LSK has tested the 50MA (blue) as support in the last 3 days. That to me, weakens it the strength of the support. However, as you can see in the past, LSK has historically bounced between .0013 - .00115. We see the 12 EMA (teal) starting to act as a dynamic resistance AND it looks like it will cross the 26 EMA (orange) shortly - which is another bearish signal. What the bulls are looking for as the first signal of confidence is a rally to above the 12 EMA and it must hold. This would be the only way for LSK to start rallying back. Even so, it would be rallying back into the channel of the bear flag and then test resistance at the 200 MA (pink).
Exit Recommendation
Since LSK has known to be historically volatile, I don't think a stop loss would be all that effective all the way until the .001 BTC level, or the bottom of the bear flag. Just because it breaks the first two horizontal support lines, does not mean it won't rebound back to those levels. On the flip side, just because it breaks the first 3 red resistance levels, does not mean it is immune to come crashing back down shortly. However, you can use these levels to either a) get out or b) observe price action more closely at those levels to determine the general sentiment/environment.
Basically, if you want to get out, get out now. If you think it can reverse before breaking support, then stay in for at least a week to see if it can break the bear flag formation, or 12 EMA can cross back over.
Another perspective on this includes the fact that LSK will be present at Consensus which is happening in a week. There definitely will be speculative behavior before and after the event which can drive the price up or down based off the sentiment. My personal lean is that this will be a 'sell the news' reaction in price. If we were to look at previous history (with a grain of salt of course), Lisk also attended Consensus 2017 on May 22-24th. From May 22nd to May 24th 2017, Lisk's price vs BTC went from .0000388 to a peak of .00075. In the next two days, from May 25-26th, Lisk fell to .0043 before catching support on the daily 12 EMA. It then proceded to rally higher. However from a trading persepctive, that was a completely different environment. It was in a bullish environment with the 12 EMA over the 26 EMA which was over the 50MA which was over the 200 MA (suggesting strong bull environment).
If LSK can deliver a solid presentation/product demo, it can incite optimism which could reflect in price. It would be greatly timed to get out of the bear flag but we have to see if it plays out that way in the next week.
However, I am of the bias that there will be a sell-off after Consensus 2018. And in a week's time I'll probably have a different opinions on these current conditions.
Exit Recommendation
Since LSK has known to be historically volatile, I don't think a stop loss would be all that effective all the way until the .001 BTC level, or the bottom of the bear flag. Just because it breaks the first two horizontal support lines, does not mean it won't rebound back to those levels. On the flip side, just because it breaks the first 3 red resistance levels, does not mean it is immune to come crashing back down shortly. However, you can use these levels to either a) get out or b) observe price action more closely at those levels to determine the general sentiment/environment.
Basically, if you want to get out, get out now. If you think it can reverse before breaking support, then stay in for at least a week to see if it can break the bear flag formation, or 12 EMA can cross back over.
Another perspective on this includes the fact that LSK will be present at Consensus which is happening in a week. There definitely will be speculative behavior before and after the event which can drive the price up or down based off the sentiment. My personal lean is that this will be a 'sell the news' reaction in price. If we were to look at previous history (with a grain of salt of course), Lisk also attended Consensus 2017 on May 22-24th. From May 22nd to May 24th 2017, Lisk's price vs BTC went from .0000388 to a peak of .00075. In the next two days, from May 25-26th, Lisk fell to .0043 before catching support on the daily 12 EMA. It then proceded to rally higher. However from a trading persepctive, that was a completely different environment. It was in a bullish environment with the 12 EMA over the 26 EMA which was over the 50MA which was over the 200 MA (suggesting strong bull environment).
If LSK can deliver a solid presentation/product demo, it can incite optimism which could reflect in price. It would be greatly timed to get out of the bear flag but we have to see if it plays out that way in the next week.
However, I am of the bias that there will be a sell-off after Consensus 2018. And in a week's time I'll probably have a different opinions on these current conditions.
Nota
I noticed I messed up my decimals when describing Lisk’s previous price. It should all be in the .00038 -> .00075 -> .00043
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Le informazioni ed i contenuti pubblicati non costituiscono in alcun modo una sollecitazione ad investire o ad operare nei mercati finanziari. Non sono inoltre fornite o supportate da TradingView. Maggiori dettagli nelle Condizioni d'uso.
Declinazione di responsabilità
Le informazioni ed i contenuti pubblicati non costituiscono in alcun modo una sollecitazione ad investire o ad operare nei mercati finanziari. Non sono inoltre fornite o supportate da TradingView. Maggiori dettagli nelle Condizioni d'uso.