Let me start by saying that at any given time, 50 percent of people will tell you to sell and 50 will tell you to buy. 50 will tell you the bottom is here and 50 will tell you the bottom is no where near.
Bitcoin was founded on the idea of fear and manipulation in terms of the crypto trading itself (i love bitcoin i have been on it for 5 years and have been part of many pump groups, worked with devs, etc)
Let me try to give all the people coming for guidance here my view from experience and the view that has kept my hair and profits intact.
Some fundamental principles:
- 95 percent of crypto's are pump and dump run by bots. Unless you know the game or are in the pump group, dont fuck with them.
- If you do fuck with them, or just in general, anytime you put in a buy order, you put in a sell order at a ridicilous price to match it for the btc amount (not the coin amount).
- The mode of operation for any pump group is usually the following ; accumulate 80+ percent of coin, start fake buying volume, show fake progressive price upwards, dump slowly on market entries.
- This applies to bitcoin and to other crypto's especially, you must understand accumulation and the shake out. If I'm in a pump group and I someone has put in 1 btc into my useless coin, my first reaction is to drop the pricel ike a mother fucker. Its done everywhere in bitcoin. Why? We want to shake you out, we want you to feel fear, we want you to buy in and be scared so shitless in 2 hours that you sell on 5-10 percent loss.
- Learn the basics of a buy and sell wall and their manipulation. They drive the day trading psyche. If i have 20 bitcoins of a coin, i want price to go down, i put a huge sell wall at 20, then i drop all the buy orders to smaller amounts and sell down. Then i accumulate and drop my sell wall, opening up fr a clean rise in price where i a now holding a bunch of cheap coins you got scared and sold out.
I'll pause here to say one thing, there are so many bots out there, and people like me we may be able to outsmart them for a big play once or twice, but if you think you can day trade cryptos other than BTC ETH and LTC, you are a stupid mother fucker (unless your the shadow , the whale, woolang)
The best thing for any one looking to get into bit coin to do is the following:
- Understand that this is a long term investment, do not day trade.
- Put money into the top 3 with high sell orders (like im talking 2x) and expect to look back every 6 months or so. Dont read any news, it is psyops
- If you want to add some risk to it, add 1 or 2 of the defined strong crypto's, in my case I am big on XRP, I see 1000 percent gains within a years range
- If you want to play high risk, add emerging market leaders like ARK, my personal favorite at the moment. But remember, always long, high sell orders, dont get caught in the game.
Now for the price of BTC, remember this : The proponents of bitcoin would rather a 1 K price right now with 10 percent year vol, than a 5 k price with 500 percent year vol. Adopting bitcoin is all about vol becoming stable enough so that in one day you get paid in bitcoin by the time its US you suffered a 20 percent drop.
In terms of the chinese drop, remember that its not all about the ICOS (like ipos for coins) and exchanges, its about MINING. Its too expensive too mine in the US, its all going to Asia, and bitcoin is finite, and the other countries in asia will pick up the slack.