This is the repost of my previous post which has not curated yet. Link
Hello everyone!!!
This is my First trade in this week of Trading contest, and I have joined the Fredquantum-Kouba01 Traders team of professors @fredquantum and @kouba01.
I have traded the ALPHA/USDT token. I am mentioning the details of trade below.
The name and introduction of the project token, and which exchange can be traded on, project/technical/team background, etc.
The Alpha finance Lab (ALPHA) is basically is cross chain defi platform which focused on innovating in the Defi space. Alpha Finance Lab was launched in 2020 by Tascha Punyaneramitdee.
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The Alpha token is a multi purpose token which is utilized in decentralized protocol ot Alpha finance lab. The products and services of Alpha Token are designed for helping those persons who may not have the ability to take part in the crypto ecosystem.
From the decentralized business to Web3 device, Alpha labels to offer a wide array of blockchain solutions. The ecosystem of alpha finance is categorized in 2 levels in which first is Alpha finance level and Second is Product level.
ALPHA is the native utility token which is used to earn a share of network fees. It is also used for liquidity mining and governance voting. The Different exchanges where the Alpha token is traded includes Binance, KuCoin, Gate.io, CoinEx, OKX, Poloniex etc.
Why are you optimistic about this token today, and how long do you think it can rise?
Actually, I am optimistic about the token and I also think that its price can take a good bullish move in short term of some days. I think, for short term i can be a good investment and it can give good return if it is traded in future trade also.
The analysis I have done also shows a bullish move for this token. There are predictions that the price of Alpha will reach upto $1.45 by mid of the year and the average price for year will be $1.5 and it is much down currently in comparsion to this. This means, we can hold for some months, we can get a good return.
I have chacked the chart of the token and i think it is good for this week and so I have taken this coin in my portfolio for this week and also for upcoming 2-3 months. We can also see the statistics of this token which is given below.
screenshot taken from Coinmarketcap
In the above screenshot, we can see that the current price of ALPHA is $0.3766. It is ranking at #297. It has the current market Capitalization of $168,076,566 and it has fully diluted market capitalization of $376,574,548. Also, in 24 Hr, it has traded a volume of $48,403,062 and the circulating supply of the token is $446,330,126.00 ALPHA.
How to analyze the token?
Now, in this question I am going to trade the ALPHA/USDT pair on Binance Exchange. I will trade according to my analysis that I have already performed.
I have opened the 4 hr chart of ALPHAUSDT IN tradingview. I have applied the combination of median indicator and Trima indicator for better prediction of price.
The Trima and Median Indicator are useful in predicting price trend. When, median indicator forms Green band, it signals bullish movement and when it forms purple band, it signals bearish move.
When, trima indicator is above the price, it signals a downtrend and when it is below the price, it signals an uptrend.
screenshot taken from TradingView
In the above chart, we can see that the Median indicator is forming a Green band which confirms that, the price will take an uptrend. Also, we can see that the Line of trima (shown orange in colour) is moving below the price which indicates bullish movement.
After confirming the trend, I placed the buy entry at marked price of $0.3715 and I have placed take profit and stop loss at marked points of $0.3904 and $0.3519 respectively.
After marking all points, I have opened the Spot trade at my entry price of $0.3715 in binance exchange and set desired take profit.
screenshot taken from Binance
After buying ALPHA at the marked price, I have applied the take profit (i.e. Sell position at $0.3904) shown below.
screenshot taken from Binance
I am expecting to hit the take profit in short term of 2-3 days.
Your plan to hold it for a long time or when to sell?
Actually, the ALPHA token is in a good position to acquire this time and it can rise in a short term. The coin is used in Liquidity mining as well as in Governance voting. It has performed a good all time high of $2.92 previous year in February and it is down much than its ATH.
It is also ranking at 297th position. The coin can reach around $0.40 this week. This means, that the token is good for short term profit. I will hold the token for this week and also i will hold some amount of it for 2-3 months.
Do you recommend everyone to buy? and the reasons for recommending/not recommending.
As, I have already told that the price of coin will move in good amount for this week. So you can take it in your portfolio and you can do future trade for taking some profit. And the upcoming months can send this token upto $1.50. So I recommend to hold it for at least 3 months also.
But as the market is very volatile and it can lead to the whole prediction wrong by crumbling down. So I suggest investors to also do their own research before entering in the trade.
Thank you.
Cc:-
@fredquantum