So let's look at BAT (Basic Attention Token) based on Ethereum blockchain from the chart point of view.
Well, first it looks like there is plenty of room to the downside but we reached the 61.8%-78.4% extension zone of red label degree and while I know that equal leg area of highest degree would come at 0.004920, I can many cycles ending on 18/03/2018, let's make the case for a base here.
First, broke (would like a better confirmation though) in 4h time frame, indicating that a cycle has ended. What cycle? well, I see 2: cycle from 03/03/2018 high for the most obvious and also 18/02/2018 high.
From 0.1540 low, BATUSD has bounced in a 3 waves that ended at 0.2646 and that is still a correction. So now, we need to check the structure of the pullback. I do not think it will break immediately down but market does it wants. So, while above 0.1540 we should see more upside to correct the cycle from 0.4797 high in a corrective manner - I do not need to see motives everywhere to have a trend-.
I will not propose trades in daily here at I do not pick tops and bottoms (investing would be different though), but I think that there is potential in lower time frame. Follow me on my patreon for 1h time frame but I will continue updating here on daily view.
So would you be buying this token?
buying here is definitely counter trend so I would not force it below 0.1540.
I'm in since 22/03 at 0.1940 partial profit at equal leg area 0.2590 and will buy 0.1971 again.
No bullish sequence in 4h or 1h, so totally counter-trend trade. Will not leverage or force it. My risk will be lowered. Altcoins are plumetting and bitcoin is about to be turning lower
Break above 0.2646 would open the door to 0.2817-0.3068 equal leg area at least.
0.4797 remains invalidation level to the downside.
And right back at it!