Ashdraking is a complete loss of a crypto investor’s capital as a result of shorting Bitcoin where the aim is to sell Bitcoin at a higher price and buy it back at lower price. The term is named after “Lord Ashdrake”, a pseudonymous Romanian Bitcoin trader who used to short Bitcoin - betting that its value would decline.

Initially he made large profits as Bitcoin declined in 2014 - 2015. Then he shorted Bitcoin at $300 expecting prices to drop. On the contrary, Bitcoin prices went up to $600 in a few weeks and he lost lots of money.