Trade Recommendation: SelfKey
We’ve been watching Selfkey (KEY/BTC) for some time now. It started to become interesting for us when bulls showed their hands on August 14, 2018. At that point, the market dropped to as low as 0.00000066. KEY/BTC generated a hammer candle with a long wick below the body, which indicated the rejection of lower prices. On the next day, August 15, Selfkey printed a large green candle that sent the market to as high as 0.00000112.
The price action told us that 0.0000007 is bull territory.
This happened again on September 12 when Selfkey touched 0.00000071. Bulls rejected lower prices and sparked a rally that saw the market climb as high as 0.00000154 on October 29. This is where bears showed their hand. They aggressively sold at these levels to drive the market down.
The price movement in the last few months has given us the confidence to enter the market.
Technical analysis shows that KEY/BTC is in sideways consolidation. Participants are accumulating positions as the market ranges between 0.0000007 and 0.00000116 with a midpoint at 0.00000093. With this range, we can easily buy the support and sell the resistance again and again until the market breaks out of range resistance.
The strategy is to buy as close to 0.00000067 as possible. We’ll buy below the range support because market makers may shake out bottom pickers. Ideally, what we want to see is a hammer candle and a retest of 0.0000007 support on the hourly chart. If we can get that, the market can easily rally to range midpoint of 0.00000093.
The process may take less than a month.
Daily Chart of Selfkey/Bitcoin on Binance
As of this writing, the Selfkey/Bitcoin pair is trading at 0.00000072 on Binance.
Summary of Strategy
Buy: As close to 0.00000067 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.
Featured image courtesy of Shutterstock.