WHAT IF 5.800$ IS NOT THE BOTTOM?Great evening everybody,
yesterday I made a recommendation on when to short BTC.
Everybody who followed my advice should have made some money.
Enough of the self-praise though, let's get to the analysis.
By now you should notice that the similiarties between now and 2013/2014 are NOT neglectable.
It's pretty obvious that BTC is moving much faster nowadays.
What took us 297 Days in 2013/2014 only took us 108 Days this year.
The blue arrows illustrate where BTC price is currently moving.
The main thing I want to talk about is this 5.800$ Double Bottom everybody is anticipating.
To be honest with you, I highly doubt that 5.800$ will be the bottom.
In terms of market cycles, we haven't witnessed capitulation yet, which is an important compoment, when it comes to an overall trend reversal.
Capitulation usually feels like apocalpyse is happening.
Also notice how during the 2k14 drop, BTC fell straight through the previous bottom and gave us a fake bottom around 20% BELOW the previous one,
spiked up, and rolled over again to the actual bottom, which was around 150$.
Personally, I think we will see the same thing in the near future.
From a measured move perspective, we could see some bottoming behaviour at around 4.700$, price shooting upwards BEFORE the actual bottom, which could be around 2.600$.
Take it for what it is and make sure to prepare yourself.
I'm going to hold my shorts and take partial profits until we've reached 5.000$.
Once we've reached that level, I'm watching out for some sort of bottoming behavior in order to take some long positions and close them before the final wave down.
Have a nice day & safe trading!
