[Crypto Asset Traded] - Crypto Academy / S6T2- Team Trading Contest Post for Reminane
Hello friends, hope we are all doing good. It's my pleasure to enroll into this week's assignment. Below is my comprehension of the professor's questions. Thanks for patiently going through.
The name and introduction of the project token, which exchanges it can be traded on, project / technical information of the coin/ team background, etc.
In this regard, I'll be discussing the Cardona token (ADA) . This token was an invention by Charles Hoskinson in 2017, a co-founder of internal network and also the CEO of IOHK. This is actually the company that structured Cardona blockchain.
Nonetheless the token was named after a 19th century mathematician called Ada Lovelace who was also regarded as the world's first computer programmer though there was another attachment with respect to the name of the coin as it was also named after Gerolamo Cardona an Italian polymath.
Cardona as one of the biggest blockchains was able to successfully use a POS consensus mechanism which consumes less energy than POW mechanism. Moreso, all of its technology goes through peer-reviewed research which is a process that tries to challenge or analyze transactions or ideas in the system Blockchain before they are validated and this makes it to be very unique.
From the screenshot above, we can observe that the ADA coin can be traded in the following exchanges which are viz Binance, Coinbase, gate.io and kucoin
Why writing my review, the ADA coin was traded for $0.9, and currently it has traded in the beer direction. It has a total market capitalization of $31,924,379,551, and a trade volume of $1,355,437,430 with a total circulating supply of $33.66 billion. Although all these can be seen from the screenshot below.
Why are you optimistic about this token today, and how long do you wish it could rise?
My optimism about this token is based on its fundamental analysis above, at least with such a profound trading volume every trader can express optimism that the ADA coin is such a coin to hold or even trade.
Furthermore, we believe that the price of an asset depends on the number of people who are buying and selling it. In other words the price of an asset depends on the forces of demand and supply. Therefore, since it has a very high trade volume, I believe and express great optimism that this coin will keep rising so long as people are trading and also holding it.
How to analyze the token? (This can be technical analysis and trading strategies learned from professor's courses) - This section is very important.
In this regard I will be analyzing this coin using some pairs of technical tools which are EMA Cross, MACD and RSI since trade signals can be detected using good indicators such as these and others as well based on a thread is acquaintance with them and I will be trading this coin on Binance features in a minute time frame analytically in a bear trend since according to the historical chart of this coin ever since today, has been on a bearish trend.
It is obvious that one may not absolutely and perfectly analyze a probable trend without the help of indicators. Nevertheless, using EMA Cross for instance, when there is a golden Cross which is where the fast moving line crosses above the slow moving average from Below there by plunging it into a bull trend and when there is a death cross which is the crossing of the fast moving average to the slow moving average that has the capacity to plunge a trend to a downward position.
On the other hand when the MACD has made a bullish graph we believe that this is actually a bull trend on the other hand when it makes a downward graph this indicates either a short or long trend.
Finally using the RSI, if it goes below or within the 30% line, this is an indication that there will be a bullish reversal within the nearest possible period and when the RSI goes above or within the 70% area we believe that there will further be a bearish reversal in antecedence. Nevertheless let's take a more practical view below.
The screenshot above indicates the ADA/USDT chart and in this chart, we will observe that the trend is bearish and since the trend is bearish I waited to the point where the trend Line made a lower high from my view perspective which helped me to place a sell order, also with the help of MACD, RSI and EMA cross.
Moreso, I set my risk margin appropriately and have two advert unnecessary losses which is also indicated in the screenshot above.
Your plan to hold it for a long time or when to sell.
Although the trend has been bearish, I never intended to keep the trade open perpetually but with the help of the signals I got from the indicators, I decided to lay it off after I had made gain of 18% from my invested capital, with a leverage of 46%, even as indicated from the screenshot above.
Finally, the screenshot below indicates my transaction history
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Do you recommend everyone to buy this token? Give reasons for your answer.
Any other thing you might want to share about this coin/token.
I would recommend people or traders to buy this token or trade this token because of its volume of trade and circulating supply, as it is obvious that most coins gets traders stocked when they try to exit from the market because of inadequate liquidity with regards the coin supply, but on the other hand this coin has a good advantage of trade especially it's consistent provision of liquidity to traders, thanks.
Cc: @reminiscence01
Cc: @nane15
Good day @steemcurator02 I want to bring it to your notice that my homework post is 6 days old already. It has been graded but not curated. Thanks .