Smart money doesn't FOMO

in money •  7 years ago  (edited)

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Good morning traders, cryptofriends, investors! Wacky Wednesday is here!

Time for cryptocurrency bulls to come out their hiding as Pantera Capital CEO and founder Dan Morehead, is our with some upside projections for Bitcoin. According to the April blockchain newsletter, published on Medium and aptly titled "Human Nature Is Pro-Cyclical, Go Against The Urge", Bitcoin will most probably hit new highs in the next 12 months.

According to the newsletter, recent price slumps were caused by tax season, which induced hodlers to sell a large portion of their portfolios and herd mentality overall - no-one wants to be holding a bag.

On the upside, the newsletter points out SEC punches at fraudulent ICOs creating a more positive atmosphere around cryptocurrencies in general.

Morehead arguses that $6500 price of Bitcoin was likely the low for this bear market and investors should have a 3-5 year period as their main focus. The title of the newsletter, "Human Nature Is Pro-Cyclical, Go Against The Urge" also refers to the age-old truth - easy to understand, hard to put in practice - buy when there is blood on the streets. Remember everyone buying on FOMO (fear of missing out), when the prices were surging everywhere? Exactly, many of these FOMO-ers are now suffering, as the smart money was looking for a peak point to unload. So this time, when the shorts have been building up on all cryptocurrency markets, it's time to load up. What's another small dip amongst friend other than a good opportunity to reload for a larger timeframe gain?

"My professional opinion is that we’re in the first innings of a multi-decade trade. If you can buy something at $7,000 which was $20,000, it’s probably a good trade."

What Morehead uses to illustrate his point, is the 200-day moving average. As smart money doesn't FOMO, Bitcoin being in a massive lull below it's 200-day moving average is a spectacular buy opportunity for investors.

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medium.com/@PanteraCapital

Make sure you follow Pantera Capital on medium.com for some excellent views about the markets
medium.com/@PanteraCapital/

Direct link to the April newsletter - give it a read, it's not that long and it's an interesting one:
Human Nature Is Pro-Cyclical, Go Against The Urge



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Hi @furious-one

Thanks for sharing this information today. Crypto will soon blow up, though it went so down..... I know it will soon go up.

Well its a good trade that it fell at the first place, that made wise investors to buy more.... Theres never a better time to invest in crypto than now it has gone down in price.

Thanks for sharing.

It's not the time for FOMO yet. Bitcoin just had all-time low since November-December 19k USD run and it's STILL a great opportunity to buy if you are looking for good risk/reward ratio and fairly safe investment.

Patience, Patience, Patience. It's a waiting game.

@furious-one Great post really informative for those wanting to enter the crypto space. I think now is an OK to accumulate what you can afford (to lose). But I prefer to buy cheap coins that are not hyped and sell on any news to gain more BTC, as opposed to directly buying BTC.

Well the Tax season is not eternal, the crypto army will rise and it will rise with vengeance for the so called Government

Now cryptos are again preparing for going to the moon. December 2017 bitcoin hit 19k+ dollar but early in 2018 it's fall down. In March it's fall in the Earth but now again rising and I prospect next month we can see some good in crypto market.

All just really a guessing game. Really just a matter of decoding who's guess is the one you want to go with
. It is certainly an interesting market place, but today's world is that of the holder as day traders have all but left.

  ·  7 years ago Reveal Comment