Simple and healthy ABC correction diving the price to 4-5K area
I am usually a bullish and positive guy, but we the actual confluence of factors we have to admit that the bearish scenario is in place.
There is no enough strenght in the market to pump up the BTC price over 8-9-10K, simply is not possible at the actual marketcap.
What could happen from now?
As you see i am starting to consider my chart on a larger timeframes (small timeframes are simply not more interesting in a sideways market)...
I have found a pivot located in March 2017, from that point BTC had the most incredible escalation, without performing any major correction.
Remember a spike in price without corrections is dangerous simply because you do not have any established support to control the further corrections, and this is what happened in early 2018.
Now, I think we have to consider that, starting from January, we are in the actual ABC correction of the previous 5 waves up from 4K to 20K, as everybody knows BTC love to correct 0.786 and this means 4.8K.
After this, well it will depend on the power of the bounce, for sure smart money will get in at that point giving energy to the bounce, in the meantime the stock market will start its correction and maybe some of the money will switch into crypto, but only if the bounce is confirmed and well sustained.
I see BTC and crypto in general Bullish on long-term, but bearish on short-term and this means for the next 3-4 weeks....
20K scenario need at least 600-700+B in Market cap
There is no enough strenght in the market to pump up the BTC price over 8-9-10K, simply is not possible at the actual marketcap.
What could happen from now?
As you see i am starting to consider my chart on a larger timeframes (small timeframes are simply not more interesting in a sideways market)...
I have found a pivot located in March 2017, from that point BTC had the most incredible escalation, without performing any major correction.
Remember a spike in price without corrections is dangerous simply because you do not have any established support to control the further corrections, and this is what happened in early 2018.
Now, I think we have to consider that, starting from January, we are in the actual ABC correction of the previous 5 waves up from 4K to 20K, as everybody knows BTC love to correct 0.786 and this means 4.8K.
After this, well it will depend on the power of the bounce, for sure smart money will get in at that point giving energy to the bounce, in the meantime the stock market will start its correction and maybe some of the money will switch into crypto, but only if the bounce is confirmed and well sustained.
I see BTC and crypto in general Bullish on long-term, but bearish on short-term and this means for the next 3-4 weeks....
20K scenario need at least 600-700+B in Market cap