• Subscribe
  • Log In
  • Home
  • Daily Diary
  • Asset Class
    • U.S. Equity
    • Fixed Income
    • Global Equity
    • Commodities
    • Currencies
  • Sector
    • Basic Materials
    • Consumer Discretionary
    • Consumer Staples
    • Energy
    • Financial Services
    • Healthcare
    • Industrials
    • Real Estate
    • Technology
    • Telecom Services
    • Transportation
    • Utilities
  • Latest
    • Articles
    • Video
    • Columnist Conversations
    • Best Ideas
    • Stock of the Day
  • Street Notes
  • Authors
    • Doug Kass
    • Bruce Kamich
    • Jim Cramer
    • Jim "Rev Shark" DePorre
    • Helene Meisler
    • Jonathan Heller
    • - See All -
  • Options
  • RMPIA
  • Switch Product
    • Action Alerts PLUS
    • Quant Ratings
    • Real Money
    • Real Money Pro
    • Retirement
    • Stocks Under $10
    • TheStreet
    • Top Stocks
    • Trifecta Stocks
  1. Home
  2. / Investing

The Bitcoin Trade Is Developing Well

It has the potential to gain strong momentum as it's mainly a technical trade.
By JAMES "REV SHARK" DEPORRE
Jun 02, 2020 | 10:55 AM EDT
Stocks quotes in this article: CHWY, WORK, DDOG, GBTC

The action started a little slower today and the pockets of speculative buying are not quite as aggressive but it is another buoyant day for the indices as market players forget about the news flow and worry about trying to participate in this market that won't stop.

Breadth is running quite strong with about around 5100 gainers to 2050 decliners. New 12-month highs are expanding and are now around 135 compared to only 14 new 12-month lows.

The 'go to' coronavirus plays continue to perform very well. Chewy (CHWY) , Slack (WORK) , Datadog (DDOG) and a few others have been moving but I've reduced my WORK position into its upcoming earnings on June 4 after the market close.

Gambling stocks are taking a rest and the SPAC names are consolidating, but there are plenty of single-digit stocks on the radar. This strong speculative action in small stocks is the most significant feature of the market right now.

Back on May 13, I wrote about starting a trade in Bitcoin using Grayscale Bitcoin Trust (GBTC) . I've added to the position and am looking to add to it further as it breaks over recent highs around $12.20-$12.40. This trade has the potential to gain strong momentum as it is mainly a technical trade. Bitcoin has no fundamentals and can't be valued like a stock so it tends to move on emotions and technical patterns more than regular stocks.

I'm seeing some intraday fades in some stocks and that is making me tighten up. I reduce some silver and good positions and am going to err on the side of defense right now.

As always I'm focused on reacting to the price action rather than trying to predict it. As the character of the action shifts, I will also shift and right now it is looking slightly toppy.

Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.

At the time of publication, James "Rev Shark" DePorre was Long CHWY, WORK, DDOG, GBTC.

TAGS: Bitcoin | Investing | Markets | Stocks | Trading | Coronavirus

More from Investing

Tech Gives Push to Market's Rotation

James "Rev Shark" DePorre
Jan 20, 2021 4:49 PM EST

Money moved back into big-cap technology names, thanks to strong positive reactions to earnings from Netflix.

I'm Focused on the Weekly Setup With SelectQuote

Timothy Collins
Jan 20, 2021 3:05 PM EST

These broken IPOs that start to heal can be some of the best trades.

Netflix's Post-Earnings Surge Might Bode Well for Microsoft, Facebook and Amazon

Eric Jhonsa
Jan 20, 2021 2:40 PM EST

The streaming giant's numbers and commentary were arguably just good, rather than amazing. But with its stock having underperformed for months, that's all that markets needed.

DuPont Could Push Higher in the Weeks Ahead After Some Sideways Consolidation

Bruce Kamich
Jan 20, 2021 2:38 PM EST

Here's our strategy now.

Be a Scale Up Seller of Quanta Services

Bruce Kamich
Jan 20, 2021 1:58 PM EST

Let's check the charts and indicators.

Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation. If you have questions, please contact us here.

Email

CANCEL
SUBMIT

Email sent

Thank you, your email to has been sent successfully.

DONE

Oops!

We're sorry. There was a problem trying to send your email to .
Please contact customer support to let us know.

DONE

Please Join or Log In to Email Our Authors.

Email Real Money's Wall Street Pros for further analysis and insight

Already a Subscriber? Login

Columnist Conversation

  • 11:38 AM EST CHRIS VERSACE

    Best Stocks to Buy for the Biden Presidency

    President-elect Biden's massive stimulus plan, int...
  • 08:07 AM EST GARY BERMAN

    Wednesday Morning Fibocall for 1/20/2021

    SPX (Long-Term View) The 1/8/21 high @ 3826.69 i...
  • 11:09 AM EST GARY BERMAN

    Is Copper About to Turn to Rust?

    Below is a very long-term copper chart.  As you...
  • See More

COLUMNIST TWEETS

  • A Twitter List by realmoney
About Privacy Terms of Use

© 1996-2021 TheStreet, Inc., 225 Liberty Street, 27th Floor, New York, NY 10281

Need Help? Contact Customer Service

Except as otherwise indicated, quotes are delayed. Quotes delayed at least 20 minutes for all exchanges. Market Data & Company fundamental data provided by FactSet. Earnings and ratings provided by Zacks. Mutual fund data provided by Valueline. ETF data provided by Lipper. Powered and implemented by FactSet Digital Solutions Group.

TheStreet Ratings updates stock ratings daily. However, if no rating change occurs, the data on this page does not update. The data does update after 90 days if no rating change occurs within that time period.

FactSet calculates the Market Cap for the basic symbol to include common shares only. Year-to-date mutual fund returns are calculated on a monthly basis by Value Line and posted mid-month.

Compare Brokers

Please Join or Log In to manage and receive alerts.

Follow Real Money's Wall Street Pros to receive real-time investing alerts

Already a Subscriber? Login