Bitcoin, overcoming adversity

Bitcoin, overcoming adversity

Nevertheless, this might be over soon. Regulation might kill the majority of the expanded crypto world. Bitcoin might be banned, as it has been in the past in various countries.

And yet, once fiat currency value implodes, bitcoin will be the last man standing.

BTC in US-Dollar, Weekly Chart, last weeks call on the nose:

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Bitcoin in US-Dollar, weekly chart as of November 23rd, 2021.

We posted the above weekly chart of bitcoin in last week’s chart book release. We anticipated a low-risk entry.

BTC in US-Dollar, Weekly Chart, as planned:

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Bitcoin in US-Dollar, Weekly chart as of November 29th, 2021.

Since then, prices have swiftly penetrated our entry zone. We caught two trades, a daily and a weekly time frame position. We posted these trades (entries and the partial exits), as usual, in real-time in our free Telegram channel.
Furthermore, we employ a quad exit strategy that ensures instant risk elimination by quickly taking half of the position off.

With entries of US$ 53,877 (daily timeframe trade) and US$ 54,000 (weekly timeframe trade), we were able, with first exits at US$ 54,591 and US$ 55,797, to not only eliminate risk but ensure profits on half of the positions of 1.33% and 3.33%. As well our next following targets have been reached! We took another 25% of position size out at US$ 55,811.6 and US$ 57,317.7, which booked us another 3.59% return on the daily position and 6.14% on the weekly position.

The remaining 25% of position sizes on each trade we call runners. With stops set now at break-even entry levels, we can only produce additional winnings for each trade.

Each trade had tight stops, assuring less than half a percent of risk per trade.

 

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BTC in US-Dollar, Monthly Chart, modest odds for follow through:

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Bitcoin in US-Dollar, Monthly chart as of November 30th, 2021.

The possible contrarian short signal on the monthly chart makes the weekly trades success probabilities for the runner smaller. Nevertheless, this quad exit approach allows for low-risk positioning versus endless mind chatter and debate since it is typical that different time frames show different long, short and sideways plays.

Here, bitcoin again overcomes adversity. Typically, tight ranged instruments erase many trade opportunities for profit margins relating to commissions and risk to small. The earlier mentioned profit percent numbers are typical for bitcoins volatility and, as such, allow for risk reduction and short- to midterm profitability being more extensive than the average S&P500 annual return.

Bitcoin, overcoming adversity:

Bitcoin will be the cure to inflation damage for those you invested in it in a timely manner. Inflation is a creeping disease to money. Humans seem to have in history always procrastinated towards dangers of inflation, mostly since inflation treads slowly. Inflation also holds illusions supporting hope, hope that also fuels procrastination. While most who suffer under inflationary times think prices for goods went up, the reality is that monetary value went down. With this illusion, we hold on to stock portfolios seemingly rising, bonds, 401ks, and Roth IRAs trusting governments for the status quo to be protected or at least trouble to be temporary. Much more likely, most citizens are drained of their savings and cheated out of their retirements. At the end of such a monetary devaluation cycle, it will be the last time bitcoin will defend its place. 

Doubt will finally vanish. Unfortunately, too late for those who did not educate themselves early enough to find a haven in this principled way to protect one’s wealth.

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This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision. The views, thoughts and opinions expressed here are the author’s alone. They do not necessarily reflect or represent the views and opinions of Midas Touch Consulting.

By Korbinian Koller|November 29th, 2021|Tags: BitcoinBitcoin bounceBitcoin bullishbitcoin consolidationcrypto analysisCrypto Bullcrypto chartbookDeFilow riskquad exittechnical analysistrading education|0 Comments

About the Author: Korbinian Koller

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Outstanding abstract reasoning ability and ability to think creatively and originally has led over the last 25 years to extract new principles and a unique way to view the markets resulting in a multitude of various time frame systems, generating high hit rates and outstanding risk reward ratios. Over 20 years of coaching traders with heart & passion, assessing complex situations, troubleshoot and solve problems principle based has led to experience and a professional history of success. Skilled natural teacher and exceptional developer of talent. Avid learner guided by a plan with ability to suppress ego and empower students to share ideas and best practices and to apply principle-based technical/conceptual knowledge to maximize efficiency. 25+ year execution experience (50.000+ trades executed) Trading multiple personal accounts (long and short-and combinations of the two). Amazing market feel complementing mechanical systems discipline for precise and extreme low risk entries while objectively seeing the whole picture. Ability to notice and separate emotional responses from the decision-making process and to stand outside oneself and one’s concerns about images in order to function in terms of larger objectives. Developed exit strategies that compensate both for maximizing profits and psychological ease to allow for continuous flow throughout the whole trading day. In depth knowledge of money management strategies with the experience of multiple 6 sigma events in various markets (futures, stocks, commodities, currencies, bonds) embedded in extreme low risk statistical probability models with smooth equity curves and extensive risk management as well as extensive disaster risk allow for my natural capacity for risk-taking.

Korbinian Koller

Korbinian Koller

Outstanding abstract reasoning ability and ability to think creatively and originally has led over the last 25 years to extract new principles and a unique way to view the markets resulting in a multitude of various time frame systems, generating high hit rates and outstanding risk reward ratios. Over 20 years of coaching traders with heart & passion, assessing complex situations, troubleshoot and solve problems principle based has led to experience and a professional history of success. Skilled natural teacher and exceptional developer of talent.Avid learner guided by a plan with ability to suppress ego and empower students to share ideas and best practices and to apply principle-based technical/conceptual knowledge to maximize efficiency. 25+ year execution experience (50.000+ trades executed) Trading multiple personal accounts (long and short-and combinations of the two). Amazing market feel complementing mechanical systems discipline for precise and extreme low risk entries while objectively seeing the whole picture. Ability to notice and separate emotional responses from the decision-making process and to stand outside oneself and one’s concerns about images in order to function in terms of larger objectives. Developed exit strategies that compensate both for maximizing profits and psychological ease to allow for continuous flow throughout the whole trading day. In depth knowledge of money management strategies with the experience of multiple 6 sigma events in various markets (futures, stocks, commodities, currencies, bonds) embedded in extreme low risk statistical probability models with smooth equity curves and extensive risk management as well as extensive disaster risk allow for my natural capacity for risk-taking.