We are all disappointed by the about how the markets have been moving in the for cryptos in the past year, hence this is sign to keep light and short-term trades for now. What I have witnessed since the time cryptos entered the markets, trading platforms etc, is that they are largely dependent on fundamentals. Changes in the market capital; where have been pushing funds in and out of the crypto space has been the main reason why the markets have been dropping lately. Technical Analysis is never irrelevant but has not been the major player in the last year as you can see here:
Key:
Red line – Trend Line
Green line – Current Support
Grey line – Zero Marker or Lowest Support
Blue dotted line – Support/Resistance lines
Using the chart from coinmarektcap.com, from beginning of January 2018 to current date, the bitcoin market trended downwards passing 4 support areas; $16 000.00, $12 000.00, $8 000.00 and $4 000.00 currently sitting at $3 600.00 roughly.
The long-term bullish movement will happen as global currencies become less dependable. Global debt is rising, currencies are inflating or being thrown away and more money is being printed because of this. Cryptos are like gold; as the value of currencies drop people put their money into gold, oil, stocks and assets. But this will take some time for it to be a reality as crypto cureencies are being shunned on media by some banks, finanical intitutions and governments. Eventually at some point, it will be easier to put money into crypto currencies rather than commidites as they are accessible and available to everyone around the world.
In conclusion, it would be better to enter short term positions between now and possibly mid-year. Gauge as the markets move and look for that "sweet spot" to enter the market for the long haul.
Keep your Funds safe; Happy Trading and Happy Investing.
Links
CoinMarektCap
https://coinmarketcap.com/currencies/bitcoin/#charts
BITCOIN TRANSFERRED MORE THAN $3.2 TRILLION IN VALUE LAST YEAR
https://bitcoinist.com/bitcoin-transferred-more-than-3-2-trillion-in-value-last-year/
COINTELEGRAPH
https://cointelegraph.com/