BTW most of the BCH bull runs happen during the korean day, so watch out for crossing 2k again in the next few hours (It is 4 AM IST and 7:30 AM in Seoul)
Our last post on the BCH bull run was very accurate and we touched the $2000 mark as well. While that post talks about looking beyond 2k, this post discusses ideas to take profits and balancing your assets with Crypto.
"Nobody ever lost money by taking profits" (Originally heard from Goldbug1)
One of the most difficult choices for a new or experienced crypto investor is to decide when to sell and how much to sell. This is especially true in the current market which is pumping with adrenaline.
I'm more of an investor than a trader and most of my advice is tailored for that. I like to have a plan for Investing, HODLing and a little bit of a trade while PROTECTING MY CAPITAL
PROTECT YOUR CAPITAL
There is nothing more important than preserving your capital. I believe that goal is not to make money, if you are conservative in saving your initial invest, the crypto market will automatically make a lot of money for you.
Never sell 100%
I believe we should always try to keep some percentage of our blue chip cryptos (Top 5 by market cap, screw you Litecoin we have BCH now ) for long term because you never know how high the price can go in months or years or in my case - 50 days!
Now for the charts
Now that we are clearly done with a (or ABCDE) correction, I tried to chart some from high level of view in 1 Day chart. What is clear is that we are at the end of a 4 week consolidation and at the verge of reaching abd breaking through the ATH
This is our main channel 4 Hour chart, look at the massive breakout yesterday, we also had resistance at $2000 (it is a physiological number) and then fell back where our $1720 turned into a support line and we got a nice bounce from that line in the last few hours.
BCHBTC is a very important chart (actual chart in the yours website) and adds value to our existing analysis. Our BCH broke out of a long and extended consolidation
Thanks for your kindness and time. Do comment to leave any feedback, it is a great motivation to continue writing.
Disclaimer: Please do your due diligence before investing in cryptos. Trading is much more complicated than investing and my observations are more tailored for the latter with a mid to long term view. In the market you are right until you are wrong. Have a good strategy in place and protect your CAPITAL always.
We have a nice ABC correction in the sub wave 2 of the impulse wave. So yesterday's run could be the wave 1 and today we are correcting as part of wave 2. Next up should be the bullish wave 3. However we do need to hold $1720 or the $1533 support lines
RSI Channel - I also created a small channel in the RSI indicator and we appear to be heading up for another bull run.
Note that the above 1-5 waves are part of the larger 1-5 Impulse wave and we still appear to be at the beginning of a large wave 5 which should take us all the way to 3k. We also talked about how the larger wave 4 has an ABC correction wave
Stay safe and always protect your capital! and make sure to book some profits unless you are a super HODLer
And look the NEWS falls in place now, just in time for the wave 3. Lets see what happens now
https://t.co/Fvc1GCiaDv (Coinbase president hinting at BCH being listed)
All the good news about BCH at one place
If the price cuts below the pink channel than we may get a retrace all the way to bottom green channel support at $1345. However, note that there was nice bounce a while back showing a green candle when pinch channel was touched (see green arrow)
But if we continue upwards now, then there is a possible upside with next resistance being at 2100
Our wave 3 is starting to align with our previous Elliott chart
I also see a pennant forming, at the end of which we can go up or down. But based on the earlier uptrend it is likely that we go up. Also our support $1730 held very well in the last 2 days.
I will do another post after observing a bit. Long term, I'm still very bullish on BCH. However, there is uncertainty regarding the effects of CME on Bitcoin and that in turn on BCH.