BNB/USD investment ideaBNB/USD:
So when we look at the chart we can see that the price has been moving a lot this year. When we look at the all time high this crypto was up for 1701,48%. As we see now we are still up for about 995% on a year basis. That is still very good.
What we can see now on the chart is that the price has been in a little drawdown for now. From the all time high we are down about 40%.
What does is good now is that we can see that the price is at some sort of support and that we are on the 0,618 level of the Fib from the start of the rising wedge which it did just touch but was unable to go below that level of the Fib. This is also a good sign.
There is a possible rising wedge forming which does look valid for me.In my opinion we do get a lot of touches on the wedge and the price did always reverse when we got a hit on the wedge.
We can now see that the price did go below the wedge but did not close below it so that is a good sign. As long as we do not get to see a close below the wedge I think that we are good and that this stock has a possibility to go back up.
What does not look bullish for me for now are all the MA that I draw on the chart. Normally when they are above the price it means that it is more bearish. When they are below the price that it means that it is more bullish.
As we can see the MA’s are above the price so that could indicate a bearish movement. That is why I will be starting small and growing this investment overtime.
We can see that the price does vary a lot and that the crypto has a lot of movement and a lot of wicks when we look at all the daily closes. This is something good and bad. If you trade this for the longer term than it does not really impact your investment a lot. When we look at this in the shorter term so more in the daytrader view than this could be a problem because then you need to keep that in mind before you set your stop loss level and then the risk-reward of the day trade investment could drop a lot. Even so hard that it is not worth it anymore.
For me this is just a longer term investment that I will take and I will not be trading this for the shorter term.
The reason that I am investing in this crypto is because I think that Binance is a good company and is doing good things. The stock to invest in the company can not be traded on the open market but the coin of the company is the next best thing so that is why I am investing into this company.
If you have any questions feel free to send me a message.
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