A lot has been said about various cryptocurrencies of late. Some people think that this DEFI thing is the new bees knees. I think nothing can be further from the truth! Some “crapcoins” will completely collapse and disintegrate. As many of you know, I completely ignore the news when making trading decisions. My ideas are based on purely technical picture. But if you do listen to the news, it simply doesn’t look good for cryptos right now. They are increasingly being used for extortion. They use huge amounts of electricity to exist. They have barely any use in the physical world. A coordinated crackdown on cryptos by the Central banks and governments is just around the corner. I would be extremely careful about buying into this new decentralized financial system (DEFI) narrative. Please avoid “investing” in cryptocurrencies. If you must deal with them – simply trade them.
Note this Dogecoin has retested the Red support-resistance line from below. So far the resistance is holding. It can easily collapse further
--- How to understand price action.
It is very easy to read price action if you have a reference point. These support/resistance lines are there to help you read where the buyers and sellers are likely to make a stand.
You can also think of these indicators as moving pivot points .
MasterChartsTrading Price Action Indicators show good price levels to enter or exit a trade.
The Blue indicator line serves as a Bullish Trend setter. If your instrument closes above the Blue line, we think about going Long (buying).
For commodities and Forex, when your trading instrument closes below the Red line, we think about Shorting (selling).
For Stocks, I prefer to use the Yellow line as my Bearish Trend setter (on Daily charts ). A stock has to close below the Yellow line first, then rally towards the Red line and top out there. This is where I would short it.
You say that crypto needs lots of electricity but that's mostly true for Bitcoin. Doge is very enviromentally friendly.
Also it will rise again as soon as the transaction costs will be lowered by 1000x and Tesla annouces accepting Doge as payment.
I respect your technical analysis, but making investments in crypto is mostly a speculation based on potential and possibilities. Crypto is the future and will replace fiat.
mastercharts
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@AnnieAndHerDoge, Thank you for a civilized discourse! Crypto is not the future. It will most likely be cracked down on so hard, no one in their right minds will be using it. Things like dogecoin will simply completely disappear, just like they appeared out of nowhere. Tesla will do no such thing. Elon might be crazy, but he is not stupid.
I am confused. You say it's a "speculation", but at the same time it's the "future"?
aidinnn2004
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You use good drugs🤫
Buy it before it's too late👏
Because you cry later👎
mastercharts
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@aidinnn2004 which drugs do you use to get the $ gains that you were able to make?
aidinnn2004
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Companies, individuals, and giant investment giants do not understand
Only you understand🤭
Go forward with the same pheromone,
mastercharts
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@aidinnn2004, Never said what you are accusing me of, but I will go with it.
aidinnn2004
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@mastercharts, Your opinion and taste are respected
But
You will definitely realize your mistake🍻
Azade_Farahani
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You are so pessimistic! Do you know Robert Kiyosaki, the best-selling author of "Rich Dad Poor Dad"? He says Bitcoin will climb to over $1 million in five years' time.
Do you think that you are smarter than him?
I suggest you to study more...
mastercharts
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@Azade_Farahani@Azade_Farahani, I don’t think, I trade the chart in front of me. Opinions differ. Many people say many things. My chart says otherwise. We will see who is correct soon.
AnnieAndHerDoge
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@Azade_Farahani, he wrote that he only makes technical analysis and that means he is not influenced by news and such. Respect that please. It's a pure technical analysis.
Also it will rise again as soon as the transaction costs will be lowered by 1000x and Tesla annouces accepting Doge as payment.
I respect your technical analysis, but making investments in crypto is mostly a speculation based on potential and possibilities. Crypto is the future and will replace fiat.