Looks like BTC is behaving in a very fractal manner.
Personal disclaimer on fractals:
- I don't believe in predicting future price action, from previous historical occurrences (i.e. comparing 2014/2017 to now)
- I don't believe in overlaying previous price action over current price action (i.e. copy + paste)
- There are too many data points/dimensions to consider from the past, when predicting the future (macro/micro states, market sentiment)
*** I believe fractals can occur, if the same strategy/behavior is taking place, when moving the market.
Description of fractal behaviour:
- 3 major markdowns have occurred.
- They have always followed the same pattern
- 2 double tops (blue)
- 2 mark downs (red)
- 2 CHOP zones (purple) that connect each markdown
Blue lines = Double tops
Red Lines = Mark downs
Purple Lines = Double top CHOP. Connects both mark downs.
1st Major markdown - 20k -> 9.3k
2x mark downs (red line) = ~48% each
2nd Major markdown - 11.6k -> 7.3k
2x mark downs (red line) = ~26% each
3rd Major markdown - 9.1k -> 7.1k
2x mark downs (red line) = ~13% each
Will it continue to repeat?
I believe our next target is around 7.1k, before we do this again and again, all the way to ~5k
Not financial advice. Do your own research.
Personal disclaimer on fractals:
- I don't believe in predicting future price action, from previous historical occurrences (i.e. comparing 2014/2017 to now)
- I don't believe in overlaying previous price action over current price action (i.e. copy + paste)
- There are too many data points/dimensions to consider from the past, when predicting the future (macro/micro states, market sentiment)
*** I believe fractals can occur, if the same strategy/behavior is taking place, when moving the market.
Description of fractal behaviour:
- 3 major markdowns have occurred.
- They have always followed the same pattern
- 2 double tops (blue)
- 2 mark downs (red)
- 2 CHOP zones (purple) that connect each markdown
Blue lines = Double tops
Red Lines = Mark downs
Purple Lines = Double top CHOP. Connects both mark downs.
1st Major markdown - 20k -> 9.3k
2x mark downs (red line) = ~48% each
2nd Major markdown - 11.6k -> 7.3k
2x mark downs (red line) = ~26% each
3rd Major markdown - 9.1k -> 7.1k
2x mark downs (red line) = ~13% each
Will it continue to repeat?
I believe our next target is around 7.1k, before we do this again and again, all the way to ~5k
Not financial advice. Do your own research.