Why Timing Your Entry Matters in Crypto
I also feel that the simplest money-making scheme in crypto is to just enter when you can (before an altcoin looks parabolic). Altcoins in the previous cycles would tell us, with the charts, that a large move was imminent. Once you can notice these signals early enough, you will be able to surf the wave rather than being an afterthought.
Currently, I am observing 5 altcoins that are displaying these bullish indicators on their larger timeframe charts, which can be where many of the largest moves initially begin.
Using Moving Averages to Identify Strength: The Golden Cross
The golden cross is one of my favorite tools, and it occurs when a shorter moving average crosses over a longer moving average (generally the 50-day moving average moving over the 200-day moving average). This cross is frequently an indication of a switch in momentum between bearish and bullish steps, one of the opportune moments when it is desirable to think about committing.
Here’s how I check for a golden cross:
Use two variables of simple moving average (SMA): SMA 50 and SMA 200 on the daily chart.
Monitor the SMA 50 to go above the SMA 200.
When looking at the price action, too, it is desirable that the action be above both SMAs, which indicates strength.
Many altcoins are about to or have recently undergone golden crosses — Solana (SOL), Algorand (ALGO), Injective (INJ), Avalanche (AVAX), and SUI. These crosses are not frequent, perhaps one or twice a year, but when they do occur, it has resulted in huge profits — lately two of them were 250 % and more.
How I Analyze Specific Altcoins Poised for a Pump
Solana (SOL)
The SOL is racing towards the golden cross, and in the past, following this indicator, it rebounded over several weeks to months and at times even up to over 100%. With the bullish structure in Bitcoin, I am also bullish on SOL.
Algorand (ALGO)
The ALGO cross is a round-the-corner event — just a few days to go. Last year, when it crossed, it increased by about 250%. The thing I like about this price is that it has broken above both SMAs, which is a strong buy zone.
Injective (INJ)
INJ came off its golden cross a while ago and is again testing support around these averages. This retest is usually the best to juice, and in the past, the signals have been followed to a 500% pump in bull markets with INJ.
Avalanche (AVAX)
In approximately one week, AVAX ought to generate a golden cross. It is a coin that historically has pumped 100%–300% upon these types of crosses forming, as it is a coin that tends to strongly react once these crosses form.
SUI
This new player just got its golden cross and had a good breakout, then pulled back into a support area. Such an arrangement shouts of opportunity to me, considering the fact that SUI has not been fully priced given all of its potential.
The Bigger Picture: Bitcoin and Market Trends
I would pay close attention to the Bitcoin trend since the altcoins tend to follow its example. At this moment, Bitcoin is developing a W pattern that has been a good reversal pattern. It is possible, within just a few hours, that instead we have a breakout imminent, and maybe a short squeeze, a run-up driven by forced buy-ins of short positions.
According to liquidation charts, it is possible to see that more than $13 billion worth of short positions can get liquidated as soon as Bitcoin breaks through particular resistance levels, which, in the conditions of the hypothetical scenario under discussion, might take prices hovering at around $115,000 to the range of roughly $121,000 or possibly even beyond (note: these figures refer to hypothetical analysis explained in the transcript background).
Bitcoin makes up, and altcoins all tend to explode together, further multiplying returns in general.
Managing Risk: Surviving the Market “Party”
I always imagine the crypto market as a party with bouncers (market corrections) putting in and out unprepared people. There is a temptation of the hype and being locked out early, with a tendency to buy the tops and be drunk.
The key I follow is to:
Remain calm and composed in dips (drink water, not only tequila!).
I will use the technical signals to push and guard my position.
Expect drops as high as 30% on altcoins, and anticipate it — 30% sounds like a lot, but let me tell you there are some days where I open my phone and see a drop of 30% or more.
This plan makes me stay in the game longer because I get to ride the swings instead of being bubbled out.
How You Can Spot the Next Altcoin Pump
Look for Golden Crosses on Daily Charts: Guidance is SMA 50 and SMA 200.
Check price action relative to SMAs: Refer to the price regarding SMAs; it’s good to buy close to or just before the crossover to price support.
Watch Bitcoin’s trend: Make sure Bitcoin is sending bullish traces, such as a W pattern, and is about to break above resistance.
Understand liquidation zones: These provide indicators of where there could be forced buys or sales to cause large movements.
Be patient during dips: you are just supporting on good levels; weather the temblors, and pound your market when it comes back.
Final Thoughts
I’m psyched on the altcoin setups right now because they’re setting up in a historical repeat pattern. Using simple moving averages and keeping an eye on Bitcoin’s movements allows you to spot coins like Solana, Algorand, Avalanche, Injective, and SUI at the lead.
The crypto market goes in waves just like its capitalized. The party has its ups and downs, but stay sharp and cool, and you are bound to catch those incredible waves. I’m getting into gear myself and would say it is time for you to do the same.
Stay on those golden crosses, watch the trends, and get ready to RIDE THE NEXT ALT COIN RISE! 🚀
Disclaimer: This post is just my personal opinion and ideas. I am not promoting or recommending any cryptocurrency or investment. Please do your own research and be careful when investing. Any decisions you make are at your own risk.
