My my, that’s a pretty chart. The fundamentals are looking great for Binance. However, I’m not a heavy buyer at these elevated levels.
We can clearly see that BNB has been on an uptrend for months. Who knows it may continue to do so but price likes to return to ‘the mean’. Even if Binance goes from strength to strength a correction in price is very likely.
Having said that, the potential for BNB to explode has caused me to re-evaluate my original thesis. I bought a fifth of my investment position at market.
Is it possible I’ll miss most of his this current move – yes, it is but that’s a risk I’m willing to take. In the long run, chasing price costs you money – a lot of it. I’m looking to ladder in the rest of my position in two buy zones and four entries one at the top and bottom of each zone.
The Price Supportive Fundamentals of Binance
High volume exchange with a good reputation for security.
Binance Dex pending – BNB will be used when trading on the DEX.
Binance Labs – may establish BNB as an ICO port of call (with explosive potential growth for BNB).
High-Profile Founder with a track record of achievement.
The chart tells the story – an out-performer over an extended span of time.
Binance Dex may under-deliver. How decentralized will it really be?
Binance labs is full of promise – promise not an established record as a project incubator.
The chart tells us there’s a lot to room to fall if the bear market gathers momentum.
Review of Investment Thesis
Wait on a retrace for 4/5ths of my position.
Split buy order into 4 parts (having already bought once at market)
Minor investment (total 1% of my current portfolio if all five positions entered).
Exit – layered first exit -0.029 BTC (ambitious – review in 6 months)
Edited version of a post originally posted March 10th on Trybe