I've been interested in adding Optimism and ImmutableX to my portfolio but their price has been inflated after big run ups.
Now they are both in freefall and I'm considering an entry point.
How do you decide where to take the plunge? A certain %drop from the top or a %above bottom?
Or do you just look at previous levels as the traders always mention, Optimism is getting close to some previous tops at $1.3 for example?
Or do you get buy targets from another source?
Buy low and Sell high.
30-40% price drop is actually a good time to buy but we also have to consider the potentiality of the said project as well. It is very important to look further at its previous price trend and make a base of it when to buy. But as I usually did, I just bought when there is a correction happen and sometimes I bought at the moment when it started to recover.
Generally, it really depends on us what is our target price and that also depends on the current situation. It should be analyzed so well and make a decision that we think is right.