The Bitcoin Cycle, Long term view, and Fundamental Ideas
I propose to you 2 cases...
Case 1) The most bullish case. Bitcoin closes this monthly candle around 7500 and runs into the bitcoin halvening.
Case 2) Less bullish, but still bullish from a long term view. Bitcoin drops to 4600 area and runs into the bitcoin halvening.
Now I will state fundamentals that would support either cases.
Both: (and the reasoning for all time high in about a year)
Over time, cryptocurrencies will accumulate a larger overall market cap. This is a fact (imo). I strongly believe cryptocurrency and blockchain technologies will have a huge part in this upcoming fourth industrial revolution. Bitcoin may not be as widely adopted by banks and consumers as centralized cryptocurrencies like XRP, but nevertheless Bitcoin is "gold" in the crypto space.
Case 1:
Trillions of dollars are being injected into the markets globally as I am typing this. Production and consumer spending has come to a halt. Fiats of all kinds will experience inflation. I expect to see new wealthy investors enter the crypto space soon in order to preserve their wealth.
This monthly candle could be a fake-out and spike back to 7500 signalling rad mega bullishness. I can see many people fomo-ing into the halvening if this is the case. If this case plays out then it means it has likely decoupled from traditionals.
Case 2:
This current pandemic has put a huge strain onto the global economy. Unemployment numbers are at record numbers. A global recession is looming and there are concerns that the stimulus package recently signed by President Trump is not going to be enough. The US (largest economy) has the most number of virus cases. Overseas investors may liquidate their US stocks based on this, especially if it gets worse. This all implies that stocks may have some further downside. If bitcoin follows traditionals, then this case may play out.
This is all my opinion. Please don't trade on any of this!
Case 1) The most bullish case. Bitcoin closes this monthly candle around 7500 and runs into the bitcoin halvening.
Case 2) Less bullish, but still bullish from a long term view. Bitcoin drops to 4600 area and runs into the bitcoin halvening.
Now I will state fundamentals that would support either cases.
Both: (and the reasoning for all time high in about a year)
Over time, cryptocurrencies will accumulate a larger overall market cap. This is a fact (imo). I strongly believe cryptocurrency and blockchain technologies will have a huge part in this upcoming fourth industrial revolution. Bitcoin may not be as widely adopted by banks and consumers as centralized cryptocurrencies like XRP, but nevertheless Bitcoin is "gold" in the crypto space.
Case 1:
Trillions of dollars are being injected into the markets globally as I am typing this. Production and consumer spending has come to a halt. Fiats of all kinds will experience inflation. I expect to see new wealthy investors enter the crypto space soon in order to preserve their wealth.
This monthly candle could be a fake-out and spike back to 7500 signalling rad mega bullishness. I can see many people fomo-ing into the halvening if this is the case. If this case plays out then it means it has likely decoupled from traditionals.
Case 2:
This current pandemic has put a huge strain onto the global economy. Unemployment numbers are at record numbers. A global recession is looming and there are concerns that the stimulus package recently signed by President Trump is not going to be enough. The US (largest economy) has the most number of virus cases. Overseas investors may liquidate their US stocks based on this, especially if it gets worse. This all implies that stocks may have some further downside. If bitcoin follows traditionals, then this case may play out.
This is all my opinion. Please don't trade on any of this!