The problem with wanting to buy the Bitcoin dip lies in knowing where the dip actually is. And in the case of Bitcoin, using conventional logic to determine the latter simply will not do. That is so because the crypto-king continues to epitomize the so-called "animal spirits".
Bitcoin's rally was, and continues to be, driven primarily by greed. Traders can be expected to want to go long at the first possible time for the same reason. Hence, buying/selling discrepancies are likely to be created at every new dip, bolstering the adverse volatility in the market. However, the market is long overdue for a sizable correction, and the BTC may dive below 42k and head towards the psychologically significant support level at 30000.00.
What can be asserted with fair confidence is that the eventual dip would not be followed by a V-Shaped rebound. Rather, the new correction is likely to be concluded with more erratic price fluctuations.
Do not rush to buy in at all costs because there are plenty of reasons to expect a deeper correction. Watch the Fibonacci retracement levels and the moving averages.
Bitcoin's rally was, and continues to be, driven primarily by greed. Traders can be expected to want to go long at the first possible time for the same reason. Hence, buying/selling discrepancies are likely to be created at every new dip, bolstering the adverse volatility in the market. However, the market is long overdue for a sizable correction, and the BTC may dive below 42k and head towards the psychologically significant support level at 30000.00.
What can be asserted with fair confidence is that the eventual dip would not be followed by a V-Shaped rebound. Rather, the new correction is likely to be concluded with more erratic price fluctuations.
Do not rush to buy in at all costs because there are plenty of reasons to expect a deeper correction. Watch the Fibonacci retracement levels and the moving averages.
