The analysts are overconfident that in the immediate months ahead, some of the most prominent along with many other rising stocks in the market is going to face a downtrend enormously. Some of the prominent stocks are going to fall by more than 92%.
Do I believe them?
Yes, I do. When you look at the market performance of 2020 and past few months of 2021, the market trend has been very erratic. It has been very difficult to predict the trend. And despite the Corona Virus wave that has almost crippled the world's economy, cryptocurrency continues to soar in upward trend, ceaselessly, although erratically.
I believe that the market cannot go on continuously upward forever but it is bound to fall. I agree with the analysts that that downtrend is very likely to happen in immediate future.
So, I suggest that you limit your investments in cryptocurrency in the near future. Unless you are sure, don't make hugh investment. I am going to hold most of my stocks in Dollars and not in cryptocurrencies until I am sure that market is starting to rise after its downfall.
Armani123 (Viketo Sumi)
At the market level, based on a stage, do you think we are experiencing the Distribution trend stage? How do you determine it? Under what parameters? I usually analyze the market with the Wyckoff theory and for the trend I do it with Elliot waves.
Sometimes I know that many follow intuition, which is not bad either, in Jesse Livermore's books he talks about intuition, many times in the market he managed to succeed going through thick and thin.
In the way he talks about world events, I capture a tone of fundamental analysis, the covid-19 has set a pattern in these times, despite the new vaccines the world has fallen into confinement again, perhaps this type of panic you may have made the correction there is now.