Monday Market Recap With GoonTrades (MMR:5 1/4/21)

Check out GoonTrades' latest article to his series "Monday Market Recaps" (MMR). This weekly post will contain his insight on the overall crypto markets and the BSC through technical analysis.

By
Greg Gotsis
on
January 3, 2021
Category:
MMR

MMR #4 Recap

Crypto markets have been rallying hard, with BTC putting in new all-time highs (ATH) just below 35,000. This rally accelerator very quickly, creating parabolic trends on a plethora of different coins. Last week I outlined a trade I was taking on SUSHI. This trade hit my first take profit, and I am now just trailing out my stop-loss as part of my strategy. 

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My entries on this trade are marked with small white circles. I took this trade last Monday and it granted me a 2.5R return. Not too bad. Here’s the current chart. 

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King Corn

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Wow, did BTC enjoy the holidays. After accelerating to what I would consider a parabolic uptrend BTC has gotten a nice “scam” wick retesting a couple of key supports. BTC broke below its M support at 30,000 but was quickly repurchased and now resting above a couple of trend line supports. While this technically is a long trigger, I don’t like this trade too much as trend lines don’t hold as much weight as horizontal support levels.

By no means is BTC bearish here; my next trigger would be on a break of the D resistance at 32,200, where I would then look for a bullish retest of that level for my entry. As for attacking the downside, a rejection of the D resistance could warrant a short trigger, but I am not shorting BTC.

BSCs’ Gold: BNB

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BNB offered an aggressive entry during the EU session on the restest of its D support at 39. This was also a retest of the upper channel that BNB has now broken, sending off very bullish signals. BNB has just entered price discovery, and as long as it holds its primary uptrend, I am uber-bullish on this name.

As for an entry, one was missed yesterday, so I am not looking to be a buyer until we either get a resumption higher or a re-test of the primary uptrend. Overall this chart looks very healthy as BNB is beginning to venture into new ATH’s and price discovery.


Digital Silver You Say? : LTC

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LTC offered a great entry yesterday aswell on a retest of 145, its M level. I played the bull flag on this earlier this week as I saw BTC show continued strength as it pushed towards 35,000. LTC looks really strong here especially considering the narrative building behind it. I would not be surprised if we see this legacy altcoin continue to rally and outperform numerous other names.

Don’t sleep on the Digital Silver ☺.


Bonus Chart: CAKE

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For the people who have not been following my CAKE position, it has now netted me over 45%, including yield. This is a robust trade. Currently, CAKE is in a bull-flag where it retested its W .55 level and its previous swing highs. For those who like laser entries I would wait for the breakout of the bull-flag and a bullish retest of the W .60 level. As for an invalidation, for me, it would be a break below the W level that it just bounced from.

Overall, CAKE looks super bullish, and the yield makes these a fantastic trade. I am keeping a close eye on this bull-flag but also keeping in mind the downside.


BSC Recap

There will be no BSC recap for me this week as my spreadsheet will soon be replaced by a robot. Automation right. Oops I think that may have been a bit of a leak ☺, stay tuned for that.


The Pulse of The Market

Overall we have seen a very extended rally in the crypto markets. This holds on any time frame, 8H, D, W, M. Yesterdays correction comes by no surprise as these markets need to cool-down eventually. Not saying that I am one to predict those moves, but 20-30% drawdowns should always be accounted for, or at least expected to some degree.

Currently, markets are maintaining an insanely bullish posture but there are not too many acceptable entries (to my strategy). As these markets decide their direction through the week, I will be able to better my idea on how I want to position. As of now, I am managing a couple of open trades, but mainly just sidelined. While my posture is bullish we can very well see a drop in volatility as we consolidate at these levels until the market decides its next direction. Stay safe out there, and always make sure you are enjoying yourself!

Be sure to check out the next release of this weekly series on 1/11/21. I would greatly appreciate all and any feedback to continue improving this content and my trading abilities.

Feel free to reach out on Twitter!

For those looking to get started trading, here are my referral links to exchanges I prefer (You will also get a 5% discount on trading fees):

FTX

Binance

It is still crucial that individuals make financial decisions based on their behalf or consult a professional financial advisor at the end of the day. None of this content is financial advice.


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Greg Gotsis

Greg (GoonTrades) is BSC News' Chief Editor and is also a writer for the team. Currently enrolled as an economics major, he finds himself as a cryptocurrency researcher, writer, and technical trader.

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