When Bitcoin was trading at around 60,000 level in late 2021 and before that year, whenever friends, acquaintance and participants asked my opinion about investing into cryptocurrency, immediately I knew they may not know much about cryptocurrency.
To clarify, I am not an expert in cryptocurrency, but I know its intrinsic value could not be calculated then and even today, therefore it is an instrument not for investing but for trading. Let me elaborate, as long as we cannot define its intrinsic value to any so-call an asset, it is not an asset, but an instrument for trading.
When we get into trading, meaning, we have to acknowledge the getting in and out, out also represent to exit the market with either a profit or a loss, it is part of the deal in trading – we have to be quick when we make a wrong decision. However, if you position yourself as an investor in crypto, you will either always perceive it will break new high or hope that it will someday go back to its former glory.
Throughout the whole tutorial, I will do a recap on how I have spotted this top here in November 2021. I have done this in another personal forum I have back then.
I will go through that and it may seem like a hindsight view, but I will apply the same strategy to the current market using just trendline and divergence.
Bitcoin Futures
Minimum Tick: $5.00 = US$25 or $1.00 = US$5
Contract Value: 20,000 x US$5 = US$100,000
Disclaimer: • What presented here is not a recommendation, please consult your licensed broker. • Our mission is to create lateral thinking skills for every investor and trader, knowing when to take a calculated risk with market uncertainty and a bolder risk when opportunity arises.
Nice Video konhow , very interesting topic & thank you. in my personal opinion Bitcoin is indeed suitable for Trading, but if it is for Investing it makes me interested & skeptic because Web-3 will be the future of the Internet & if Cryptocurrency is Very Attached to Web-3 doesn't Cryptocurrency have a bright future? what do you think about this. Nice
konhow
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@Valerus_Forex, Blockchain related asset definitely has a bright and long-term future. However, it will take time to evolve for mass adoption. Just like Dot Com in 2000. Before 2000, investors have an idea and dream about e-commerce, about doing online purchases as part of our lifestyle. It created a lot of hype then and many companies were created, just to ride on this hype which later became an euphoria, very similar to crypto and Bitcoin at 60,000 level recently. It took mass adoption of e-commerce 11 years and in 2011, we saw the beginning of growth in this sector or Nasdaq.