Quick News : TimeCoin’s Special Token Sale

Opinion

Top Strategies How Traders Can Benefit From Crypto Bull Cycle

Popular Crypto analyst Micheal van de Poppe provides essentials and a game plan for altcoins traders with the crypto bull race in full swing.

Advertisement header-banner-ad

He maps out 3 strategies in which investors can take full advantage and hopefully mint money.

Through dollar-cost averaging, one can invest the same amount of money in a particular asset regardless of the asset’s price. Van De poppe says that by mapping out an investment schedule one can slowly start allocating in one’s favourite asset. By doing this it spreads out our risk in high-risk, speculative investments.

If you DCA into the markets then your horizon is multiple years from here… In that approach, if something is running heavily you still want to start buying a tiny portion every day… accumulating a position that you want to sustain for the coming years.

Another speculative trading strategy suggested by the analyst is swing trading. It involves a risk/reward ratio in a selected time frame. The crux here is to capture a potential price move. Basically swing trading is the process of knowing where an asset’s price is likely to move next and entering that position.

Swing trading or Momentum trading practice short-term trading and hold their positions less than a day and capture the overall trend. 

A different approach is you want to look for swing trade opportunities and want to look for entry points. Swing trade opportunities are often defined from the daily chart… When you are going to use historical price action and be patient, your risk-reward starts to change.

One can also look out for shorter time frames for entry points, but in this case one should bet less as the risk to reward ratio shrinks and one should head forward carefully.

The approach is different than when you are swing trading as now you are looking at a smaller horizon. The stop loss and take profits areas also will be closer together.

Van De poppe also spoke about bitcoin and what’s in store for BTC. Bitcoin is currently at $56000 and he is quite bullish about it. He says that if we get back towards $52,000 then that is the critical level that we have to hold on the downside to avoid this being a fake-out.

As long as we chop here everything is fine and the more tests that $56,000 gets the weaker it becomes and the more likely it gets that we are going to break through it.

Show More

Sara K

Sara is steadily working on cryptocurrency evaluations, news, and fluctuations in digital currency prices. She is guest author associated with many cryptocurrencies admin and contributes as an active guide to readers about recent updates on virtual currencies.

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close
Close