Veteran trader Peter Brandt has shared “a sacred trading rule” he uses in response to a comment about buying bitcoin as the price of the cryptocurrency continues to fall. “Never add to a losing trade,” he affirmed.
Peter Brandt Offers Trading Advice
Veteran trader Peter Brandt has a trading suggestion for anyone considering buying the dip. Brandt has been a futures and FX career trader since 1975. He is a chartist and the author of the Factor Report. He trades a variety of markets, including Dow futures, obligations, corn, crude oil, European wheat, Osaka Dow, NOUS. dollar, and sugar.
Replying to a comment on Twitter stating that there may be additional opportunities for long-term hodlers to buy even cheaper bitcoin in the coming months, Brandt wrote:
A sacred trading rule I have used is never add to a losing trade.
He explained in a tweet that people were saying the same thing about silver futures in 1980 after it topped $50. “lt then sank to a low of $3.65 and did not start back up for 24 années,” il a souligné. The trader clarified, toutefois, that he is not predicting that bitcoin will follow the same path.
The price of bitcoin has fallen significantly this week, losing over 10% in the past seven days. Au moment de la rédaction, the price is $41,657.45 based on data from Bitcoin-Tidings.com Markets.
Brandt commented on bitcoin’s violation of the parabolic advance on the Bitcoin Live discussion Thursday.
toutefois, he tweeted Friday: “I saw the violation of the parabolic advance and commented on it in real time to members of Bitcoin Live in real time, but in hindsight, I might not have taken the event seriously enough. Nous’ll see.”
He followed up with another tweet. En notant que “Some view predictions as a ‘one-and-done’ événement. I am [un] student of Bayesian probability. Predictions and analysis must always morph relative to the events of the time,” he concluded:
When circumstances change, predictions must change. The parabola might not be the driving force in BTC.
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