Long-term cryptocurrency investor Jelle, who topped bitcoin in 2021, recently provided insights on the best time to buy and sell crypto assets. Jelle provided background on his knowledge and claimed that this knowledge helped him sell his bitcoin holdings at the peak of the last confinement.
A powerful bull market indicator
In a post shared on his X platform (formerly Twitter), Jelle explained one of the “most powerful bull market indicators” that could help traders understand the direction of the market. This was based on how to use bitcoin-price-50-moving-average/” rel=”nofollow”>moving averages (MA) for commercial entries and exits. To place trades, Jelle noted that she typically finds the confluence between MAs and horizontal levels.
The analyst shared a chart to further develop his point. According to him, there is usually a good entry when the price retests an area that “makes sense both horizontally and in terms of MA.” This strategy is said to work well in the early stages of bull market. However, he cautioned that traders will likely have to rely solely on MAs later in the bull market.
<img decoding="async" class="alignnone size-medium wp-image-563182 aligncenter" src="https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-27.png?w=460&resize=460%2C202″ alt=”bitcoin” width=”460″ height=”202″ srcset=”https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-27.png?w=512 512w, https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-27.png?w=460&resize=460%2C202 460w” sizes=”(max-width: 460px) 100vw, 460px” loading=”lazy” data-recalc-dims=”1″/>
Source: X
He continued by giving insight into his bitcoin-traders-withdraw-1b-from-exchanges/” rel=”nofollow”>bitcoin trading strategy In particular. He said that he uses the 21-week moving average when he trades the flagship cryptocurrency. Regarding lower time frames and altcoins, Jelle mentioned that a combination of 25, 50 and 200 bitcoin-metric-forms-bearish-divergence-top-here/” rel=”nofollow”>exponential moving average (EMA) works fine.
Finding trading outlets for assets like bitcoin
Jelle also gave ideas about bitcoin-investors-leaving-american-exchanges-data/” rel=”nofollow”>how to find trading outlets. He noted that selling at MAs also works well and this is preferable when there is a confluence between MAs and horizontal levels. He also discovered that this strategy works best in downtrends. However, this is how it exited the bitcoin market at its peak in 2021.
<img loading="lazy" decoding="async" class="alignnone size-medium wp-image-563183 aligncenter" src="https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-buy.png?w=460&resize=460%2C224″ alt=”buy bitcoins” width=”460″ height=”224″ srcset=”https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-buy.png?w=512 512w, https://www.newsbtc.com/wp-content/uploads/2023/11/bitcoin-buy.png?w=460&resize=460%2C224 460w” sizes=”(max-width: 460px) 100vw, 460px” data-recalc-dims=”1″/>
Source: X
As for the best time to use MA for exits and entries, Jelle stated that it works best when a strong trend is present. Meanwhile, the strategy is said to be “much less accurate in a sideways market.” Although she decided not to go into details, she mentioned that mean reversion strategies are more successful under those conditions.
Overall, Jelle believes MAs are a “great indicator in the trading toolbox.” However, she warned bitcoin-traders-withdraw-1b-from-exchanges/” rel=”nofollow”>merchants Don’t “trade blind” when the price reaches an MA. Instead, they should also watch how the price reacts to the zone. He gave an example of how highlights through a master’s degree can indicate how “you are being respected.”
Jelle had previously ideas given as to how to buy the right dips in a bull market. His ideas had also been on the verge of using moving averages to achieve this.
<img loading="lazy" decoding="async" class="aligncenter size-medium" src="https://technicalterrence.com/wp-content/uploads/2023/11/Crypto-Analyst-Who-Sold-Bitcoin-Top-Reveals-How-to-Buy" alt="bitcoin Price Chart by Tradingview.com (Cryptocurrency Analyst)” width=”2650″ height=”1530″/>
btc loses footing above $38,000 | Source: BTCUSD on Tradingview.com
Featured image from BBVA.ch, chart from Tradingview.com
