"…bear with me for a moment, and read about how many brokers failed to time the crypto market."
“The notion that retail clients are always on the losing side of the trade has been intertwined into broker thinking for decades.”
"Consequently, the confidence that the industry expressed when creating synthetic cryptocurrency CFDs that are extraordinarily difficult to hedge, drove some firms straight into the “greed” phase of the bubble."
"Since about the middle of the year, retail brokers have started deploying their Bitcoin and crypto trading offerings en masse, relying on a given fact – that sooner or later, retail traders will lose their deposits. A miscalculation that was shaken by a notoriously annoying, but still funny term: HODL!"
Hodl?
– Here’s New York Magazine’s explanation of that strange word:
Hodl: The intentionally misspelled word hodl has its roots in a December 2013 post on the Bitcoin Talk forum, “I AM HODLING”; when the author, GameKyuubi, couldn’t be bothered to fix his typo, the community instantly turned it into a verb: to hodl.
Along with other terms, hodl is an effective litmus test for sussing out newcomers, carpetbaggers, and tourists.
Another down week for the Cryptos, this Bitcoin chart represents much of the Crypto market, stuck in a downtrend stepping pattern, until we break this pattern and see a higher high followed by a higher low, we could still see lower prices.
Green day for the Cryptos. What I want to see now is a rally over several days, followed by a pullback and test of the lows, if they hold and we rally past the previous rally then this mini bear market might be over
Bitcoin (BTC/USD) yesterday was below the July trend line but somehow managed to close above the line for two days in a row, if it failed to do so then price 9224 would come into focus. A break below there could be significant, likely bringing in another wave of selling. Hold here, and rally will bring the 13k area of resistance back into play and will need to be overcome if higher prices are to follow.
The Cryptos had a rather calm week and Ethereum posted a nice gain bringing our Buy Weekly Strategy to near break even, we are now at $400 for each crypto and here is our total profit/loss
Bitcoin $ -60.82
Ethereum +78.14
Litecoin -63.76
Total -46.44
Keeping a wealth of crypto on your phone and bragging to the world how rich you are is asking for trouble, this is one reason why many of us in the US keep a loaded gun in our home, anyway, lesson to others to take action to protect yourself, and put your Crypto on a thumb drive wallet and lock it in a bank safety deposit box
Actually, I’ve invested in BTC already. But I’m holding it for now. I plan to buy more BTC and use that to trade. I’m still choosing between ETH and XRP at the moment. ('Cause I plan to focus my investment on 1 alt for now) What do you think?
Bitcoin was unable to build on its small gains from yesterday and at $9380, it is now closer to $9000 than the $10000 mark. Sentiment towards cryptocurrencies is turning sour with negative headlines pouring out from left, right and centre. Concerns that Facebook is banning ads and major crypto exchanges shutting down has really silenced the hype and some people are probably having second thoughts about investing their hard earned cash into digital currencies. With prices falling, would-be buyers are probably waiting on the side-lines until the downtrend is over, while existing buyers may be withdrawing to avoid giving back any remaining profit they may have accumulated. But all that could change very quickly once there’s clear evidence prices have bottomed out, as I am sure there are still a lot of people wanting to get on board when the time is right. For now though Bitcoin and other cryptos remain out of favour. It would be interesting to see if the rising government bond yields would weigh on noninterest-bearing assets like gold and Bitcoin. These buck-denominated assets could come under further pressure in the event the US dollar makes a comeback on the back of Friday’s jobs report. So, things are not looking great for Bitcoin right now, but that could all change suddenly due to the possibility of pent up demand.
But the manner in which Bitcoin prices have been going down suggests they are in distribution phase, which is probably not something that crypto bulls would want to hear. There is thus the danger we could see a sharper decline in the coming days before Bitcoin potentially bounces back. That being said we are continuing to monitor price action closely and watch for signs of a reversal. Specifically, we are keeping a close eye on recent highs, as when a prior high is breached, this could signal the end of a downtrend. As things stand, Bitcoin’s most recent high comes in at $11990 and this is now the bull/bear line. On the downside, some of the potential bearish objectives are as follows: 9220 – the most recent low; 8180-8310 range – this is where an old resistance level meets the 127.2% Fibonacci extension level of the most recent price swing; 7775/80 – the 200-day moving average and finally 6550-6855 range – old resistance and 161.8% Fibonacci extension level of the most recent price swing converge here.
What do you think?
