Many people, myself included, made a lot of money when the market exploded last year. Ever since that 20000 high we have seen nothing but a long term falling trend... low peak after low peak with a definite downtrend. This correction was inevitable with how explosive the market became and with the boom largely in the rear view we are starting to see a return to the mean.
Now the question a lot of us are asking is 'WILL THE CURRENT TREND' hold? The reversal we saw early this month with a $1000+ increase on the daily could be seen as inflating the price on the short term, causing FOMO and general hysteria around a potential long term change in the trend. For the bears who are seeing shorting opportunities it also looks to have great potential for a quick and sudden death back to 7600. For both of these parties there are two upcoming price points that will need to be watched carefully in order to determine direction.
TWO tests in order to declare a BULL market:
Battle Royale at 10,000 - This is not only a psychological barrier to surpass. After the $1000 surge this month we have extended out a bearish arm reaching at the previous peaks in our downward trend. We crossed above the median downward trend a few days ago, with many traders calling an end to the bear market. However, this is not enough to satisfy the hunger of BTC... We must establish a peak price point above the median and hold it for confirmation. Even if a retrace and rebound occurs this would still indicate that the trend has been broken. It would signify that the historical support of $10000 is still valid and will serve as a jumping point to our next test...
Stairway to Heaven 12,000 - The unforgiving nature of Bitcoin is now widely known for it's ability to ascend and descend price barriers rapidly. In order to push the market in a long term trend upwards there must be a response from the larger bear market. This not only includes the casual investor or third world integration, this needs to include institutional and consumer based liquidity. With the price $8000+ we are finally seeing an end to miner profitability jeopardy, an increase in interest from the media, and regulators are starting to take crypto seriously. If our end-goal is consumer and institutional acceptance we need to knock down the three walls: Government, Corporate Entities, Trust in Bitcoin. With a $12,000+ price we can see a media frenzy surrounding Bitcoin's improvements and newfound scale-ability; a FOMO storm will occur that will put late 2017 to shame. This will bring institutions capitalizing of the boom and Government to crack down on them. Trust in Bitcoin cannot change overnight and will only come with more time when the general public becomes more educated on cryptocurrencies. The $12,000 price is also a historical support that served as the launching point of the $20000 surge.
If either of these tests should fail, we could see this "reversal" turn into the largest bull trap/short squeeze that Bitcoin has ever seen.
Now the question a lot of us are asking is 'WILL THE CURRENT TREND' hold? The reversal we saw early this month with a $1000+ increase on the daily could be seen as inflating the price on the short term, causing FOMO and general hysteria around a potential long term change in the trend. For the bears who are seeing shorting opportunities it also looks to have great potential for a quick and sudden death back to 7600. For both of these parties there are two upcoming price points that will need to be watched carefully in order to determine direction.
TWO tests in order to declare a BULL market:
Battle Royale at 10,000 - This is not only a psychological barrier to surpass. After the $1000 surge this month we have extended out a bearish arm reaching at the previous peaks in our downward trend. We crossed above the median downward trend a few days ago, with many traders calling an end to the bear market. However, this is not enough to satisfy the hunger of BTC... We must establish a peak price point above the median and hold it for confirmation. Even if a retrace and rebound occurs this would still indicate that the trend has been broken. It would signify that the historical support of $10000 is still valid and will serve as a jumping point to our next test...
Stairway to Heaven 12,000 - The unforgiving nature of Bitcoin is now widely known for it's ability to ascend and descend price barriers rapidly. In order to push the market in a long term trend upwards there must be a response from the larger bear market. This not only includes the casual investor or third world integration, this needs to include institutional and consumer based liquidity. With the price $8000+ we are finally seeing an end to miner profitability jeopardy, an increase in interest from the media, and regulators are starting to take crypto seriously. If our end-goal is consumer and institutional acceptance we need to knock down the three walls: Government, Corporate Entities, Trust in Bitcoin. With a $12,000+ price we can see a media frenzy surrounding Bitcoin's improvements and newfound scale-ability; a FOMO storm will occur that will put late 2017 to shame. This will bring institutions capitalizing of the boom and Government to crack down on them. Trust in Bitcoin cannot change overnight and will only come with more time when the general public becomes more educated on cryptocurrencies. The $12,000 price is also a historical support that served as the launching point of the $20000 surge.
If either of these tests should fail, we could see this "reversal" turn into the largest bull trap/short squeeze that Bitcoin has ever seen.
Comment:
We nearly touched 10000 -the battle royale is already beginning.
Comment:
9K accum. for 10k retest, the battle continues
Comment:
MARCHING ON TO 10K BATTLE