I know one word you haven’t heard in a while… crypto!
With the sluggish performance of major coins and the general market calamities, traders simply haven’t had many reasons to follow the crypto world lately.
But to somebody like Jason Bond, that only gives more reasons to go shopping for good trading setups – the competition is lower & the trades are less crowded!
So, off he went and, as Jason often does, found a great setup in a place where nobody else dared to look.
I’m talking about Bit Digital (BTBT) – a name you may be familiar with.
BTBT Story
There are two reasons why I said you may be familiar with BTBT.
First, this crypto mining company’s stock has had quite a ride:
In the middle of last year, BTBT was one of “those” names – the tickers every trader has on his screen.
Second, as all of that was happening, Jason wasn’t exactly on the sidelines.
Here are the details of his July 2021 trade in BTBT:
But forget about the past, let’s look at what’s happening right now.
As the crypto craze eased, the stock got hit hard:
Shares have been slipping lower for nearly 4 months now, with virtually no upticks.
And while that may look dull and gloomy, Jason believes right now may be the perfect time for a long entry.
Here’s why:
- All major cryptocurrencies have traded lower and are nearing major support levels – if they bounce higher, BTBT would get a boost.
- The stock is at “max pain” levels now – the most stubborn longs are getting stopped out. Oftentimes, a stock may change course once it hits the “max pain” area.
- Shorts are stubborn too – BTBT still has nearly 30% (!!!) short interest! That’s a lot of people who’ll rush to cover if the shares uptick.
- The risk/reward is just too good for Jason to pass! At current prices, shares have 20-30 cents of risk to their recent lows. If the stock were to pick up steam – the upside could easily be several dollars.
And, as always, Jason puts his money where his mouth is. Earlier today he bought the first piece of his BTBT stock for a swing:
Let’s see how this plays out for him!
