Is Bitcoin's price consolidating for another bull run?

in bitcoin •  7 years ago 

Following the recent large correction in the price of #bitcoin and #altcoins, we are now consolidating around the $10,500 - $11,500 levels.

My earlier post on 19th January indicated that we have potentially retraced back to the EMA 100 according to the Elliot Wave Theory.

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We should now expect, according to this theory, a bounce back up to test the #ATHs. This retest is unlikely to be straight forward as we may continue to trade sideways from here and maybe even test the lows of $10,000 in the coming days and weeks.

One piece of evidence that provides us with a good correlation between the price of bitcoin and demand for the digital asset is the "public sentiment".

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The graphic above shows the public's buying interest of bitcoin according to Google trends. You can clearly see that sentiment is once again at the lows and does suggest it will pickup in the coming weeks.

I believe that the bull market for cryptocurrencies is just around the corner!

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I sure hope so.

The South Koreans will be pumping their market again from January 30th, following the introduction of their new laws, and this should be great for the overall market IMO. Remember, behind the Japanese, the South Koreans had the 2nd largest volumes globally prior to the ban.

As soon as no more bad news, it must rebound sharply with other cryptos.

The FUD and recent news regarding China, South Korea and the US tax laws, was all instigated and planned IMO to allow institutional money to buy in cheaper. From a technical perspective, these corrections are healthy and needed for the market as a while. If we can form strong support at these levels, I do not see any reason for us to push higher in the short term and retest the ATHs.

Another moonshot after mid February, 2018 is very likely...

Yep. Give it a couple of weeks and we should be back into the bull run. I do believe we are in for one hell of a ride this year for cryptos as a whole. $2 Trillion dollar market cap could be in reach let alone $1 Trillion!

If you are right about the abc correction, we should be in an impulse up since the low on January 16th. However, the price movement does not look impulsive to me, therefore I think we are still in the correction. I think there will be another rapid drop in price creating a new low below 9260$ before it goes up again.

I believe there is still room for downward pressure, absolutely. Agree with you here. Hence, we may continue to trade sideways and maybe even hit a new lower low. $7,500 has some support as a level and if this is breached, then we could even test $5,000-$6,000 before a rapid bounce back up.

I really hope this bearish trend does not materialise but on the flip side I am bullish for bitcoin in the medium to longer term.

As far as I am concerned the correction in Bitcoin has been going on long enough. I think the low today at about 8550$ should be the end of this correction. If we start seeing impulsive patterns generating new highs, we could be on our way to the next all time high. Time will tell :-)

What we want and what will happen are two different things altogether. In crypto it seems to be more so.

From an emotional standpoint I'm always saying that's it, the market has bottomed but the technicals from the chart are still suggesting further bearish trend in the near short term. $7,500 is next support.

Will post about this shortly. Thanks.