The problem with Bitcoin is that too many people are looking at the same chart. It is the reason by Bitcoin is trendless. Consequently the largest part of the crypto market is trendless. One of the little tricks we tend to use to understand how to handle this type of situation is (1) look at the longer term trend on the longer term chart (2) remove any annotation from the chart. By doing so, we can mostly draw some interesting conclusion(s).
In this article we have the longest term Bitcoin chart, weekly timeframe.
What stands out is the following things:
- The wildly bullish pattern in 2016 and 2017.
- The beautiful reversal in December of 2019.
- The trendless state since the Corona crash.
- A higher low between the December 2019 dip and the Corona crash lows.
The last point (#4) is crucial. A higher low.
This means: the uptrend is intact, and if we combine this with the wildly bullish moves in prior years we have … a strongly bullish long term trend.
That’s all we are interested in, for now, until we have a new direction on BTC’s chart.
Whether BTC will go up in the next few weeks or whether it needs a pullback before moving higher, is something that nobody knows. We definitely will not pretend that we know … forecasting the short term is nearly impossible.
What we do know is that this long term chart will morph into a wildly bullish chart once a quick move to 16k occurs. That’s just a 60% move, nothing special for a hyper volatile asset like Bitcoin. The result would look like this: Bitcoin’s Long Term Reversal: Breakout NOW Or Later In 2020?
All we can do is follow the short term timeframe to identify the best possible entry point which is what we are doing for our premium crypto members.
InvestingHaven was the first in the world to offer a Crypto & Blockchain Investing Service. We are confident we get all trends right in the crypto market, and our members will be among the first one(s) to know when to get in and when to get out. Moreover, we are adding an extremely promising crypto coin to our top 5 must hold crypto list. Follow our premium crypto work, and get instant access to recent crypto alerts.