“Maxi” Maximillium Analysis Chart (MA Chart)
The purpose of this MAXI chart is to prevent newbies from buying during hype. There are many cases whereby you buy a coin and the price went down. You sell a coin and the price went up. You sell a losing coin to buy another losing coin. Most of the time traders who has some knowledge in technical analysis (TA) thought they will win money; however, it is not always true. We see a lot of failed TA happened in crypto. Because it’s all about speculation and even when there is good news, it does not mean that the price will go up.
Most of the times, whales and sharks will start buying “take off” and sell off at “delusion”. Where else for newbies, they will start buying at “greed” or “delusion” and force to sell of either at “fear” or simplify hold their coin for another few months just to break even.
The purpose of this speculation chart is to prevent newbies from buying during hype. There are many cases whereby you buy a coin and the price when down. You sell a coin and the price went up. You sell a losing coin to buy another losing coin. Most of the time traders who has some knowledge in technical analysis (TA) thought they will win money; however, it is not always true. I see a lot of failed TA happened in crypto.
Because it’s all about speculation and even when there is good news, it does not mean that the price will go up.
In these charts, you will see few kinds of situation.
When you see it is consolidating, it is always a good time to buy a bit. Recommended 20% of what you intend to buy for that particular coin.
This type of speculation might not mean that sharks/whales are in. It could be someone who has some bitcoin that cause slight increase or decrease in price.
This usually involves sharks that come in to play a while and earn a bit. If you are not greedy, recommended to sell that particular coin, as we might not know what will happen the next day. Do not advise to buy.
If you not sell your coin on that particular day, probably you might regret. Do not advise to buy on that day. There are some flaws on the charting. Because it is generated every 24 hrs once, if there are short speculation, the charting is unable to detect. Please do your due diligence.
Other than seeing these bars, trend is another thing that we should take note. Up trend, you should consider selling off on the 2nd or 3rd long bar. Downtrend, you should consider to sell when you see 1 long bar. Decision making still lies in your hand. How to see the trend?
Usually I download blockfolio to see the trend. In this scenario, both are on the down trend. For downtrend, look for short bar to enter again. Take example Bitbean, during DEC it is on an uptrend, based on my chart you should fetch a good return from 40sat to 240 sat which is 6x increase in the period of 2 months. However, if we were to see USD value, there is an increase of 18x in USD price due to the rush of Bitcoin.
Apart from the trend, another factor to consider is the price of Bitcoin. In XRP we can see that the highest price is at 3.38 USD and now it is at 0.34 USD which is 89% drop in price but in satoshi value it only drops by 75% this happens because of the drop in Bitcoin value. All the price of alt coins is pegged to Bitcoin; therefore, bitcoin price goes up and all the USD value will go up. Bitcoin from 19,000 USD drop to 6600 USD and this is roughly 65% drop in price. Take (89%+65%)/2 = 77%. This is just a rough calculation.
Bitcoin price up by 20% alt coin down by 20% = breakeven.
Bitcoin price down by 20% alt coin up by 20% = breakeven.
Bitcoin price up by 20% alt coin up by 20% =40% profit.
Bitcoin price down by 20% alt coin down by 20% =40% lost.
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