The last two months have been tough for the BULL to regain its territory. The BEAR has been building layers upon layers of resistance that the BULL need to break open in order to win. The four major resistance are shown below and are indicated by numbers 1 to 4. Although the last one is a "psychological resistance", it could prove tough to breakthrough because of the short-selling institutional investors.
Today, the BULL has successfully broke-through the first resistance and is now testing the 2nd. Below is a closer look of the break out:
Dangers Ahead
I would describe bitcoin at this point as a big elephant hanging on a cliff with his trunk tied to a small tree. In addition to the fact that the BULL is facing several resistance ahead, two other dangers lie ahead. First is the relatively "closeness" of the BEAR to the last remaining support line (represented above by the green line). The BEAR has been aiming for this line over the last several months and is inching closer and closer as the days go by.
The second danger is something to do with history. The BEAR is taking advantage of the old adage "history repeats itself". If you notice the two fractals below represented by the two yellow dotted square, they look similar aren't they? And if you recall, the first fractal ended with a breakthrough downwards. If history does repeats itself, in just a few days we will see the same outcome with the smaller fractal.
COINS Ready to BURST
The mother of all coins has been dragging down the entire cryptoverse with it for the last two months. However, there are some coins that tend to temporarily flow against the tide. I categorize these coins into 3 buckets - Alpha, Beta and Charlie. The Alpha are the ones that have the strongest resistance in the likes of EOS, BTS and Steem. They have been rising regardless of the direction bitcoin is going in the last few days. Beta coins are those that burst upwards few days after the ALPHA. Following are the BETA coins that deserve your uninterrupted attention for the next 3 to 5 days:
BURST (BURST): Target is 0.0000050 or 19%
BLACKCOIN (BLK): Target is 0.00054 or 15%
CIVIC (CVC): Target is 0.000071 or 15% increase
DIGIBYTE (DGB): Target is 0.0000058 or 18% increase.
GNOSIS (GNO): Target is 0.22 or 12% increase
Conclusion:
The BULL is dangerously hanging on a cliff at this point in time and the BEAR is jumping and pushing on the tree from which the BULL is holding on. The BULL has managed to breakthrough one of the four resistance to regain it foothold. However, the BEAR has two secret weapons: (1) the last support that the BULL has created is just an arms-length away and (2) history is about to repeat itself in favor of the bear.
While the spectacle that the BULL and the BEAR is creating is entertaining yet frustrating as it erodes your crypto holdings, there are several altcoins that offer a handsome profit if you have the stomach to take on the risks and the stamina to hold until your reach the right exist point.
Disclosure: This post does not intend to provide investment nor does it represents that the securities or services discussed are suitable for any investor. Investors are advised not to rely on any information contained in the article in the process of making a fully informed investment decision.