Bitcoin's rally and subsequent rout is turning out to be a textbook example of a bubble. Witness the effect of group human psychology and behavioural biases, captured beautifully in Bitcoin's trading history.
Trade active:
The final collapse happened at $6000 instead of the $7000 I'd anticipated. Not a large difference given the size of the selloff. The chart shows Bitcoin since then recovering, and I expect prices to fall again from this $10,000 level. Notice how it coincides with the lower bound trend line that went through the first bear trap. Exit/Sell short.
Comment:
Buy limit at $8,500 to $9,000 the mid-February trading range.