In today's review, I want to delve into the psychology of the market and examine some patterns that can be observed in the behavior of Bitcoin.
One important aspect to consider is the cyclical nature of the asset, where every 3.5 years, Bitcoin goes through a complete cycle of accumulation, growth, and subsequent decline. This does not necessarily mean that the market will move in this exact pattern for the next 3.5 years, but it is a pattern that can be observed. This illustrates how the market, the crowd, and the psychology of traders operate. By understanding that the market has these three distinct phases, we can make predictions about what to expect in the next phase. Currently, the accumulation phase is clearly visible, so I expect a growth phase to be on the horizon. However, it is difficult to predict exactly when this growth phase will begin, so I will be closely monitoring market trends and community activity to gain a better understanding.
Another tool that I often use for analyzing the market is the Chaikin Money Flow (CMF) indicator. This indicator is particularly useful when used on large timeframes. It is often used in conjunction with the accumulation/distribution indicator, but in this case, I do not need to use it because I am focusing on larger timeframes. The CMF indicator fluctuates around zero, and the basic signals are based on the sign of the indicator value: a positive value is a buy signal, and a negative value is a sell signal. Currently, the indicator is leaving the negative zone, which also indicates the formation of a bullish trend.
To summarize, I expect that a bullish trend will start in the near future. However, I cannot exclude the possibility of a fall to 18,000 before this growth phase begins. I will be closely monitoring market trends and analyzing community interest and activity to gain a better understanding of the current market conditions.
One important aspect to consider is the cyclical nature of the asset, where every 3.5 years, Bitcoin goes through a complete cycle of accumulation, growth, and subsequent decline. This does not necessarily mean that the market will move in this exact pattern for the next 3.5 years, but it is a pattern that can be observed. This illustrates how the market, the crowd, and the psychology of traders operate. By understanding that the market has these three distinct phases, we can make predictions about what to expect in the next phase. Currently, the accumulation phase is clearly visible, so I expect a growth phase to be on the horizon. However, it is difficult to predict exactly when this growth phase will begin, so I will be closely monitoring market trends and community activity to gain a better understanding.
Another tool that I often use for analyzing the market is the Chaikin Money Flow (CMF) indicator. This indicator is particularly useful when used on large timeframes. It is often used in conjunction with the accumulation/distribution indicator, but in this case, I do not need to use it because I am focusing on larger timeframes. The CMF indicator fluctuates around zero, and the basic signals are based on the sign of the indicator value: a positive value is a buy signal, and a negative value is a sell signal. Currently, the indicator is leaving the negative zone, which also indicates the formation of a bullish trend.
To summarize, I expect that a bullish trend will start in the near future. However, I cannot exclude the possibility of a fall to 18,000 before this growth phase begins. I will be closely monitoring market trends and analyzing community interest and activity to gain a better understanding of the current market conditions.
