Gm friends,
Welcome back to another Premium Investor Report.
Let’s jump in!
Here’s what’s in today’s issue:
- Technical analysis on the current market.
- A DeFi tutorial on how to earn DeFi rewards from tokenized gold.
For any crypto related questions please comment on the website.
Market Analysis
It’s been another wild week, but I hope everyone was able to buy this Bitcoin dip. I was able to make a purchase on Monday at $102K.
Now I explain why in the Bitcoin section, but I think Bitcoin priced below $100K on any future Israel / Iran related news probably will not happen. So long story short, I think we’ve probably seen the bottom at $98K, assuming some other unrelated macro event doesn’t spook the markets.
Below we’ve got a mix of long and short setups for you. Most are limit orders, but there’s a few that are open right now. There’s also a few charts to watch closely as I think big moves are brewing.
Let’s get it.
Bitcoin (BTC)
Bitcoin is now back inside this two month rectangle pattern between $100.7K to $110.5K, after Trump announced Monday that a ceasefire between Israel and Iran had been reached.
There’s still a high risk that things could go hot again between Israel and Iran. If that happens, Bitcoin probably drops, but not below $100K. The way we go below $100K again – on any war news – is if the US or Iran start striking each other again, which I think probably won’t happen. Moreover, market participants are becoming desensitized to this conflict. So even if Israel and Iran start fighting again, the markets will be less reactionary to negative news, compared to one week ago.
So the TLDR is we hit bottom at $98.2K.
Here’s what the indicators are telling us:
- Volume: Monday’s volume bar looks fantastic. Market participants were itching for good news to dive back into Bitcoin.
- RSI & MACD: Neutral territory on both. Plenty of fuel to go either way.
- Stochastic Oscillator: Bottomed out and now heading up. Bullish.
Below is another perspective when thinking about your trades. For the last two months, any spot buys or longs between $100.2K to $102.3K have printed money. I expect this to continue. And unloading positions between $108.5K to $110.5K have proven to be ideal. However, this upper resistance probably breaks at some point this year.
SIGNAL: Spot or limit longs at the 50D EMA at $103.2K, and spot or limit longs between $100.2K to $102.3K
Ethereum (ETH)
Notice how Bitcoin was able to get back in its previous range much faster than ETH. This makes sense, considering Bitcoin is less risky than ETH. Basically, ETH needs Bitcoin to give the all-clear before the former can get back above $2,500.
So assuming Bitcoin holds its current position, I think ETH indeed goes back above $2,500, and relatively quickly.
SIGNAL: If you think Bitcoin will continue to hold the mid-100Ks, then any spot or limit ETH longs below the 200D EMA at $2,478 make sense. ETH is on sale under this price. Take advantage of it.
PAXG (Gold)
The more I watch gold, the more I love it as a smart hedge for heavy crypto-allocated portfolios. In the short term, gold’s price is inversely correlated with crypto’s valuations.
Having said that, we’re kind of in an interesting spot right now. If Middle Eastern tensions…
Hi! My name is Lark Davis!
I’m a cryptocurrency investor with years of experience and I’ve been making consistent profits in the crypto space.
I’m passionate about helping others do the same, so I run multiple educational channels on crypto investing.
