HR,
How are you coming up with that analysis? Seems like certain buyers are not affected by the decline in BTC / DGB and are holding long term.
YC
Observations based on years of experience, and if I were to give you an idea as to how many years, I'd just tell you that I've been around the block a time or two . . . to get around saying that I'm getting on in years.
Everyone see that 22 got hit? A 20 million plus buying spree that launched from 17. Then 10 million more went off between 20 and 22 an hour and 15 minutes later. Since the lows, we're seeing very nice expanding volume on buying, and rapidly declining volume on the pullbacks. That's an important bullish technical sign. We're also solidly above the very important short to intermediate term 16 support/resistance level. Finally, the intermediate term downtrend has been broken, and backtested, and now we only need any price above 22 to confirm a trend change. From a technical analysis standpoint, things are looking good. It's very possible that the breakdown of the descending triangle (that began forming in mid-August) to short lived minimal new lows will turn out to be a bear trap (the final capitulation of weak hands) before ultimately establishing a new trend higher.
Everything's in place, not only on a technical level, but also on a fundamental level - from a fundamental standpoint, that is to say when seen from the point of view of REAL VALUE and long term investment potential, DGB is bargain basement priced. Anyone looking for a good investment, and I use that term in company with the most serious of investments that you can think of, will be very hard pressed to come up with something better. That being said, it is speculative, of course, and should only represent that small part of your diversified portfolio that you consider speculative, but it's right there on the same playing field with the best of speculative investments which means that DGB is also for real investors, and real investment portfolios (and one thing that won't do is drive price lower).
Edit: I was just looking at Crypsty's sell stack on DGB, almost 4 BTC worth from 22 to 24 and then another 2 BTC worth of offers up to 29. That's not much, and it wouldn't take a whole lot to eat it up . . . and there might even be a lot less than that to eat up as those offers get canceled once 23 trades. Keep an eye on 23, and watch to see if all the offers up to the low 30's disappear on a break.
In fact, when looking at the "tape", market participants' behavior is indicating that there's a high probability of a quick
revaluation (I'm careful to not use the word "run" as that would imply pump and dump) to 50 satoshi in short order.
