This has been a much deserved 72 hours for the community. The price of Bitcoin is $7046 as $BTC has nearly surged 5% on 4.5 billion USD trading volume, over the past 24 hours.
The resistance at $6800 was cracked convincingly around yesterday’s daily close. Since then the cryptocurrency markets have seen a strong come back. From a zoomed out perspective, crypto obviously still poses a huge amount of upside as most cryptos are still down well over 70%.
Our team has been long $BTC and in the process of accumulating alts after the convincing price action around $6700. For now, we are eyeing the 250 billion total market cap level as the next resistance for cryptocurrency markets. The current valuation of the market is 230 billion so this target/resistance at 250 billion may be here by the end of the day.
Our plan for now is to take 25% more profits on our positions as that level is approached and move up our trailing stop losses.
Exuberance has started to re-enter the market. This is great news for all of our portfolios and is providing market participants the reprieve and profit opportunity we all deserve. We are however still exercising extreme caution. The ultimate key to trading cryptos in this bear market is to keep a cool head and take profits as they are given to you. In our opinion, the bear market is still in full effect.
We will learn a lot more about the strength of this bounce by the reaction to the 250 billion market cap level and how $BTC’s price acts in correspondence.