Bitcoin breaks below 50 day average on the back of news from Korean

in bitcoin •  9 months ago

Some stories out of Korea about possible restrict on trade and investigation into exchanges. Here are a few sources

https://www.cnbc.com/2018/01/10/south-korea-official-reportedly-readying-bill-to-ban-all-cryptocurrency-trading.html

https://www.reuters.com/article/us-southkorea-bitcoin/south-korea-plans-to-ban-cryptocurrency-trading-rattles-market-idUSKBN1F002B

http://mobile.reuters.com/article/amp/idUSKBN1F002B

http://www.koreaherald.com/view.php?ud=20180110000738

Where's the support?

Can safely say we have broken down now, but the question remains where will the support be?

Bare in mind that what we are doing is best guessing, as the bot can form anywhere. But let's look at some strong candidates.

$12,800

Exactly where it already bounced, it is also the bottom of the cloud. Could see it bounce around inside the cloud for a week before it tightens up.

$12,000

The top of the year long up channel. Looked at on a larger scale that would just be confirming the break out of the channel.

$10,000

Strong psychological support and also the 100 day moving average.

$8,000

The bottom of the year long channel. Also it is reasonable to expect a big fall if $10,000 is broken.

My plan

I am currently flat with buys placed at all the points mentioned above except $12,800, as I expect cloud support to break as Europe wakes. If I am wrong and we get to midday euro time without fall, I will place buys at $13k.

If you are going to do something like this make sure you size your buys correctly so that your are not broke by 8k and you still have enough ammo to increase your long, in fact the 8k buy will be my biggest.

Thanks for reading.

KevinBacon





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Dude, are you that actor guy?

·

No but I know a guy that knows a guy that knows a guy that knows a guy that knows a guy that knows him

thanks for share