Trade Recommendation: Status
Status (SNT/BTC) recorded a fresh yearly low of 0.00000409 on December 14, 2018. At that price level, the market lost over 90% of its value from the 2018 high of 0.00004406. If you’ve been following our trade recommendations, then you’d know that we love to bottom pick markets that have lost more than 80% – 90% of their value this year. That’s because these markets offer limited downside while the rewards can be enormous. We’re seeing this opportunity in Status.
Technical analysis shows that Status is respecting key support of 0.00000422. This price area is where the smart money accumulated positions from October to December 2017. During this period, Status printed extremely high volume while the market traded sideways. This tells us that 0.00000422 is a high demand area.
That is why we’re not surprised to see market participants defend this level. On December 21, the market bounced as it was pushed by heavy volume. This shows that bulls are ready to come out and buy.
Also, the technical indicators on the shorter time frames look good. We’re about to see a golden cross between the 100 MA and the 200 MA on the 4H chart. When this happens, the moving averages will be in perfect alignment where the 50 MA is above the 100 MA and the 100 MA is on top of the 200 MA. This setup indicates that the market is turning bullish.
The strategy is to buy on dips as close to 0.00000422 as possible. As long as bulls stay above this level, Status will likely rally to our target of 0.00000522. Take that out and the next target is 0.00000623.
The process may take a month.
3-day Chart of Status/Bitcoin on Binance
As of this writing, the Status/Bitcoin pair is trading at 0.00000479 on Binance.
Summary of Strategy
Buy: As close to 0.00000422 as possible.
Targets: 0.00000522 and 0.00000622.
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.