Everyone wants to know when to buy into the market. But i think another point is when is it SAFER to buy in?
The diagram below shows a white trend line we have had since last November 2017 and we recently broke the trend line when we broke 7000k zone a few days ago. What does that mean? It means that the trend line we have had for over 4 months which was support became resistance. And now in the last 24 hours we broke above that resistance BUT we still the price still has not come down to test that resistance.
So how do we play it safer for a longer term hold in Bitcoin? I would wait until price tests that $7000-$7100 zone where the white line is and see if price bounces off that trend line.
If price bounces off that trend line then we have one confirmation that resistance has now become support.
If price breaks down straight through the trend line then it becomes more dangerous to buy bitcoin for longer term hold, as we may continue a downward bearish move.
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This post is only for entertainment purposes as I am far from being a financial advisor. Trade at your own risk and do a ton of homework before making any financial decisions. May the decentralized forces be with you. Vaughn Pierre.
