The much beloved Polkadot (DOT) is at a point of inflection in its journey. It has reached a point where it could have either a strong bullish or bearish run. In this trade idea, I will discuss each possibility and you can see which trade idea you would like to initiate.
TO BUY DOT?
How did we get to this point? When looking at DOT on the 1 Day chart, the price has fallen to a very longer-term level of resistance; dating back to 2020. This level of resistance is probably due to the large amounts of DOT that is staked and provides a strong level of support. If your Bitcoin thesis is that BTC has reached its lows and will start to consistently rebound, then this presents a good DOT buying opportunity
LONG: Enter at Current Market Price
Stop-Loss: $14
Take Profits: $22.50, $27,60, $30.80, $38.00
TO SHORT DOT?
DOT and many other alt-coins could have a bloody several weeks or even months if Bitcoin is not able to maintain its current price levels and BTC starts crashing down to the $20k range. With this, you could short DOT as there is no resistance from the current price levels down to the $7 range. Although many people have DOT staked for long periods of time, there reaches a point where the price gets too low for them and they start unstaking and selling.
SHORT: Enter at Current Market Price
Stop-Loss: $20
Take Profits: $10.30, $8.25, $4.20
Let me know your comments & opinions below.
Cheers!
TO BUY DOT?
How did we get to this point? When looking at DOT on the 1 Day chart, the price has fallen to a very longer-term level of resistance; dating back to 2020. This level of resistance is probably due to the large amounts of DOT that is staked and provides a strong level of support. If your Bitcoin thesis is that BTC has reached its lows and will start to consistently rebound, then this presents a good DOT buying opportunity
LONG: Enter at Current Market Price
Stop-Loss: $14
Take Profits: $22.50, $27,60, $30.80, $38.00
TO SHORT DOT?
DOT and many other alt-coins could have a bloody several weeks or even months if Bitcoin is not able to maintain its current price levels and BTC starts crashing down to the $20k range. With this, you could short DOT as there is no resistance from the current price levels down to the $7 range. Although many people have DOT staked for long periods of time, there reaches a point where the price gets too low for them and they start unstaking and selling.
SHORT: Enter at Current Market Price
Stop-Loss: $20
Take Profits: $10.30, $8.25, $4.20
Let me know your comments & opinions below.
Cheers!