Let’s examine the insights shared by our Technical Analyst at UseTheBitcoin as he walks us through his personal trading approach and observations on the crypto market.
How I Traded $DOGS
I initially entered a short position because there were several issues concerning Telegram recently. Although DOGS is a different entity from Telegram, I was confident that its price would decline since it’s closely associated with Telegram. After a few minutes, the price did go down, but to my surprise, it reversed and started moving upwards again. It did not fall as much as I had anticipated. I expected a significant move to the downside, but the market did not seem as affected as I thought. The price bounced off its support levels at $0.00149 to $0.001129 and rose again to around $0.0014.
That’s when I realized I could trade it normally. So, I began to move in and out of the market, switching between long and short positions depending on the market flow. However, since DOGS is just a meme coin and is currently facing some issues related to Telegram, I only allocated a small amount of capital to test the waters. In the end, I managed to make a small profit.
As of the time of writing, I am currently hedging DOGS. I have opened both long and short positions simultaneously due to the ongoing uncertainties. This type of trading strategy is the best option in this ranging and undecided market. I plan to close my losing position and let my winning position run after a few hours.
Many traders sold their positions immediately after DOGS was listed on the market—many people who received airdrops also sold quickly out of fear. However, I believe it’s better to observe the market first before making such decisions. Sometimes, fear and panic can lead to poor choices in the end. Just like what happened with DOGS, many people were very negative about it, but in the end, it was not affected as severely as many had expected.
Final Thoughts
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