The BOMB token is probably one of the hottest coins we’ve analysed in while… if you haven’t heard it by now you have been missing one of the craziest rides in Cryptocurrency this year! It’s a really simple concept: 1 Million BOMBS were minted and every time a BOMB is transferred, 1% of the transaction is destroyed. A truly deflationary currency by design!
So, the number of BOMBS is constantly decreasing, right now and only with a little more than a month of existence there are only 964,273 BOMBS, with it’s increase in popularity the more bombs will get burned forever, leaving an open question of how many BOMBS will be when the concept reaches mainstream (and trust me, it will!).
Long story short, the developers have created a great community of enthusiasts (Twitter, Reddit, Telegraph, etc), those earlier adopters got free BOMBS airdroped to their wallets before it went listed, most of them got about 200 BOMBS (198 because of the burns), it started trading below $1.00 and last week it traded above $14.00 for a while… right now trading around $7.00 making this sick idea a $7 Million Dollar Small Cap Star… anyway, most of their community individuals were sitting on a $2700 freebie at last week’s high… ouch! (can’t believe I missed those airdrops !!!!).
Now, going to classic Technical Analysis on a 4h candle chart (too soon for daily candles):
After a typical hyperbolic rise when the word went out, BOMB got it’s first resistance near $12.00, followed by a first correction to $4.00 (this is perfectly normal in these case of highly speculative rides). In less than a week BOMB was breaking new highs and traded briefly above $14.00, initiating the second and current correction, trading right now around $7.00.
The main support level is around $4.00, but the overall price range $4.00/$5.00 should be looked as a heavy buying zone and it could probably don’t even test this area during the current correction (too much FOMO going on). The all process of making a new high, correcting and retesting it in a short period of time looks more like a normal consolidation movement.
On the upside, I’m looking to $9.50/$10.00 as the first resistance, above that it breaks the short term down movement and opens up the main resistance area near $13.00/$14.00, very likely it will go up and down these levels while it consolidates it’s price for the crypto community.
Now, if it successfully breakout the $15.00/$16.00 price area, it will open up a classic technical target to around $25.00, this target could be achieved in less than a month after the breakout… but this is all short term analysis.
In the long run, and if the popularity of the project keeps up, this could be easily a 100M Market Cap Crypto… or even more… at the end of the day, there’s always less BOMBS…
Can’t wait to own a BOMB? I would suggest the Mercatox Exchange as the easiest way to trade it until it is listed in bigger Exchanges, they have the BOMB/ETH and BOMB/BTC pairs, I would go for the ETH pair.
– Long Term: Buy and Forget
– Short Term: Try to buy as close as possible to the $4.00/$5.00 zone, buy a portion of your portfolio where you are comfortable with no stop (less than 10%), lock some profits near $14.00 and ride the remaining position to $25.00 risk free.
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