Crypto analyst Scott Melker is bullish on Bitcoin, XRP and the crypto markets at large.
The founder of Texas West Capital is revealing his outlook on Bitcoin and a list of altcoins. In a new note on the state of crypto, Melker says BTC is looking bullish on the daily, weekly and monthly charts – with the monthly looking especially enticing.
“[Monthly chart is] incredibly bullish. Anything above the most recent support at $9,243.83 remains as such.
The last monthly candle engulfed the previous 2, with a hammer at the bottom – arguably a morning star reversal. There is quite literally nothing bearish about the chart on this time frame.”
Melker says he began buying BTC when it was in the $6,400 range, and he sees no evidence that BTC’s rally above $10,000 is finished.
As for the altcoin market, Melker says he’s eyeing XRP, Stellar (XLM), NEO and Holo (HOT).
In the end, Melker says it’s easy to ride a wave in a bull market, but smart traders will take profits and incrementally sell their positions as the price of an asset rises.
“Everyone is a genius in a bull market. We will see how many people actually make it out with their profits…
– Scale out of your trades. This will help remove the pressure of deciding when to exit.
– Take profit often, there’s always another trade. Don’t worry about what happens after you exit.
– Use trailing stops to lock in gains and make sure you never turn a winner into a loser.”
Although Melker joins a number of analysts who are bullish on the state of the market, veteran trader Josh Rager says the bullish sentiments may be too good to be true.
Rager confirms a sudden influx of messages from people asking him for trading advice. The last time this happened, he says, the market was hit with a major pullback.
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