💼 #TradeCrypto: Opened a long position on #FET/USDT at $0.728
I plan to take a long position on FET/USDT at $0.728, taking advantage of the current correction in February 2025. The objective of this trade is to capture an upward movement towards $1.08, based on the analysis of historical support and resistance levels.
📉 Technical analysis:
Market Context: After a significant rise in February 2024, FET gradually lost momentum until reaching a low in August 2024. However, the observed decline was not strong enough to reach the resistance tested in December 2023 and January 2024, located around $0.728. This key level could now act as support.
Accumulation phase: Since the beginning of February 2025, prices seem to be entering an accumulation phase, with consolidation around $0.728. Low sales volumes and reduced volatility confirm this area as a strategic entry point to anticipate a bullish recovery.
$1.08 Sell Target: This level corresponds to an intermediate resistance reached in late 2024, which has slowed the recovery attempt. This area is likely to come under significant selling pressure as the price approaches this resistance.
🧠 Strategy:
Entry at $0.728: The $0.728 level represents a strong support point after acting as major resistance in December 2023 and January 2024. Given that the price failed to reach this area during the August 2024 decline, the current correction provides an opportunity to buy back at this price.
Sell target at $1.08: I am targeting this level to capture a technical bounce and maximize my gains before hitting strong resistance. Accelerating buying volumes near this level could indicate a potential profit-taking area.
Risk/Reward Ratio (RR): For this trade, I am targeting a RR of 1:3, with a stop-loss adjusted below $0.70. This allows me to protect my capital while targeting an optimal return, given the upside potential up to $1.08.
🛑 Risk management:
Stop-loss below $0.70: If the price goes below this zone, it would invalidate my hypothesis of a rebound from $0.728. The stop-loss is adjusted accordingly to limit the losses to an acceptable level, approximately 1% of my total capital invested in this trade.
Amount invested: I decide to invest only 1% of my total capital on this trade to limit my exposure in case of increased volatility in the crypto market. This low percentage allows me to manage risks while participating in a potential bullish movement
🔍 Indicators to monitor
Volumes: An increase in buying volumes near the support at $0.728 could validate the idea of a bullish reversal. The increase in volumes will confirm the interest of buyers on this key level.
RSI (Relative Strength Index): The RSI is currently close to 40, which shows that selling pressure may be easing. A rise above 50 would indicate bullish momentum to watch.
Moving Averages (MA50 and MA200): Watch for a potential bullish crossover of the moving averages to confirm the trend resumption. The MA50/MA200 crossover can serve as additional confirmation to strengthen conviction in the long position.
📢 Recommendation: Stay alert to macroeconomic events and announcements that could influence the FET price, especially news related to AI or blockchain. Adjust your stop-losses dynamically to protect your profits based on market volatility.
#CryptoTrading#FET#FETUSDT#Altcoins#TechnicalAnalysis #RiskManagement
