Solana showing relative strength on two fronts (USD & BTC)
SOLANA - KEEP AN EYE ON THE EXITS
Solana continues to hold the 21 daily moving average and has relative strength against BTC even with the recent mini BTC pump.
Whilst I think we need to keep our eyes on the exit over the coming 2 - 8 weeks these charts continues to look very positive with any BTC upside propelling
SOL
higher than BTC in BTC relative terms.
As SOL has had a monumental 774% run from June 2023 increasing from $12.50 to $110 today, its time to start considering profit taking. With this in mind, a large portion, maybe 60-70% of the current position I hold will be exited on/sold on a close below the 21 daily moving average (in USD).
For now I believe we may be reaching into a frothy peak as the Bitcoin ETF announcement approaches, ahead of which I would see taking profits off the table as a wise decision.
We have to remember that the upwards volatility in SOL, the leverage gained relative to BTC, will flip into into downwards volatility in SOL on a BTC decline, resulting in a much harsher sell off than that of Bitcoins correction. I am not predicting that the Bitcoin ETF approval or decline will result in a massive sell off in BTC, but it would remiss of us not to expect a 30% pullback in BTC over the next 2 weeks to 8 weeks as STANDARD BTC behavior at this point in the BTC cycle. If this happens, the price of SOL will likely see much heavier major downside.
Lets see what happens over the next 2 weeks and we will check in again. T
These perspectives I am sharing are more about framing where we are in this current market and how we might think about protecting ourselves against the typical BTC price behaviors we have come to expect as standard such as the 30% drawdown (which we have not had yet). If your a longer term holder, none of this really matters, you are holding on a longer timeframe. Also important to note that we could see
52K
- $58k BTC before such a pull back or, maybe this will be the one time BTC goes into a super cycle? Who knows, we are just looking at the exits and protecting ourselves.
Stay Nimble Folks
PUKA
Solana continues to hold the 21 daily moving average and has relative strength against BTC even with the recent mini BTC pump.
Whilst I think we need to keep our eyes on the exit over the coming 2 - 8 weeks these charts continues to look very positive with any BTC upside propelling
SOL
higher than BTC in BTC relative terms. As SOL has had a monumental 774% run from June 2023 increasing from $12.50 to $110 today, its time to start considering profit taking. With this in mind, a large portion, maybe 60-70% of the current position I hold will be exited on/sold on a close below the 21 daily moving average (in USD).
For now I believe we may be reaching into a frothy peak as the Bitcoin ETF announcement approaches, ahead of which I would see taking profits off the table as a wise decision.
We have to remember that the upwards volatility in SOL, the leverage gained relative to BTC, will flip into into downwards volatility in SOL on a BTC decline, resulting in a much harsher sell off than that of Bitcoins correction. I am not predicting that the Bitcoin ETF approval or decline will result in a massive sell off in BTC, but it would remiss of us not to expect a 30% pullback in BTC over the next 2 weeks to 8 weeks as STANDARD BTC behavior at this point in the BTC cycle. If this happens, the price of SOL will likely see much heavier major downside.
Lets see what happens over the next 2 weeks and we will check in again. T
These perspectives I am sharing are more about framing where we are in this current market and how we might think about protecting ourselves against the typical BTC price behaviors we have come to expect as standard such as the 30% drawdown (which we have not had yet). If your a longer term holder, none of this really matters, you are holding on a longer timeframe. Also important to note that we could see
52K
- $58k BTC before such a pull back or, maybe this will be the one time BTC goes into a super cycle? Who knows, we are just looking at the exits and protecting ourselves. Stay Nimble Folks
PUKA
Stop set at $87.60 and or 0.0019983 BTC.