In crypto or any other trading platform it is hard to call the bottom of a coin. We do know from VEN that its going to retrace. But, we don't know till what price it will drop. This is where the principle laddering becomes a handy tool. Basically a coin retraces more then 50% of its top value. The most common retraces are thus 61.8%, 78,6% and 88%. We don't know what retrace this coin will execute, so we split our buy-ins up in 1/3. If VEN reaches the 61.8% retrace, we will buy our first 1/3 of our total buy-in. Lets say we want to buy 100 VEN. We will buy our first 33 at the 61.8% level. However we will start buying a little bit above here and stop buying a little but beneath the level, because the price can reach this area, but does not always perfectly bounce on that exact level. Therefore, we start buying our first 33 at: - 34k (10% - 3.3 VEN) - 33.5k (10% - 3.3 VEN) - 33k (30% - 10 VEN) - 32.5k (30% - 10 VEN) - 32k (10% - 3.3 VEN) - 31.5k (10% - 3.3 VEN)
If you follow this principle: - you will never miss out on a coin, because you start buying early. - you will always have a good average entry - you will spread your risks.
IF prices drop below the 61.8% level, you may think: shit i could have bought VEN at a lower price. However, because you accumulate the next low (71.8%) also, your average entry is good and you are sure that you've got some VEN.
It practically reached 0.5. It doesn't have to go lower, especially considering the strength of this coin and with all the rebranding and partnership occurring this month. It also quite clearly broke out of the downtrend to point and is in the process of creating a bullish flag, with very little resistance on the way up. You may miss the boat on an easy 2X
cryptodl7
⋅
@cryptodl7, Hitting the .5 was also the formation of a massive bull flag from the beginning of this coins climb
ArjunNiek
⋅
@cryptodl7, I also reconigze this upward movement. I also am aware of the fact that a 50% retrace can be enough.
However, the A is already been in place. This upward movement is likely the B of the bigger correction.
No coin can pump that hard and retrace so tiny and fast. That is just not an healthy correction.
ArjunNiek
⋅
@cryptodl7, A rebranding or partnership could affect the price. However market cycles always finish. They don't stop because of 'news'.
Yes, btc will have its way with it come early March at which point a prolonged correction can be expected until June or so. Maybe that strength node will need to go on hold until then, i still havent decided to hold or fold through the correction. And if i had of kept my original stash from when it was 3k this wouldnt even be a consideration for me haha