Hi folks!
I just zoomed out a bit to actually try to fathom the risk one is taking on in this market - as I am contemplating starting my DCA scheme at this price point
for a basket of ADA, DOT, ETH and BTC.
In this regard, it is important to note that the last clear buying opportunity in ADA on the daily (where we have a divergence in both RSI and MACD) was September 15. 2020.
This is nine months ago, and the price at the buy signal was a little over 0.07 USD.
This means that - in three quarters of a year, we have seen a en increase of over 15700% in ADA. We see a very similar pattern in DOT.
Although the project evolves, one has to take into consideration that most people familiar with Blockchain was already aware of these developments nine months ago,
and so the price increase is to a large degree based on speculation.
For the record, I am a huge fan of what Cardano and Polkadot are trying to achieve, and I also own some staked ADA and DOT -
I just believe we need feet planted on the ground once more before we see price increasing along with development in these (potentially) brilliant protocols, while washing out all the crap (and let´s face it - most projects in the crypto space is absolutely rubbish).
We also need to consider the macroeconomic picture here, and it is more than plausible to assign a large portion of the mania in all financial assets to the "The tide lifts all boats" monetary state,
and we therefore need to consider the systematic risk in markets now - which is at a level only matched by the dotcom bubble.
DYOR.
NFA.
Never tak the words of others as a given.
I wish you all well :)
I just zoomed out a bit to actually try to fathom the risk one is taking on in this market - as I am contemplating starting my DCA scheme at this price point
for a basket of ADA, DOT, ETH and BTC.
In this regard, it is important to note that the last clear buying opportunity in ADA on the daily (where we have a divergence in both RSI and MACD) was September 15. 2020.
This is nine months ago, and the price at the buy signal was a little over 0.07 USD.
This means that - in three quarters of a year, we have seen a en increase of over 15700% in ADA. We see a very similar pattern in DOT.
Although the project evolves, one has to take into consideration that most people familiar with Blockchain was already aware of these developments nine months ago,
and so the price increase is to a large degree based on speculation.
For the record, I am a huge fan of what Cardano and Polkadot are trying to achieve, and I also own some staked ADA and DOT -
I just believe we need feet planted on the ground once more before we see price increasing along with development in these (potentially) brilliant protocols, while washing out all the crap (and let´s face it - most projects in the crypto space is absolutely rubbish).
We also need to consider the macroeconomic picture here, and it is more than plausible to assign a large portion of the mania in all financial assets to the "The tide lifts all boats" monetary state,
and we therefore need to consider the systematic risk in markets now - which is at a level only matched by the dotcom bubble.
DYOR.
NFA.
Never tak the words of others as a given.
I wish you all well :)
