Cryptocurrencies
Short Sellers Are Having a Field Day Betting Against Crypto Stocks
- Those traders have seen average return of 130% this year: S3
- Digital assets have been hurt by less-accommodative Fed policy
Photographer: Angel Garcia/Bloomberg
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Traders betting against stocks have generally done well this year, with bearish wagers against crypto shares proving to be a major standout.
Short sellers in digital-asset stocks have gained an average of 130% in 2022, according to Ihor Dusaniwsky, head of predictive analytics at S3, a technology and data-analytics firm. By comparison, wagers against the automobile and software sectors have returned about 50%, while retailing, media and entertainment have seen gains of about 46% each.