When I checked bitcoin this morning, it was trading at $18,000. Tonight, it just touched $20,000. This is a good sign, right? The field is looking green right now, so does that indicate that a potential bull market could be on the horizon soon? I tell myself this when I start overanalyzing the market and getting overly hopeful. "Doug, don't get your hopes up too high," I tell myself.
I decided to check on my portfolio, to see if my holding were moving in the same direction as Bitcoin, since they always tends to crash faster whenever Bitcoin dip, so I was hoping they rise faster since Bitcoin is on the rise, lol. Well, I wasn't wrong and I was really surprised by how some coin I've been holding has skyrocketed, but I still decided to hold, and this made me wonder: Is this the beginning of a bull run or just some mini pump for whales to exist on holders?
Well, this got me wondering, I decided to make analysis and see if there was a significant announcement or a strong fundamentals news backing the pump. I didn't get any only the CPI rate that was drooped, but is that really what's fueling the pump?
Numerous initiatives failed and declared bankruptcy last year as a result of the abundance of events, the majority of which were bad. Although we started with green candles, which is a very good sign, this year is another and is anticipated to be filled with new experiences. This does not mean, however, that we should become overwhelmed or fail to manage our risk.
Take Profit
I began taking risks in December of last year to increase my chances of earning. I withdrew some Hive and invested in some coins, and fortunately, those investments turned out to be amazing and I'm currently in huge profit. Since I don't know if this is the start of the bull run or merely a bull trap, I've decided to take some partial profit. By doing this, I'm at the safer side, since I only took partial profit, I still have the coin left in my wallet and can sell incase the bull run continues, and I've also taken a portion of my profit in case it goes south, which I wouldn't regret.
The truth is that, given the type of unforeseen events that occurred last year, nobody anticipated that we would begin this year with green candles. But keep in mind that anything can happen in the world of cryptocurrency, so you should always manage your risk, make sure to take profits, and only trade with money you can afford to lose.
I sincerely hope you have enjoyed my writing; if so, I would appreciate your support and sharing it with others.