Price bounced nicely from the recent sell off right up to 42K where it was met with significant resistance. Price is now retesting the low and has a good chance of undercutting to the 27K zone. Many traders are expecting this so it may become one of those self fulfilling prophesy things. As we have see recently price in crypto can make exaggerated moves in both directions so we could get a deep flush all the way down to the Dec 2017 high. Placing a limit order there may not be a bad idea.
If you plan to buy BTC its important to understand the volatility of the instrument and define your personal time frame. I chose to hold a core position with a 5 to 10 y time horizon and trade these volatile moves around my core. ie adding and reducing my position size accordingly. I do this because I am a long term bull, but want take advantage of the the price movement along the way.
I am a bull not because I see BTC as store of value as many have claimed, but because I feel that peer to peer transactions are the way of the future. Transactions such as e-transfers are not peer to peer. They are peer to bank to bank to peer. Bitcoin and a select few crypto currencies only need to be accepted by 10% of the worlds population to be wildly successful. The talk of it being a store of value or a replacement for the world's currencies is just a detraction to keep it at 10% acceptance. Imagine if 30 or 40 % of the population of the earth accepted it as a way to exchange value.
If you plan to buy BTC its important to understand the volatility of the instrument and define your personal time frame. I chose to hold a core position with a 5 to 10 y time horizon and trade these volatile moves around my core. ie adding and reducing my position size accordingly. I do this because I am a long term bull, but want take advantage of the the price movement along the way.
I am a bull not because I see BTC as store of value as many have claimed, but because I feel that peer to peer transactions are the way of the future. Transactions such as e-transfers are not peer to peer. They are peer to bank to bank to peer. Bitcoin and a select few crypto currencies only need to be accepted by 10% of the worlds population to be wildly successful. The talk of it being a store of value or a replacement for the world's currencies is just a detraction to keep it at 10% acceptance. Imagine if 30 or 40 % of the population of the earth accepted it as a way to exchange value.
