Bitcoin heading for another record weekly close and why I'm staying the hell away from the CFD market for a while
What a run eh? Bitcoin's heading for another record weekly close and also the biggest up-week in history:
The thing just won't stop. Since it bottomed in late August, it's been doing an average of 625 points a week. If that momentum continues, that would take us to 10 000 before Christmas. In percentage terms, the run is even more impressive: 17% per week and 10K before the end of November.
Great right? Well personally, I'm starting to get a little worried and I've adjusted my risk profile accordingly. When pair first breached 7000 earlier in the week, we got a little preview of what happens when greed and mania take hold:
2 x Daily ATR in under an hour ... for those of you who aren't familiar with the lingo, that means we had two days worth of volatility in a single hour: 200 points up, 600 points down and another 200 back up to close lower ...
Now call me a pussy, but when I start seeing stuff like that, I stay the fuck away from 20:1 leveraged contracts. I'd already exited my 20:1 longs the night before and probably good I did, because that sort of PA would have straight up given me a heart attack. Would of made another couple K, but not much use to me dead.
Don't get me wrong - I'm still playing this rally intraday - buying dips at Bitfinex with a little leverage, but no way am I getting agro again 20:1 til this fork is out of the way and/or we get a healthy correction. I'd really like to see some corrective PA next week, but with people on the hunt for double coins, it could well just keep roaring. Bloody madness.
Team Aus footer by the amazing @bearone
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