When to Start/Stop Selling Cryptocurrencies? Ask the W+M RSI.
I have felt confident that I would know when to buy at the start of a new cycle, but the question of when to sell has always left me feeling clueless...until now.
As an example, I am using the ETHUSDT weekly (main chart in this post) and the ETHUSDT monthly chart (see attachment below). I believe this startegy can be applied to most cryptocurrencies; providing they have been around long enough to have a monthly RSI.
Prove this sell-off plan wrong:
1. Monthly RSI closes >70 + Weekly RSI >70 = start selling 5% - my personal allocation (green horizontal line)
2. Weekly RSI closes <70 = stop selling (red horizontal line)
I hope you find this useful and I am very inetrested to see what others have to say. Feel free to share your strategies down below in the comments section.
Cheers.
As an example, I am using the ETHUSDT weekly (main chart in this post) and the ETHUSDT monthly chart (see attachment below). I believe this startegy can be applied to most cryptocurrencies; providing they have been around long enough to have a monthly RSI.
Prove this sell-off plan wrong:
1. Monthly RSI closes >70 + Weekly RSI >70 = start selling 5% - my personal allocation (green horizontal line)
2. Weekly RSI closes <70 = stop selling (red horizontal line)
I hope you find this useful and I am very inetrested to see what others have to say. Feel free to share your strategies down below in the comments section.
Cheers.
Comment:
Selling 5% following the RSI system is too much. Last market cycle there were 30 weeks of selling according to the system, if you had sold 5% each time, you would have ran out before the end: 30*5%=150%; only 52 weeks per year. So IF there are around 30 weeks of selling again this cycle, selling 3.3% each time from the start is appropriate: 30*3.3%=99%. So far for ETH USDT, there have been 22 weeks of selling.