Lower Highs Continue

HAVING TIGHT STOPS IN PLACE IS IMPERATIVE IF YOU’RE CRYPTO TRADER, ESPECIALLY IN 2018.  Bitcoin (BTC) hit the 7,300 pattern count we alluded to, held there for a few days and then got creamed.  Sound familiar?  A respectable gain eventually being wiped out has happened repeatedly this year.  While discouraging, we have to recognize this pattern until it changes. Thus, Crypto traders must be prepared and be quick to manage risk if and when a target is hit or a support level fails.

So, now what? The nine month series of lower highs persists.  While that’s been frustrating for the bulls, buying near support routinely has paid off in 2018.  Taking shots on the long side from the 5,700-6,000 zone on the chart is fine, but only if one is willing to quickly throw in the towel if it fails.