The market falls and it opens for us new trading opportunities. It's great! And we have to spot the possible reversal levels for buying. But before it, let's look at the indicators for getting more information about price action. MACD confirms down movement. ADX line is going to move above 20 and it will be a confirmation of strong down movement. RSI falls to the oversold zone and it shows that the market will be ready for up movement soon. Based on the signals from indicators, we can say that price can reach 2000.00 support level and bounces from it. Also the market will have potential for up movement to 2600.00 level at least. How to trade? If price bounces from 2000.00 support level and RSI with MACD histogram confirm price reversal, we'll be able to open long trades with stop orders below 2000.00 level. Also, you should note that 2000.00 is the key level now. We have to watch for price action near this level. If price breaks the key level, probably we'll see down movement to 1800.00 level. But you should not worry, the market will be still bullish. Your buy trades above 2000.00 level will be able to give you profit in long term.
This just about lines up with my analysis. Could see a bit of blood on the way down to 1850-1950 but that puts us on a long term .618 fib line ~ Springboard to the moon
mitarcher
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Since we predict the price will possibly fall to the 2000.00 support level, should we aim to sell what we have now and buy when the price falls to the support level?
DLavrov
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@mitarcher, if you have free money for buying on lower levels, I think it's possible to hold old long positions. Or just sell some part.
mitarcher
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@DLavrov, Thank you :) Also, do you have recommendations for what platform to trade with? I'm a beginner currently using Coinbase, but the fees are adding up quickly for all my transactions!
@mitarcher, make not so much trades , that costs much money.
I will make 1 trade on a good moment , and for now maybe around 2000 level , and then hold for several month.
mitarcher
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@rmetz, Thank you for the advice. I'm just two weeks in and still quite risk-averse. I'll keep your words in mind as I continue to learn.
mindatlarge412
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@DLavrov, what is the disadvantage to selling BTC or ETH when it is falling and rebuying when it is low? For example, I sold my ETH when it was at 300 and I plan to buy again now while it's around $200. I am hoping to do the same with BTC... just waiting for it to drop a little more. My question is why are people "hodling" when the market is crashing? Why not sell and re-buy after the crash?