets the $6,000 difference in price (less any exchange or transaction fees).

What if an investor tries to short-sell a crypto, but the crypto price goes up instead of down? Then they’ll have to pay a higher price to get the crypto needed to repay their loan. In that case, they will lose money.

In the example above, if the price of a Bitcoin increases to $42,000, then the investor would need to pay the higher price in order to repay their lender with the borrowed Bitcoin. The investor would lose $6,000 instead of profiting $6,000.

Short-Selling With Futures Contracts

Another way to short-sell a crypto is in its futures market. In this case an investor buys a crypto under contract and agrees to sell it at a lower price.

FTX US Derivatives is a Commodity Futures Trading Commission (CFTC) licensed exchange that trades Bitcoin and Ether futures. Investors in futures contracts are obligated to buy or sell at a pre-specified price and time in the future.

FTX US futures contracts are fully collateralized. To sell Bitcoin futures, investors must have Bitcoins in their accounts. Buying Bitcoin futures requires available cash in investors’ accounts.

CME Group is also licensed by the CFTC to offer Bitcoin and Ether futures contracts.

When Short-Selling Enhances The PLAN

Imagine a crypto investor following The PLAN. The price of the crypto they’re trading with the AI bot drops below the preset range of their bot grid, and the investor is worried that the price will keep dropping and they’ll lose their investment. The investor could close out the crypto in the bot, and short-sell that crypto or another crypto.

If the investor reads the market correctly and the crypto price continues to drop, then they can make a profit that they would not have realized with The PLAN. When market conditions improve, then the investor could restart a bot campaign with The PLAN, and keep getting those passive profits.

Of course, if the investor misjudges the market and the crypto price comes back up, then the investor will lose money.

For this reason, it’s important that any investor attempting to short-sell a crypto understands how to read the market, and how to manage risks associated with short-sell trading.

How to Know When to Close your PLAN Trading Bot Positions

Whether you’re looking for opportunities to short-sell or you just want to minimize losses, it’s helpful to learn when to stop one of your PLAN trading bot campaigns.

There are several market indicators that investors watch to determine when cryptocurrency prices are likely to drop.

This is not an absolute science. But, within shorter time frames, crypto prices rise and fall in fairly predictable patterns. If you use these patterns as criteria for closing your trading bot campaigns it may save you significant amounts of money in the long run. Even if you’re not right all of the time, and you won’t be.

Support and Resistance

Support and Resistance are psychological barriers that behave like price floors and price ceilings. A price floor is an area of support where investors have previously found it attractive to buy. Price ceilings are areas of resistance, where investors have previously found it attractive to sell.

These behavioral patterns of buying and selling influence the likelihood that near-term highs and lows will not exceed previous highs and lows. If prices do break through psychological support or resistance levels, this becomes a heads-up signal for investors to buy or sell their crypto holdings.

Image via learn.bybit.com

A PLAN investor may set the upper and lower bot trading limits at resistance and support levels, since this is where most of the price wiggling occurs that produces profits.

When crypto prices break through the support level, heading downwards, a PLAN investor may consider closing their bot automation and selling their crypto.

Technical Indicators

There are a variety of mathematically derived ways to analyze cryptocurrency price behavior to predict future price changes.

Crypto price movement technical indicators mostly fall into three categories:

  • Trend indicators
  • Momentum indicators
  • Volume indicators

It is not necessary to become an expert at dozens of technical indicators. Learning to use one trend indicator will help you make better decisions about when to close a PLAN trading bot campaign.

As you gain experience with a trend indicator, you may wish to also use a momentum or volume indicator, as independent inputs to identifying cryptos that will continue to drop in price.

Exponential Moving Averages

A useful trend indicator is the exponential moving average (EMA). This indicator identifies price movements over time, with more weight given to recent price movements.

The basic strategy is to use two time-frame EMA lines and identify trends at inflection points when the faster moving EMA line crosses the slower one.

For example, when the 9-day EMA crosses below the 20-day EMA, and both lines are sloping downward, this is an indication of a downward price trend.

Image via tradingview.com

This strategy will not predict how much a crypto price will drop, or for how long. It just identifies trends. In the example above, a downward trend in prices after the EMA lines cross is clearly evident.

In general, it’s safer to make sell decisions based on trends of a week or longer.

Momentum Indicators

Momentum indicators measure the strength of crypto price movements. They are typically used as an independent verification of results obtained from trend indicators, like the exponential moving average.

Two popular momentum indicators are the relative strength indicator (RSI) and the moving average convergence/divergence indicator (MACD).

Volume Indicators

Volume indicators, by themselves, do not provide buy or sell signals. What they do indicate, is how much cryptocurrency is being traded within a period of time.

Generally, the higher the trade volume, the higher the price volatility, and the greater potential for price movement.

Two popular volume indicators are the Money Flow Index (MFI) and the On Balance Volume (OBV).

The Crypto Fear and Greed Index

Another way to look at the probability of crypto prices going up or down, is with sentiment analysis. The Fear and Greed Index attempts to quantify investor sentiments from a wide variety of sources, then distill that data into a numerical score, where zero is maximum fear and one hundred is maximum greed.

Additional insights can be obtained by looking at the historical values of the Fear & Greed Index score and whether they are trending up or down.

Crypto Fear & Greed Index

When Fear is dominating the crypto markets this index is sometimes used by contrarian investors as a signal that it’s a good time to buy, because prices are depressed by fear.

For The PLAN investors, however, it may tell a different story. Historically, there has been a high correlation between the price of Bitcoin and the index, with prices going down with fear and up with greed.

If crypto prices drop below a PLAN investor’s bot grid range and the trend shows consistent or increasing fear, then this information can be used as an independent check of negative trends determined from technical analysis.

