Bitcoin (BTCUSD) Market Breakdown – Let's Do It Properly
Bitcoin has been in a healthy downtrend since the peak at 69,000 price area, since then price was basically just moving downwards. In my personal perspective, what i’ve been noticing in the past few months has been interesting – shift in Traders’ mental & psychological perspectives.
I remember back then in December 2017 when BTC peaked at 19,000 then performed some aggressive sell-off, everyone was panic selling – then the bubble burst. In the recent few months, I’m seeing the similar behavioral patterns repeat, but the biggest difference is that everyone’s being so optimistic despite the short-term ‘red’. In short, one big difference today is the foundation of digital asset now is much more stable and predictable as compared to 2017. The future trend definitely belongs to digital asset compared to physical asset, but as a trader/ investor, our job is not just to act according to our expectations/ belief, but to act according to what we see. If the market is down, it makes no sense to just regularly throw money in without understanding the technical analysis and a proper plan.
The current BTC market is definitely down, most of us talk about DCA
1. Do you understand what links to crypto? Bitcoin , Alt coin, DeFi, BitDao, etc…
2. How do you DCA? What’s your entry technique?
3. What’s your exit technique? Risk Management
4. How much of a portion of your portfolio do you invest in crypto
4. What is the worst case scenario?
In the short-term, I do believe there’s more breathing room for BTC to drop, price’s holding below 30k mark which indicate short-term weakness, I’ll be looking for some short-term selling opportunities if the bearish momentum continues. The next significant support will be around 19k – 21k price area. In the long-term, I am optimistic on BTC . If i were to DCA , 29k will be my first batch, then 24k-25k, then 19k-20k.
Always perform your own analysis and only use this as an educational material. Trade safe and take care.
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