Let's look at this market not like fanatics, but like traders who know at least the basis of Technical Analysis. What will we see with such an approach?
We can see that the price has been moving sideways for just around 1 year. It is not the perfect horizontal price channel, but we can mark the upper border like 0.500000 level and the bottom border at 0.250000 level. Also, we can add additional resistance and support levels like 0.600000 and 0.300000, and we will have important zones for the market and the additional borders for the alternative price channel.
There are no ascending price channels even if some experts try to show you them.
Why is it so important to look at markets without any emotions and personal wishes? We must see the real situation in order to take the right decisions. If we talk about the ascending price channel, it means the market is in the uptrend, and we have to buy based on reversal signals from the main line. We have to use trend following startegies and money management for such market conditions.
But this market does not move in the uptrend. We have range market conditions, and we have to use the trading and money management strategies for such type of markets. Yes, we can have the similer buy opportunities from the same zones. But using the wrong tools in trading, which don't match market conditions, it's a really good way to blow up your money.
What else can we see from this chart? The price bounced from the support level and the bottom of the price channel. RSI confirmed the reversal, and we could buy based on this signal. In spite of the upward movement, the current prices are still good for buying, because we have space for the upward movement upto the upper border of the channel. Stop-loss orders must be placed below 0.250000 support level. The main profit target should be at 0.500000 resistance level.
Now the price bounces from MAs, but this indicator is not reliable in the range market conditions. RSI confirms the reversal, and we should expect for the short term retracement. This downward movement can provide better prices for buying and make the risk reward ratio even better.
As for the possible uptrend. I would like to talk about the possible uptrend only if: - the market will form a higher swing high and a higher swing low - the price will break 0.500000 resistnce level and move out of the price channel - the price will break 0.600000 resistance level and move out of the wider price channel.
Without these signals, the market can keep sideways movement in the borders of the horizontal price channel. That's why you have to use range trading strategies with the right profit targets.
Another thing I would like to add is: if you want to trade this market in the long run, you should think about how solid it is in the long term. If we talk about Bitcoin, we can be sure that the market is solid, trusted, and it can be used for investing. Bitcoin has value. But what about this coin? At least this market does not look solid in the long run. It is the typical altcoin which can move a little bit higher, or it can drop a lot. If you make Fundamental Analysis only based on technical parameters of this coin, you can be wrong. Think about investing and holding this coin not like a fanatic, but like a trader or investor who wants to make profit.
If you like my work in Trading View, I will be grateful for your support by likes and comments! If you want to add something or you have your opinion, ideas, please, share them in comments. Let's make Technical Analysis great again!
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I would like to ask all fans on this coin - if your coin is so good, why it is so cheap? Why the market is so boring?
I appreciate your approach but I must point out a few things with respect and hindsight. XBT is not trusted asset for investing. Investors did not moon BTC it was being used on the silk road and that use case value was IMMEASURABLE. Have you ever been in jail for a joint? I have. A few times. XBT provided a safe and reliable way to purchase harmless pot. The liquidity came from the drug war.
I saw a few 100$ turn into thousands. Spent most of it on dope . Mt gox has the rest. That was a crazy but STILL I did not think of bitcoin other than THE PAIN IN THE ASS it was to acquire back then. The barrier to entry was enormous and the fact bitcoin became a thing at all is amazing and did not happen because of investors. The use case mooned XBT and nothing else my friend. The only reason it became a great investment is because people had to have it.
I came back into the space after trying to order cannabis seeds online They weren't taking credit cards anymore so I went to buy some bitcoin and saw all these other coins that are cheaper and faster. The cost is the main concern of those looking to buy XBT and immediately spend it. Greed is your only use case. Sell that store of value to some sucker who was born yesterday.
XBT is the Bankers coin. You guys, your coins ,and this cheerleading shit is beyond hilarious to me. Bitcoin was valuble because it allowed the savvy to safely purchase plants society deemed unsafe and lock people away for life for possessing. You sell this this store of value BULLSHIT to Joe public and it confuses them. How the fuck is someone safely storing value on one hand, THEN NOT INVESTING MORE THAN THEY ARE AFRAID TO LOSE on the other hand. Do you see how fucking stupid that is now?
I sold all my bitcoin after about 500 hours of research and bought the coin with use case. XRP. Do whatever you want with your "store of value". LOL
Bannedhammr
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@charvey63, PS the first clue i got XRP was the new bitcoin was when I saw Bank of Santander is a ripple partner. Santander is also a bank with the balls to accept wire payment from U.S. customers for Cannabis seeds in the UK. Yeahhhhhh. Bitcoin didn't need partnerships back in the day. It's to expensive to do business with now so you forced it into being that ABSURD "store of value. BACK IN MY DAY EVERYONE KNEW WHAT BITCOIN WAS FOR LOL NOW YOU ALL HAVE TO CONVINCE PEOPLE IT HAS A REASON TO BE.
streetgainer
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@charvey63, Santander bank completed their trial and concluded there was NO benefit to using Ripple. They are no longer involved with the shitcoin company
otternose
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@streetgainer, WesternUnion also out after the trial
Aghoranath
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@otternose, Western Union can go through Earthport