A popular coin has fallen below a round-number level, and the comments section immediately split into two camps: dip buyers and loss-cutters. #Zcash has fallen below $1,000 for the first time since September.
“不吃韭菜” wants to say: don’t rush to take sides just yet:
① Round-number levels are mostly psychological. Volatility often picks up after a break, so don’t use leverage to catch a falling knife;
② If you bought in after chasing the price higher, first ask yourself whether your position is larger than you can handle;
③ Whether you’re looking to buy or sell, splitting it into batches is less likely to leave you with regrets than going all in.
$ZEC
Do you use round-number levels as a reference, or ignore them completely?
“不吃韭菜” wants to say: don’t rush to take sides just yet:
① Round-number levels are mostly psychological. Volatility often picks up after a break, so don’t use leverage to catch a falling knife;
② If you bought in after chasing the price higher, first ask yourself whether your position is larger than you can handle;
③ Whether you’re looking to buy or sell, splitting it into batches is less likely to leave you with regrets than going all in.
$ZEC
Do you use round-number levels as a reference, or ignore them completely?