Where and why I bought BTC (and will continue to add)
Thanks for viewing.
So I may not be right of course, but this is a short-term swing strategy that could become medium-term. So if it drops lower I will choose likely prices to add to my position.
The 3 wave correction (ABC) met a typical extension (sometimes it doesn't correct as much... sometimes more) of 1.618 of wave A which will mean something to a lot of technical traders who may start to re-enter or ramp up additional purchases.
BTC has already retraced a little over 50% already, a short and sharp correction. This could lead to further bearishness or lay the foundations for a move up to 127,500.
I couldn't care less about the China crackdown news - its actually a major positive if mining is more widely geographically distributed. The crackdown may last 2-3 months before people find ways around it anyway and officials relax again or go to the next crisis.
There has recently been a higher low set... if this remains in place it sets the foundations for a short-term move higher.
The price is seemingly supported at the Jan 2021 level of consolidation.
There is bullish RSI divergence on the daily scale (lower lows in price are shown as a higher low on the RSI). Normally a reliable indication of a change in price direction and at the very least an indication of a slowing of price momentum.
Volume is up recently.
The MACD moving averages are currently below the zero line, but look like a crossover is possibly on the cards.
A consolidation simply had to happen, too much leverage in the market and new players, and new player's Mums entering the frothy market before the correction.
I would ALWAYS rather buy when it is down - rather than FOMO into a bull-market rally.
So I may not be right of course, but this is a short-term swing strategy that could become medium-term. So if it drops lower I will choose likely prices to add to my position.
The 3 wave correction (ABC) met a typical extension (sometimes it doesn't correct as much... sometimes more) of 1.618 of wave A which will mean something to a lot of technical traders who may start to re-enter or ramp up additional purchases.
BTC has already retraced a little over 50% already, a short and sharp correction. This could lead to further bearishness or lay the foundations for a move up to 127,500.
I couldn't care less about the China crackdown news - its actually a major positive if mining is more widely geographically distributed. The crackdown may last 2-3 months before people find ways around it anyway and officials relax again or go to the next crisis.
There has recently been a higher low set... if this remains in place it sets the foundations for a short-term move higher.
The price is seemingly supported at the Jan 2021 level of consolidation.
There is bullish RSI divergence on the daily scale (lower lows in price are shown as a higher low on the RSI). Normally a reliable indication of a change in price direction and at the very least an indication of a slowing of price momentum.
Volume is up recently.
The MACD moving averages are currently below the zero line, but look like a crossover is possibly on the cards.
A consolidation simply had to happen, too much leverage in the market and new players, and new player's Mums entering the frothy market before the correction.
I would ALWAYS rather buy when it is down - rather than FOMO into a bull-market rally.
Comment:
I should get a medal