ONEUSDTPERP Sell Short | S6W1 | Team Trading Contest Post for Investors-Team

Hello everyone, this is my final publication for this week's trading competition. I'm once again glad and grateful to be a member of the Investors-Team headed by Professors @pelon53 and @imagen.

For today, I chose to trade ONEUSDTPERP on Binance. I recorded my first loss this week with this trade but it was minimal. As usual, I'd state the questions, answer and tell how the trade went and some mistakes I made. Let's get started.

ONE is the native token of the Harmony blockchain network. Harmony was founded in 2017 by Stephen Tse. Like many blockchain networks, it is a rival of the most populated DApp blockchain: Ethereum. Harmony is focused on providing a fast, secure and efficient platform for creating and using DApps. Transactions on Harmony are very cheap and fast. A transaction costs an average of $0.0001 and is completed in 2.02 seconds.

Harmony's founding and core team is made up of 25 members. Among them, we have Rongjian Lan, Sahil Dewan, Nick White, Leo Chen, Li Jian, etc. You can click here for more information on the Harmony team.

Harmony uses a version of proof-of-stake called effective proof-of-stake (EPoS). The network uses a sharding process to reduce the time nodes use to validate transactions. EPoS on Harmony allows validators to stake simultaneously. It processes transactions faster and improves the scalability of the network. For security on the network, Harmony uses Verified Random Function (VRF). This allows nodes and validators on the network to be assigned and re-assigned in an unbiased way.

ONE has a value of $0.1565. It is ranked #52 in the list of cryptocurrencies on CoinMarketCap. It has a market cap of $1,834,146,922. It has a total supply of 13,364,808,925 ONE.

ONE recorded its all-time high of $0.3798 4 months ago. It has dropped by 58.82% since then. Its lowest price recorded this week was $0.1102, this was also its lowest within the month.

ONE can be found in many exchanges. You can buy, sell and perform other trade functions with ONE and other asset pairs on exchanges like Binance, Huobi Global, Gate.io, KuCoin, Kraken, Bittrex and many more. For my trades I choose Binance. I like their mobile interface and the services they provide.

I woke up this morning to see ONE as one of the top gainers. I said to myself, this would be a nice asset to short. Per my analysis, most often when assets rise above 15% within the day and they don't show signs of the bullish trend continuation, you should expect a fall in price. This fall could be a correction or reversal, and either way that's an opportunity for me.

I think ONE has a long way to go. It has a very strong team and a very successful engineer as a founder. It's been years now and it hasn't reached an all-time high close to 1 USD which is somewhat disappointing. This isn't that bad though. There are many successful blockchain networks like Tron that haven't reached that height yet. I believe that with time its demand would increase and so will its price.

ONEUSDTPERP is a futures perpetual contract on Binance. I used the Binance mobile up to trade while I make my analysis on PC with TradingView.

I first marked the support and resistance levels in the 4-hour chart and switched to a lower timeframe.

I switched to the 1-hour timeframe and marked the supply zones to get a good entry point.

I put my entry slightly below the supply zone and my SL above it.

After a couple of hours, the price hit my entry. I added the RSI indicator to the chart to check whether the asset was overbought and whether my entry was safe. The details of the trade are in the next section.

My plan was to make quick and fast profits with x10 leverage on Binance. My trading capital was about 8.8 USDT.

My entry for the short position was 0.15912 USDT, TP was 0.14918 and SL was 0.16766.

When the price hit my entry, I quickly adjusted the SL to 0.15957. I had to go somewhere and so I was in a haste. I only switched to the 1-minute timeframe to set the new SL.

Later when I got back the price had hit my SL and I was out of the trade. The 1-minute timeframe prevented me from seeing the demand zone I had marked. I would have adjusted the new SL slightly above it before leaving the trade.

The price hit the resistance level perfectly and went the opposite direction. This mistake cost me 0.2511 USDT. With the TP set the estimated profit was about 5 USDT. I won't talk about ifs because this is a learning process and I have to be vigilant next time.

The image above shows the trade and transaction history.

Harmony is a good project with a very good team. I'd recommend others to buy now. Its lowest price within the last three months was recorded this week and so you should expect good returns when you buy now. I don't see any other good time you can buy ONE if you want to make a profit. It was among the top gainers provided by CoinMarketCap because other traders I've noticed it is a good investment at this time.

Don't wait for the price to increase above 50% before you buy. And also make sure you sell-off after holding for some time. Don't watch the price moon, retrace and go lower than you bought it before you sell out of fear. Don't also forget to use risk capital for this investment as you might have to hold for weeks or months before you sell off at a better price.

Harmony has a lot of interesting developments in progress. One of the developments is scaling Web3 via ZKP & DAO. This development has been in progress since 4 years ago and is expected to be completed in the year 2026.

According to their website, their strategy is to bring the best results of Zero-Knowledge to production and ensure decentralized governance with thousands of DAOS. You can read more about the technical aspect of this development from here. You can also find their road map there.

For the first quarter of this year, there are developments to create bridges to Bitcoin and Ethereum, staking contracts, cross-chain to OpenSea etc. These developments would draw attention in the future and increase the demand for Harmony.

Finally, the week has ended and a new week starts tomorrow. I'm glad to have gained experience trading and being a member of this team. The table below shows a summary of the assets I traded and the profits I made.

In total, I had 4 wins and 1 loss. My starting capital for the week was 3.88 USDT. Making more than I invested in a week shows good signs of improvement. I plan on building this account to 100 USDT before I take out 50% of profits earned within the week to spend.