Daily Market News - 23rd March 2020
Is Crypto Bottoming?
As a crypto investor, it’s been a tough few months, and in this weeks letter, I’m asking the question, are we bottoming?
In the past, I used to “trade it” but pivoted my approach around a year ago to become an investor and got into the Dollar Cost Averaging game with the blue chips (Bitcoin / Ethereum / Solana and Luna),
Having embarked on my Crypto Investing journey, I’m happy to can confirm that it’s been a massive mental challenge to hold everything and keep adding lower.
As a Technical Analyst, the assumption is we all “trade” and we’re in and out all the time, and for most of us, that’s fair… for me, in the same way I’ve been a big believer in Apple and Microsoft over the years, I’m also a believer in digital assets.
I’m sure many of your reading will think it’s a scam, it’s not a store of value, it’s not a currency blah blah blah… I get it, I’ve had the same hurdles to overcome myself.
Anyway, let’s look at the charts.
Bitcoin Chart
We can see from the chart, that $30k USD has been a big level in the past, and while a couple of Arcs showing a possible bottom look nice and clean, price needs to confirm this, and above $45k I think is the level where momentum comes piling in. That’s the hope.
Ethereum Chart
Some of you will have picked up my chart from Twitter last week highlighting the potential for a break out from a 4 month down trend, price has confirmed the move and we’re currently battling to reclaim the $3k USD level… the hope is we see some momentum come into ETH sometime soon.
LUNA Chart
Luna is 1 of those Crypto names that’s been showing incredible relative strength and it looks to be building what the charting purists among us would call a Cup & Handle pattern. Above $105, what’s not to like?
As with all my charts highlighting break out levels, price needs to confirm the move 1st before I class them as valid.
If you missed our weekend analysis on Saturday where I laid out 20 individual names, feel free to check that out below.
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