Fakeout scenario is probable
I dont have a crystal ball but the current ascending wedge in Bitcoins price action appears weak. This will likely lead to a "fakeout" and very sudden downward spiral (Short term).
Reason 1: Wedge inclination. The wedge increases in price very quickly meaning that almost all long positions within the range are profitable and active. FOMO at this level is massive and thus over leveraged and emotional traders are abundant within this zone. Once the liqs start getting emailed a long squeeze will occur sending price down in a hurry.
Reason 2: FOMO. The constant upswing of the past couple days is only healthy if leveraged positions are cleared out with a reversal.
Reason 3: Investment burnout. Everyone who wants to buy bitcoin has bought bitcoin. The very fringes of reddit subcultures and word of mouth have been tapped. There are not enough inward buyers willing to buy at premiums anymore and a huge market of in-profit sellers that do not want to lose their small fortunes
Reason 1: Wedge inclination. The wedge increases in price very quickly meaning that almost all long positions within the range are profitable and active. FOMO at this level is massive and thus over leveraged and emotional traders are abundant within this zone. Once the liqs start getting emailed a long squeeze will occur sending price down in a hurry.
Reason 2: FOMO. The constant upswing of the past couple days is only healthy if leveraged positions are cleared out with a reversal.
Reason 3: Investment burnout. Everyone who wants to buy bitcoin has bought bitcoin. The very fringes of reddit subcultures and word of mouth have been tapped. There are not enough inward buyers willing to buy at premiums anymore and a huge market of in-profit sellers that do not want to lose their small fortunes
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