ETH looks like its forming a Head and Shoulders pattern with the left shoulder and head mostly completed. I am expecting the right shoulder to complete its formation around the 0.5 mark ($1025) which just happens to be where the moving average also lies and has acted as support in the past.
This setup is freakishly similar to that of the bull run in 2017/2018 where the right shoulder also completed its formation at the 0.5 level ($733-ish) and touched the moving average.
This is my first idea! Please leave some constructive criticism :)
I think going as low as $1025 is very unlikely, this run is fundamentally different from the 2017/2018 run. With institutional investors now in the game we're in for a bull run for the next couple months (at least) with 30% corrections here and there. At this point I think it's realistic to say most of these big dips are induced by institutional investors.... shaking the tree to take your apples!
CryptoCrazed27
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@B_CryptoTrader, If I am wrong, then I think it will be because of that exact reason you just posted! That is what has me feeling a bit torn about where to place limit orders. I might just split the difference and move them higher. Have to think on it a bit more. Thanks for the reply!
Infoseekr
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@B_CryptoTrader, so you thinking just hodl on all these dips? Really new to this
CryptoCrazed27
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@Infoseekr, They sound very bullish so they would probably tell you to buy more lol
B_CryptoTrader
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@CryptoCrazed27, I'd say HODL a portion of your capital and trade with a portion to hedge your bets. I would recommend looking at much smaller timeframes than weekly to make the decisions, the market is too volatile for that high level of a view. I usually review 5min through 4h candles before trades using a combination of these indicators: ROC, OBV, ATR, RSI, WT_CROSS_LB, Phoenix Ascending, and Bad Ass BB. Right now it's a mixed bag, the longer timeframes still seem to be bearish so the correction might not be done but the shorter time frames are leaning towards a bullish bounce. We will likely stay sideways for a bit, the next 24hrs will confirm the market condition.