$FLOKI — The Bottom Is (Probably) In — And Why You Should Still Be Cautious
Once again, the 0.00011 level turned out to be strong support. FLOKI created a lovely U-shaped pattern that touched the level and bounced immediately.
Therefore, the stage is set to climb back to the next resistance of 0.000135 — at least from a chart perspective.
That move would result in more than 15% gains.
Technical indicators second this move, too:
- MACD on the daily chart just turned bullish
- RSI is in the lower neutral zone
- ADX is showing some admirable strength (>30)
But wait!
Here are three aspects you should consider before jumping into a trade:
1️⃣ Volume
A tiny summer weekend volume drives the current reversal. The Monday opening bell can easily and quickly force another U-turn - this time to the downside.
2️⃣ Downtrend
Technically, FLOKI is still in a downtrend. A break of 0.000135 would send a much more robust and precise signal for going long than the current reversal.
❇️ Here's a better strategy
- First, don't enter the trade right now. The risk is too high.
- Wait for FLOKI to pump above the 0.000135 level.
- Most likely, this will only happen if Bitcoin enters an uptrend.
- Trade the area between 0.000135 and 0.0002
