Tonight, while scrolling through my watchlist of old L1s, I saw BCH make itself a trending topic again. I’m bearish on the flow side: with the rotation into old coins reaching BCH, this is a catch-up drop, not a catch-up rally.
The scenario I described this afternoon while writing about ATOM is playing out: DOT and ATOM are both in the green, while BCH has extended its losses to nearly 8%. They may share the same “old L1” label, but the money is only picking off the more popular names.
Its retreat from an intraday high of 298 shows that everyone buying up there was a short-term trader—once it drops, they’re out.
BCH doesn’t have much of a base over the past 60 days either. A rebound in a coin like this looks more like an exit opportunity for those holding above.
My rules: if it rebounds to the 7-day moving average at 277.81 without volume, I’ll keep selling. Only if it gets back above that level will I consider a recovery. If it breaks below the daily low of 268.4, I’m looking straight at 260.94—that’s where real support is.
For old L1s taking a catch-up drop, are you buying the dip or sitting this one out? Reply 1 to buy the dip, or 2$BCH $DOT $ATOM #L1 to sit it out. #MarketAnalysis
The scenario I described this afternoon while writing about ATOM is playing out: DOT and ATOM are both in the green, while BCH has extended its losses to nearly 8%. They may share the same “old L1” label, but the money is only picking off the more popular names.
Its retreat from an intraday high of 298 shows that everyone buying up there was a short-term trader—once it drops, they’re out.
BCH doesn’t have much of a base over the past 60 days either. A rebound in a coin like this looks more like an exit opportunity for those holding above.
My rules: if it rebounds to the 7-day moving average at 277.81 without volume, I’ll keep selling. Only if it gets back above that level will I consider a recovery. If it breaks below the daily low of 268.4, I’m looking straight at 260.94—that’s where real support is.
For old L1s taking a catch-up drop, are you buying the dip or sitting this one out? Reply 1 to buy the dip, or 2$BCH $DOT $ATOM #L1 to sit it out. #MarketAnalysis