Bitcoin newsletter #2 – Martin Berggren
The week has been great for cryptocurrency in terms of price. Bitcoin is up, select altcoins up 2 digit %, even 3 digits. Life is good for the crypto investor.
Let’s talk about the emotions of an investor. One of the main drivers of any market is human emotion, more specifically fear and greed. There are even tools to roughly monitor the sentiment in the market.
Bull markets are born on pessimism, grow on skepticism, mature on optimism, and die on euphoria. The time of maximum pessimism is the best time to buy, and the time of maximum optimism is the best time to sell.
-Sir John Templeton
ALT SEASON
Human emotions will always be there, and that is exactly the reason one should not only invest in Bitcoin, but also keep a keen eye on some altcoins. Not all altcoins are destined to survive for the long term. In the short term, in case of massive FOMO and greed, some of these coins will possibly give returns of 1000%+.
This year we have already seen:
Tezos 150%+
Ethereum 90%+
Litecoin 100% +
BITCOIN PRICE ANALYSIS
Bitcoin is in a strong up trend, but nothing moves in a straight line. It is okay to take profits every once in a while. Several indicators are showing Bitcoin as over bought. It is time for a correction down to low 9000s.
This is a BULL MARKET however, so it is totally fine to just keep HODLing. $11–12k is coming.
Make sure to keep your emotions in check and buy low, sell high. Greed and FOMO will make you buy high and fear will make you sell low.
Have an awesome day!
Martin Berggren
Market analyst, trader
Published at Wed, 12 Feb 2020 09:50:18 +0000
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