Today I've decided to diversify even more since the markets have been a bit slow and red lately. The more types of currency I hold, the better chance I have of catching that next unicorn or life changer or whatever you want to call it even if I don't hold enough to become a millionaire thousands of % gains are nothing to sneeze at.
I picked one that's not so high up on the market cap list earlier today (DOGE) and now it's time to add one in the top ten that I don't own...I already have all of the top four (BTC ETH XRP BCH). I have some great gains to take from other coins and put part of into new cryptos while still holding a good chunk of my original investment in the other cryptos.
This evening the choice was between NEM and Cardano and I think that NEM looks like it is closer to a serious breakout judging by the daily chart so I picked up a few hundred to start with. I've been eagerly waiting and watching the hourly charts today while I was at work and I couldn't wait t get home and get into another coin.
Let's have a look at the chart.
I know I know... I use the same indicators (RSI and Bollinger bands and basic supports and resistances) but it's worked well for me in the past most of the time so I'll keep at it with this strategy of analysis.
- RSI in the 50's on the daily chart and the price relative to Bitcoin has lots of room for a move up if it passes that resistance around 0.00013 Bitcoin or $1.50
- Been in the upper half of the bollinger band range for some time now which is a good sign
- It looks a bit closer to a breakout than Cardano does now so I went with NEM (XEM)
The ADA (Cardano) chart below shows a little bit of a different story even though the indicators look fairly similar (the daily RSI is about the same for both). It looks to me like we have a few days before Cardano might approach the recent high as it is crossing the middle bollinger band to the lower side of the rang at the time of this post and appears to be trending down ever so slightly.
Sorry Cardano (ADA). That's looking a little bit like a rounded top and more chance of downside in the near term than NEM. Catch ya later in the week (maybe)!
By the way, even though my government has made it a pain in the ass to do dollar cost averaging because we're supposed to report every coin for coin trade, coin for silver trade, every time we visit the fking toilet (OK maybe that's an exaggeration), etc. I've decided to keep investing even if I have to make a couple of coin for coin trades to get what I want.
I'm not going to let the tax code change my chances at catching that once in a lifetime opportunity, whatever it may be. I think Steemit has given me the best returns so far and has about the most promise as of now but ya gotta diversify. And that's what I'm doing.
Keep on stackin people and don't get the red days get you down. They truly are opportunities. Think positive!
*This does not represent financial advice and I'm not an investment professional. Never invest in anything just because some guy on the internet invested in it and showed some mediocre charts. Always do your own due diligence / research and if that's not enough consult someone who truly knows what they are doing before you invest in anything (a professional).