This reversal pattern will depend on technical analysis, volume profiles, discount zones, liquidation zones, and other on-chain data. However, we may not time the exact top.
We can only DCA out in reversal zones because nobody can predict the market accurately. For altcoins, the plan is a bit different. Let’s discover what our members should do now. If you are not subscribed yet, you can do it here.
What is the Alpha Move?
The old theory goes: Money flows from Bitcoin to High caps; then to Mid Caps and Microcaps.
But in this bull run, the majority of gains belonged to High Caps and Microcaps, and mid-caps were rather neglected by the bulls. Thus, in the case of Bitcoin establishing an RS flip (Resistance to Support) at $40k, mid-caps may be the highest gainers. But which ones?
- Gaming.
- AI.
- Infrastructure.
Mid Caps: We have a well-structured portfolio that has a balance between all three. So, in the consolidation phase, we may prioritize mid-caps in the above category. We may also flip some coins accordingly.
Microcaps: the target exit is $100-$200M in the bull market. This can bring 30x-50x gains. However, microcaps have performed quite a bit, and it is better to avoid coins that are pumped too much. There are many AI coins without good fundamentals and tokenomics that have pumped well in recent days. We can avoid the FOMO in such coins.
Large Caps: our strategy remains the same. 2 times the previous all-time high can be a good exit point. But this is for the peak bull run, and until then we have plenty of DCA opportunities.
For New Joiners, When to DCA?
New joiners from November and December can DCA at the given DCA levels in the sheet. We will also bring a series of articles to help you out!
But if you are tight on the budget, the holiday season (Christmas, New Year) may give us excellent DCA opportunities. Even setting limit orders will be beneficial, as the psychological dilemma in retracements may prevent such DCA opportunities.
The disbelief phase of the bull run is almost over. However, even for Bitcoin, we are 50% down from the previous ATH. Therefore the gains are not off the table the real gains are not yet here. So, even post-40k, we have plenty to do in building the portfolio.
For starters, try to allocate maximum to high caps and minimum to low caps. For a low cap, a 50% loss is quite normal in a day, and we do not have to end up losing our capital like that. Please follow risk management, and wait for market confirmations before taking action. Detailed reports coming out in the coming days.
Disclaimer
The information discussed by Altcoin Buzz is not financial advice. This is for educational, entertainment, and informational purposes only. Any information or strategies are thoughts and opinions relevant to the accepted levels of risk tolerance of the writer/reviewers and their risk tolerance may be different than yours. We are not responsible for any losses that you may incur as a result of any investments directly or indirectly related to the information provided. Bitcoin and other cryptocurrencies are high-risk investments so please do your due diligence. Copyright Altcoin Buzz Pte Ltd.
