If History Rhymes, Bitcoin (BTC) May Retrace To High-$5,000s

What a week its been for Bitcoin (BTC). In the past 72 hours, the asset has rallied from the low-$6,000s to $7,500, then to $6,900 (current), driven by a newfound sense of hype, passion, and belief in the cryptocurrency cause.

However, as the market has cooled temporarily at least analysts have begun to get more level-headed, doing their utmost to figure out where cryptocurrencies could head next. This time for pondering has led to some staggering revelations.


Related Reading: Ethereum (ETH) Price Smashes Resistance: Bulls Target $220 or Higher

Bitcoin May See Retracement

Popular trader Josh Rager recently suggested that there are amazing similarities between 2015s recovery out of a bear market.

During that cycle, BTC bottomed around $200, accumulated around $300 for months, went parabolic to tap $500, then saw a pullback. Whats more, the three-day Super Guppy, a key long-term trend indicator, didnt signal a buy (green) until after the pullback.

Sound familiar? Well, thats because Bitcoin is seemingly doing effectively the exact same thing, but in a different price region. If history is followed to a tee, Bitcoin may fall a further ~20% from current levels, and may then begin the second phase of accumulation, which will last up to seven months. From there, BTC should begin to rally parabolic into the block reward halving event, setting the stage for the next fully-fledged bull run.

Price Action Still Hella Bullish

It is still important to note that the current price action seen with cryptocurrencies has been surprisingly bullish. Per previous reports from NewsBTC, as BTC tapped year-to-date highs on Saturday, the daily volume at BitMEX, the foremost crypto futures platform, hit a jaw-dropping nominal $10 billion. Potentially equally as importantly, Grayscales Bitcoin Trust surmounted $50 million on Friday, signaling interest in cryptocurrency from accredited investors, most of which are purported to be institutions.

The most important part, this volume surge has been catalyzed by those already in the space. As NewsBTCs Joseph Young postulated on Twitter, existing money in the crypto market [is] coming back due to overall growth in confidence/comfort.

And as researcher Alex Kr?ger adds, amid the recent price action, the Bitcoin search term has seen not too much of an increase in volume. This directly implies that once consumers wake up to the latest cryptocurrency rally, the run will be even larger and more violent than it is now. But that begs the pressing question will consumers down the red pill once again?


Featured Image from Shutterstock

The post If History Rhymes, Bitcoin (BTC) May Retrace To High-$5,000s appeared first on NewsBTC.

12.05.2019 / 11:40 36
Time To Short? Recent Bitcoin Price Parabola Broken Despite Continued Climb Time To Short? Recent Bitcoin Price
The current ongoing Bitcoin rally has bulls and bears alike in complete disbelief, due to the crypto market leader not only continuing to climb in
Crypto Analyst: Bitcoin MACD Histogram More Extended Than During Previous Bull Cycle Crypto Analyst: Bitcoin MACD Histogram
The last crypto bull run brought Bitcoin into the lime light and public eye, and took the price of the digital asset skyrocketing to its all-time
Sell in May and Go Away? A Look At Historic Bitcoin Price Performance in May Sell in May and Go Away? A Look At
The first ever cryptocurrency, Bitcoin, is set to close its third consecutive monthly candle as green, after a record-setting six candles closed in
Technicals Trends Say Bitcoin (BTC) Bottom Is In, Prominent Analysts Agree Technicals Trends Say Bitcoin (BTC)
RSI Reading Hints Bitcoin Bottom Is In Im sure youve heard the popular adage: great minds think alike. While this seems true in scientific contexts,
Key Bitcoin Indicator That Correctly Called 2015 Bottom is Flashing Again Key Bitcoin Indicator That Correctly
The Mayer Multiple (MM) by Trace Mayer is showing that bitcoin price has already bottomed out signaling the end of the 15-month long bear market.
Bitcoin Technical Indicator Confirms New Uptrend After 16 Months of Red Bitcoin Technical Indicator Confirms
Ever since last weeks Bitcoin rally that broke through critical resistance at $4,200, bulls have appeared to be back in charge. What is still unclear
Comments (0)
Add a comment
Comment on