IOTA/BTC or IOT/BTC rallied sharply over the last couple of sessions. It went from around 100,000 satoshis to almost 450, 000 (+450%) satoshis before retreating.
IOTA/BTC 4H Chart
- The bullish breakout put IOTA at all time highs against the BTC, which is obviously an ALT against the USD.
- More importantly, this was a huge run up! But this is the nature of the still young altcoin market.
- Now that we have a pump, we should anticipate a sharp dump, but then a subsequent period of "calming" of the market, which can take months.
- Altcoins have almost the opposite characteristic than altcoins in that the pumps are sharp, brief, and far in between for altcoins, while bitcoin's dips are sharp, brief, and far in between.
- Again, these characteristics are bound to change in by 2019 if not 2018.
- No trade plan here, but we should monitor the 200,000 satoshi level.
- This represents 61.8% retracement and a previous support area.
- Also monitor the RSI for when it comes back to 40.
- Before that, we might see some support around 246000-250000, because this is in the 50% retracement area and a previous resistance pivot. But I think the consolidation will take longer and deeper.