Why I am turned bullish again Bitcoin short mid and Long term!
As of today Im a a bull again, despite all the sentiment technically still being bearish due to all FUD regarding the mystery or lack of clarity from the Chinese government officials regarding a possible criminalization of Crypto and Bitcoin....oh wait,..Or is it just a Temporary regulatory ban? Anyway, i am turning into a bull due to the fact that Fundamentally the Bitcoin Network has never been this Strong. After Segwit's implementation the network is mining blocks over 1mb and took over the job that was supposed to be for the Forked Bitcoin Cash. Bitcoin core's 0.15.0 updated was released in stealth mode overshadowed by all the Chinese FUD. This update brought some improvements regarding the network fees among others. Moreover, With a new Korean Crypto exchange opening in South Korea and considering their top 3 volume lately, we can expect some activity and will be good for all Crypto to start filling the the gap China is leaving behind. Mining competitiveness is starting to take ore shape and will be more decentralized around the globe, as Japan is already stepping up. I do believe the demand for Bitcoin will continue to grow and in times of Economic and Political instability i do not see this a bear market yet, but rather a correction.
On the Daily chart BTC USD -Bitstamp.
1. The Descending Wedge Breakout at around 3885 USD would setup a target to 5096 USD a 1211 USD move up.
2. The Inverse Head and Shoulder Breakout might take us to 4840 USD, a 955 move to the upside.
3. The bearish Head and Shoulders pattern if completed could take us to 3100-300 USD and bounce from the Rising wedge down sloping bottom trend line. Im afraid this pattern is busted , however, we are not safe form a continuation of the downtrend.
4. The Numerical indicator on the daily (25th) flipped to a green 1 with and bullish engulfing candle
5. The MACD is flirting with a bullish cross and this might fire up some buys to a new attempt to break the first big resistance at 4000-4100 USD.
Comment:
correction : The bearish Head and Shoulders pattern if completed could take us to 3100-3000 USD