Trade Recommendation: BlockMason Credit Protocol
BlockMason Credit Protocol (BCPT/BTC) printed a fresh 2018 low of 0.00000791 on December 28. At that price level, the market was down by more than 94% from last year’s high of 0.00015186. With this price action, we can say that 2018 was a rough year for BlockMason Credit Protocol. Nevertheless, its ability to stay above a key support area offers an opportunity to bottom pick the market.
Technical analysis shows that BCPT/BTC respects support of 0.000008. This level is the market’s parabolic support. On December 13, 2017, bears tried to drive the price below this support. The attempt was swiftly rejected. This swing failure pattern ignited a parabolic run that saw BCPT/BTC climb as high as 0.00015186.
Now that the market is back trading around 0.000008, we can see bulls coming back in droves. The significant volume surge on January 1, 2019 tells us that bottom pickers and bargain hunters are buying in bulk. On top of that, we can see a long bullish divergence on the three-day chart. This tells us that the market is turning bullish.
Overall, we can see signals indicating that the smart money is accumulating at these levels.
The strategy is to buy as close to 0.000008 support as possible. As long as BCPT/BTC stays above this level, it will likely gather the momentum to rally to our target of 0.000014.
The process may take a month.
Daily Chart of BlockMason Credit Protocol/Bitcoin on Binance
As of this writing, the BlockMason Credit Protocol/Bitcoin pair is trading at 0.00000856 on Binance.
Summary of Strategy
Buy: As close to 0.000008 as possible.
Disclaimer: The writer owns bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.
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