BUYGAME is an AI agent infrastructure project in the Virtual protocol ecosystem. A small market crypto project is extremely volatile and can be unpredictable, but I enjoy trading a project like this based on technical analysis.
Technical analysis can be very subjective. Depending on which time frames you are trading and how you are seeing patterns, you can draw support/resistance/trend lines in so many different ways for more mature assets like Bitcoin, FX, and indices. But a young asset like GAME, doesn't have much price action history, therefore, it can be easy to see where the price moves and retraces according to Fibonacci level in 4H and Daily charts. There are no prior historical patterns and price levels so we have to go with textbook style moves. I am not sure if that is the case, but I feel like that's what is happening in many new crypto projects.
The price started to move up on the 5th Dec and peaked on the 3rd Jan. It is the very first time in this asset's history that the momentum indicators travelled from the bottom to the top in the daily chart. So I drew the Fib retracement line there. The price dropped right at Fib 0.786 (the last line of defence for the bull), formed tweezer bottom, and strongly bounced up in the 4H chart.
Daily MACD is remaining in the bull territory. Daily Stochastics have reset and entered the bull zone. When you go to 4H chart, MACD lines have crossed and are entering to the bull territory. The price is travelling inside the sell block in the 4H chart, but once it clears, it has not much pressure to move to the last month high at $0.36 zone and move up further.
I don't trade small projects like this with leverage. I pick projects with good fundamentals and buy with a small allocation of my capital. I bought GAME tokens at $0.25 area in late Dec. I intend to hold it for a while and when Daily momentum indicators start to form negative divergence, I might sell all or sell some.
