Not the time to buy the dip! Wait to buy the strength!!! I just published my article on ai16z and my thoughts on Virtual is very similar to ai16z.
The current chart set up for Virtual is pretty ominous, however, I am still bullish on Virtual.
The new US president just came into the office and also his (and the rest of his family) meme sucked all the liquidity out of the rest of the crypto market. The market is very volatile and it is hard to do technical analysis at the moment.
The one thing I can say is that it is not the time to be hopeful and keep buying every dip to add to your position. I haven’t sold any of my Virtual because I don’t trade with leverage. And my allocation for this asset is small. However, once Trump meme mania settles and the liquidity starts to flow back to the rest of the crypto market, I will start to look for an opportunity to buy more. However, I will not buy the dip: I will buy the strength!!
What I mean by buying the strength is I will only buy when the momentum for the bull clearly comes back. I won't try to buy just because the price is cheap.
I usually use two time frames - daily and 4h. I will wait until the daily stochastic resets and start to roll back to 50 and the 4H MACD lines properly cross and enter the bull zone (above 0).
Also, I am waiting to see if 4H candle can move and close above $2.92 area at Fib 0.236, which gives me an idea if the momentum is strong enough to start to move up.
