Since March 2020, there has been a great increase in cryptocurrencies, especially Bitcoin. According to the bottom on the said date, the market experienced a huge bull season. Some market experts are of the opinion that the bull season continues. On the other hand, there are names that are waiting for a decline.
Although Bitcoin has been in a downtrend for about a week, it registered a new ATH ($68,789) quite recently. While the general market is waiting for new records, Twitter user Pragmatic_ explains the reason for the mega bull expectation. announced.
Trader answered the question “Why will there be a mega bull” in the flood he shared with the following words:
“A large amount of coins have been purchased, why don’t they sell those large amounts of coins with low profit margins? Because, in order for the sale to take place, the coins they bought must be sold to buyers who will make new purchases. Since this action, which we call unloading, cannot be realized with the current volume rates, the prices have no choice but to increase.”
It would be useful to unpack the term “unloading goods” mentioned by Tarder. This expression, which is also used instead of the term “locking up goods”, is the process of selling an asset to a small investor by selling an asset at a low price, by selling it at a high price. According to the Trader, there is no such buyer base in the market at the moment.
The trader also pointed out that the largest amount of sales was realized at the level of $ 60 thousand, and similarly, he stated that 90 thousand to 120 thousand levels can be expected for a sales transaction:
“When BTC was at $60,000, there were a ton of buyers, they were able to sell most of their goods at these levels, fomo was intense and there was a buyer’s appetite. With the negative news that is regularly served up every year, they lowered prices, bought back $60,000 worth of merchandise for $30,000, and accessed greater assets. In order to sell these assets, higher pricing will be required, because this time the goods in their hands are too much to be able to subtract 60,000 dollars. […] Assuming the previous largest unloading was at $60,000, purchases made at $30,000 should be between $90,000 and $120,000 at eligible unloading levels.”
Finally, the trader gave the following advice to investors:
“Own your psychology and strategies, do not open trades out of fear, do not enter new money with courage. In crypto, the most frightening moment is when you need to be the most courageous. Gradually withdraw from the market when you feel most confident.”
Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.