Whats up Traders!
I made a video analyzing the current Price Action. As you all know had a big drop. If you’ve been following my videos on YouTube or here, you know that I’ve been calling for a breakdown from the . All the bulltards were so sure would go up. Where are they now?
Either way lets not gloat for too long. We have business to attend to. In this analysis I won’t be posting trades, but more look towards where we can expect to bottom out. Even this could be the bottom but after this drop I highly doubt this is the bottom. Either way its important to stay flexible so if you have fiat and want to get in spot, then now would be a good time to buy for 25% of your allocation. If you are a trader, then you should know how to trade the price action.
So in regards to where we can expect to see the bottom, looking at the Weekly chart is quite a decent way to do it. And if you go back historically you will find that the 200 and 200 MA were great indicators to show where the bottom was in the last bear market for .
That doesn’t mean it will hold up for sure and therefore we want to look at other factors and indicators as well, such as the and historical support levels.
If you take a look at the chart the 200 is currently at $4175. This level also has a lot of history as you can see on the VPVR. This is also the edge of the value range which usually acts are support and/resistance, meaning it’s quite possible we bounce there. However one thing about High Nodes( ) is that price will usually stick around there longer as its a level that historically people agree upon, which obviously results in lots of transactions.
So while I like $4175 as a bottom, it could be that it wont be a sharp bounce form there. Usually LOW NODES are where sharp bounces happen for obvious reasons.
Where are we seeing more LVNs further down? At the 200 MA which is at 3k. I think the Bottom will be a sharp V-Bottom pattern, so in that sense, I can see 3k and 200MA being the V-bottom level where we bounce and consolidate at $4200 and sideways from there for months until the next bull run begins in mid to late 2019.
This is obviously all just theoretical, but I would put my money on either $4175 or $3000 being the bottom.
How to trade this as an investor/HODLer?
Buy a little now. Buy more at $4200-4600 and buy a ton at $3000.
If you get some value from my analysis please leave a LIKE. Its appreciated.
Also check out my YouTube channel and follow me on twitter where I post my trades. GL trading.
-Alex Copenhagen
Published at Sat, 17 Nov 2018 09:10:37 +0000
