CNY Rally?
Bitcoin always enjoys a nice rally in the weeks leading up to Chinese New Year and this year seems to be no different. I'm no expert in cryptocurrency matters but this is a bit of a problem for me, as I'm currently nursing a short position from 8300.
I suppose today's post is more about seizing opportunities when they occur and making the most of what you can get.
Although I placed my close order lower down in anticipation of a much deeper pullback, that may not be the case and the price is now testing resistance up above.
Will the price break through resistance at 9.5k or be rejected and come back down to the shockwave forming around 8500?
Count your blessings because they're limited!
Something I've learned from this experience is not to take gains for granted. In fact, they're more likely to go against you so being in profit is something of a blessing.
I'm still new to crypto so I still hesitate with a number of my larger decisions whilst I take time to figure them all out. I'm also prone to being overly optimistic, so I always hold a bit longer than I should, and during times of bearish activity, that is not a good quality to have.
For example, when I was moving out of Bitcoin and into fiat (Tether), I had every opportunity to do so at 16k but didn't, hoping for a reversal back up to 18k. This of course did not happen the price fell from 20k to 11k and back to 17. I ended up holding all the way through that and ended up (finally) exiting to USDT at around a 13k average. What I really should have done was make that decision to get out early and enjoy the most profit. That hesitation cost me a grand in potential gains and a hedge against the dropping price.
The fact of the matter was that I ended up selling anyway, so why didn't I just sell at 16k and enjoy a solid safeguard for my money?
I find myself experiencing this frequently and in almost every move in crypto that I make. I have to start taking more initiative with my trades and enjoying profits wherever they can be had.
Crypto is all about little victories, after all.