Virtual protocol - patiently waiting for this correction to end
My overall bias for VirtualProtocol is very bullish. I personally don't think Bitcoin macro bull cycle hasn't peaked so I am interpreting the current move of Virtual as the first major correction. Therefore, I am patiently waiting for the set up to buy.
When I analyse the chart, I usually use two time frames. For more mature assets like Bitcoin/Ethereum/Solana, I use weekly chart and daily chart. But young assets like Virtual, I use daily chart to engage the overall environment of the asset (bull market or bear market) and use 4H to identify an entry point. The processes I am using as follows:
1) Look at the daily chart - if MACD lines are clearly above 0 line, it is the bull trend. If MACD lines are pointing downwards, it is just going through temporary correction as long as lines are in the bull territory. Currently, MACD lines are clearly pointing downwards but still above 0. Therefore, I assume it is a temporary correction. The price is sharply dropping, but the bull trend hasn't been negated yet.
2) Look at the daily stochastic (9,3,3) - Daily stochastic reacts much faster than MACD. When daily stochastic lines cross and start to roll upwards, it signals it is almost ready for me to buy in the 4H chart.
3) Look at 4H chart - make sure daily MACD is in the bull terriroty and daily stochastic is moving up. 4H MACD needs to properly cross, point upwards and enter the bull territory . When that happens, 4H stochastic is still not in the overbought territory. If it is, the price can retrace one more time.
There are many conditions that need to be met, but when I follow these rules it removes a lot of market noises, which helps me from suffering mental anguish.
In short, Virtual is no way ready to recover from this correction. Until Bitcoin decides what it wants to do, the rest of the crypto will continue to suffer.
When I analyse the chart, I usually use two time frames. For more mature assets like Bitcoin/Ethereum/Solana, I use weekly chart and daily chart. But young assets like Virtual, I use daily chart to engage the overall environment of the asset (bull market or bear market) and use 4H to identify an entry point. The processes I am using as follows:
1) Look at the daily chart - if MACD lines are clearly above 0 line, it is the bull trend. If MACD lines are pointing downwards, it is just going through temporary correction as long as lines are in the bull territory. Currently, MACD lines are clearly pointing downwards but still above 0. Therefore, I assume it is a temporary correction. The price is sharply dropping, but the bull trend hasn't been negated yet.
2) Look at the daily stochastic (9,3,3) - Daily stochastic reacts much faster than MACD. When daily stochastic lines cross and start to roll upwards, it signals it is almost ready for me to buy in the 4H chart.
3) Look at 4H chart - make sure daily MACD is in the bull terriroty and daily stochastic is moving up. 4H MACD needs to properly cross, point upwards and enter the bull territory . When that happens, 4H stochastic is still not in the overbought territory. If it is, the price can retrace one more time.
There are many conditions that need to be met, but when I follow these rules it removes a lot of market noises, which helps me from suffering mental anguish.
In short, Virtual is no way ready to recover from this correction. Until Bitcoin decides what it wants to do, the rest of the crypto will continue to suffer.
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