The Future Of Crypto Futures And Short-Selling

Most investments in cryptocurrencies are not the traditional buy and hold variety. In fact, more than half of investments in the worldwide crypto market are in crypto futures and other derivative products.

But, most crypto futures trading is done outside of the U.S., because of less restrictive regulations.

The regulatory environment in the U.S. is changing rapidly however, with the impending Loomis Bill and President Biden’s Executive Order fast-tracking crypto rules.

So far, FTX US, CME, Cboe Global Markets and Bitnomial have obtained licenses from the Commodity Futures Trading Commission to offer crypto derivatives in the U.S. But, there is a lot of demand for these products, so other U.S. exchanges are likely to follow.

To date, most futures trading is in Bitcoin and Ether, especially in the U.S., because these cryptocurrencies have the most volume and liquidity. A number of unregulated international derivatives exchanges offer futures contracts in other cryptocurrencies. More cryptocurrency choices will also come to the U.S. as domestic futures trading becomes more mainstream.

Why The PLAN Is So Attractive

Cryptocurrency trading has become a very profitable market for many investors and traders. However, because it’s such a volatile market, investing without any knowledge could quickly lead to disaster.

That’s why Dan Hollings and his team created his new training program, The PLAN: to teach people who want to get into trading how to do so safely and without having to spend all day at it.

How is that possible? Because it’s all automated! This way, most of the time you can just sit back and watch as your account balances grow each day.

If you want to learn more about making money with cryptocurrencies, then join the free workshop that reveals the amazing technology behind The PLAN and how you can profit from the crypto market at The PLAN Workshop.

How to Make Money With Cryptocurrency

The normal way to make money with cryptocurrency is to do your research, listen to experts you trust, and trade the coins you think have the greatest potential to go up in price.

Most of us don’t have the skills and experience to become day-in and day-out successful cryptocurrency traders. That’s why many people choose a more passive method: picking the coins they think will be profitable, investing in them, and HODLing them.

But, if you want to make money with cryptocurrencies, but don’t want to spend hours researching each coin and market trend, then Dan Hollings’ The PLAN may be the best answer for you.

​​Who is Dan Hollings — The Genius Creator of The PLAN?

Dan Hollings was one of the earliest mobile web developers. Since then he has made himself into an industry leading expert in cryptocurrency trading, making extraordinary profits day-in and day-out with crypto.

Image via Shutterstock

From that experience he has created a training program that gets results for his students, even if they have no experience in crypto.

Changing the Future of Crypto Trading

This course teaches its students how to program their crypto trading so they only need to sit back and watch their account balances grow on autopilot, day after day after day.

But, students also learn how cryptocurrency trading works, providing the ability to monitor the effectiveness of the automated trading, and how to trade on their own if they want.

This system was created with crypto traders in mind, so it takes advantage of tools used by professional traders. The course also includes ongoing support from Dan Hollings himself, along with his team and his decade of personal experience in trading cryptos.

Artificial intelligence software powers the automation process, allowing it to make intelligent and profitable decisions. The training program provides simple instructions for setting up the automated process, using AI bots, and for implementing the strategies that have been tested.

The biggest benefit of this system is in showing people how to make money with cryptocurrencies without taking big risks. This is done using Dan Hollings’ “wiggle” approach, where the bots make money with hundreds of micro-trades, never risking large amounts of money.

By allowing investors to make “wiggle” profits, The PLAN turns typical cryptocurrency volatility from a risk into the best possible trading environment.

The essentials of The PLAN can be learned in a couple hours, but the complete course teaches everything from cryptocurrency trading basics to how to automate investments. There’s also an exclusive member chat room to get feedback from other members about how the strategies are working.

Dan Hollings’ cryptocurrency automated trading course will help you find success and profits in this growing market. Find out more about making money with cryptocurrency now at The PLAN Workshop.

Please take care!

Remember, this is not a guaranteed money machine, as some reviewers would like you to believe.

You will need to follow the instructions. If you do, you can make a lot of money over time.

As we mentioned there is also the possibility of losing money if the cryptocurrencies you invest in drop a lot in price and take a long time to come back up.

For this reason, we recommend learning to use one or more of the Technical Indicators described above that will improve your chances of cutting your losses if things start to go South.

Also, please consider using the strategy of short-selling cryptos if the market drops for a period when you’re not able to make automatic profits from your PLAN’s AI software bot campaigns.

If you look at other The PLAN reviews, please be cautious about any claims that seem too good to be true.

Even Dan Hollings himself tries to downplay the overall effect of a trading bot automation that starts to lose money. If you follow his training you might be positive overall, but any loss still comes from your money, so you need to know how to manage your risks.

There’s potentially a lot of money to be made here, but we don’t recommend this if you’re not serious. The program costs $3,500 upfront, plus you will need at least $3,000 more to invest in cryptos. The bot software is an independent service and you will also need to pay $69, more or less, per month for this.

If this is not something you can afford, then please do not watch the free webinar training. Yes, it will teach you quite a bit about crypto bot trading, but the presenters are very persuasive. So if you can’t afford it, it’s better not to even watch.

If you’re still interested, please check out The PLAN Workshop here.

Disclaimer:

The information provided in this post does not constitute investment advice, financial advice, trading advice, or any other sort of advice and it should not be treated as such. This content is the opinion of a third party and this site does not recommend that any specific cryptocurrency should be bought, sold, or held, or that any crypto investment should be made. The Crypto market is high risk, with high-risk and unproven projects. Readers should do their own research and consult a professional financial advisor before making any investment decisions.

Please note: This article contains affiliate links. If you click on one of the affiliate links and purchase Dan Hollings’ The PLAN, I will receive a commission.

Originally published at https://heliumaxxent.com on May 8, 2022.

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Rickey Williams

Rickey Williams

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