Theta - Technical Analysis

in LeoFinance3 years ago

THETA TOKEN (Theta)

Market Cap: $11.9 Billion

Daily Chart:

Thoughts: WOW! This project has been absolutely explosive through the 1st Q of the year and there are a lot of very happy people sitting on crypto bags that are exponentially more valuable than they were just a few months ago. An old proverb comes to mind while looking at this chart... "What goes up must come down." Momentum Waves (blue area on the bottom indicator) and Money Flow (Green / Red area on bottom indicator) both look to be descending after hitting long term elevated highs.

4-Hour Chart:

Thoughts: Narrowing down our view a little bit I'm still seeing signs of a coin that's blasted through all previous resistance levels to all time highs and is needing a consolidation period. Momentum waves are receding from positive territory into the negative and the VWAP (volume weighted average price, yellow area on the bottom indicator) is gaining momentum to the downside. The candles are increasingly pushing into and testing the Moving Averages (White lines on the main chart) and once they break through it wouldn't be unreasonable to expect some big downward moves.

2 Hour Chart:

Thoughts: Reducing our time frame some more we have the 2-Hour chart which is confirming what we've just seen in the 4-Hour. Here we have the Money Flow flirting with negative territory and the Momentum Waves are clearly in a downward trend.

1 Hour Chart:

Thoughts: The 1-Hour chart provides more confirmation of the downtrend with the moving average price lines turning into Resistance and sustained negative Money Flow Waves over the past few days.

30 Minute Chart:

Thoughts: An now we arrive at the 30-Minute chart for Theta which is showing more of the same downward action with massive rebound spikes upward. This is exactly the type of environment I'm looking for if I'm going to focus on short term moves.

Trend Lines, Support & Resistance Levels: I'm currently seeing a strong support level at the $11.70 area and another more sturdy support at the $10.85 level for short term price action in Theta. In my 30 Minute chart you can see these as the thick red lines in the main chart. There is also a dashed blue Resistance Line coming off the All Time High price that has been serving me well as a sell target for my short duration trades.

Trading Strategy: There is a reason I'm focused in on Theta, and that's because I want MOAR!!! I dipped my toes in just to test the waters out before it hit the huge spike up this year as I researched the project and analyzed its long term potential. Seeing the signs of a top in the massive upward momentum and a delay in the next big development milestone makes me think now is the time to play the short game and try to fill up my bags for a more respectable long term position in this project.

Playing the short game in Crypto Land is very dangerous, but the risk / reward I'm looking at for a chance to get a sizable position in a project I think could be staying in the Top 10 market cap wise for decades down the road makes me feel like adopting the motto of the Super Bowl winning Buccaneers, who just so happen to be my favorite sports team for well over 2 decades now. "No Risk it, no Biscuit!"



Indicators by Market Cipher

*None of this is to be taken as financial advise. Do your own research before deciding whether or not to purchase this or any other digital asset.

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I did ignore this before! I never knew that it will increase its price like the NANO when I saw its price was 0.003 Before and now it was 4 to 5 dollar.

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That's what makes the Crypto space so exciting. It's a brand new layer of technology that'll be getting absorbed into our global economy and that means some once in a lifetime opportunity.

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Indeed... (^^)
Now, I've learned a lot! I did hole a lot of coins that they called "shit coin," which is for me is a treasure coin... ^
^

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Hopefully this goes down as the worst trade idea of my life, jeebus did I get rekt with the quickness. Guess it's plan B and buying the dips to build up my Theta bag now...

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