Trade Recommendation: Gas

Our March 20, 2018 trade recommendation for the Gas/Bitcoin pair (GAS/BTC) hit its target on May 4, 2018 when it went as high as 0.004035. Those who followed the trade recommendation grew their investments by over 92%.

We expected that the pair was not yet ready to launch another bull run considering its technical damage. It must create a solid base first before it can flash bullish signals. GAS/BTC appears to be following the script as it is well on its way down to the 0.002 support. This could be your opportunity to buy the bottom.

Technical analysis reveal that Gas/Bitcoin appears to be trading the range. It is locked between 0.002 – 0.004. The break below support of 0.0025 on June 8 gives us more reason to expect that the market will drop to 0.002. Bulls have always defended that level so we expect them to show up when the pair hovers around the support.

The strategy is to buy as close to 0.002 as possible. If bulls preserve this level again, the market will likely create a base at this price before it can move to our target of 0.004. The process may take more than a month.

Daily Chart of Gas/Bitcoin on Binance

As of this writing, the Gas/Bitcoin pair is trading at 0.002272 on Binance.

Summary of Strategy

Buy: As close to 0.002 as possible.

Target: 0.004

Stop:  0.0019

 

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.

Featured image courtesy of Shutterstock.

Kiril is a CFA Charterholder and financial professional with 5+ years of experience in financial writing, analysis and product ownership. He has passed all three CFA exams on first attempt and has a bachelor's degree with a specialty in finance. Kiril’s current focus is on cryptocurrencies and funds, as he does his own crypto research and is a Product Manager at Mitre Media. He also has his personal website, InvestorAcademy.org where he teaches people about the basics of investing. His ultimate goal is to help people with limited knowledge of finance and investments to create investment portfolios easily, and in line with their unique circumstances.