Cryptocurrencies are on fire. Blockchain stocks are on fire. Bitcoin (BTC) rallied 25 pct in less than 72 hours, and many other altcoins like Ripple’s XRP (XRP) Stellar Lumens (XLM) and Ethereum (ETH) outperformed Bitcoin. This does not come as a surprise to InvestingHaven’s followers who were exposed to these 5 cryptocurrency predictions already 9 months ago, one of them being that the secular bull market was about to resume in 2019! Moreover, on Feb 24th, InvestingHaven’s research team flashed a cryptocurrency alert in the public domain officially stating that The Crypto Winter Has Ended.
This just an overview of the phenomenal rallies over the course of the last 72 hours.
- Bitcoin: 25 pct
- Ethereum: 29 pct
- Ripple’s XRP:35 pct
- Dash: 56 pct
- Litecoin: 66 pct
- Galaxy Digital Holdings: 21 pct
- HIVE Blockchain: 28 pct
- Interbit: 22 pct
This is just a warming up. If our thesis is correct that the new crypto and blockchain bull market just got started it implies much higher prices in the next 24 months to come.
As everything in crypto land works with a factor 10 it means that the expected returns will be 10 times higher than average sectors.
A historic blockchain & crypto market call
Interestingly, on February 25th, 2019, InvestingHaven’s research team flashed this alert to its members: “Buy alerts everywhere. As forecasted, 2019 is a great year to accumulate extremely undervalued crypto assets!”
One of the sentences in this research report in the form of a crypto alert to its members said: “This alert has the largest number of buy signals we have ever flashed in our blockchain & cryptocurrency investing service since its inception!”
Even more interestingly, since the alert was sent out, prices of most of the cryptocurrencies that were in the selection doubled, some of them even tripled.
Blockchain stocks & cryptocurrencies: “the bottom is in”
Many times did InvestingHaven’s research team reiterate that the bottom was set early 2019.
In the same crypto alert mentioned above we also made this point: “Why do we believe that the bottom in Bitcoin is in with a probability of 80% and 90%?”
This was the answer by the researchers, copied from the same alert flashed on Feb 25th, 2019:
- From a contrarian perspective hardly anyone can believe that the crypto winter is over that’s a great ultra-bearish sentiment for the opposite to come true.
- From a chart perspective we see a beautiful rounding bottom formation on Bitcoin’s daily chart (which has almost always a bullish outcome) + on the long term chart it has an ‘end of the consolidation’ looking very similar to Jan 2015.
- From a financial media perspective as proven in this article Bitcoin’s Long Term Chart is Bullish there is an almost unanimous voice and thinking that Bitcoin can only go lower and will fall to $1000. As always the more folks believes in one outcome the higher the probability of the opposite to happen.
A fantastic Bitcoin chart
The Bitcoin chart could not look better!
This is the version with annotations produced by InvestingHaven’s research team. Essentially, it shows all possible relevant trend lines, knowing that Bitcoin’s chart has some complexities to deal with.
If anything the rally of this week ‘pierced’ through all resistance trend lines.
What does this mean? The crypto winter is over, and the new bull market officially started on April 2nd, 2019. Note that we forecasted this in February 2019 in our blockchain & cryptocurrency forecasting service.
Where do we go from here? Higher on the long term, sideways on the short term!
As per investing tip #42 from our 50 cryptocurrency investing tips for 2019 and beyond 2020 we expect a consolidation with structural higher lows to take place first. So don’t expect Bitcoin 24k to materialize in 2019, that’s for later on in the cycle.
Consolidations create a very bullish long term outlook for any asset or market. Essentially, during sideways trading, sellers tend to leave the market every time the price peaks. If a consolidation goes on long enough all sellers leave this market. That’s the ideal market condition for a new bullish trend.
The idea is pick the right entry points, and start working on exit points already now. That’s how we guide investors in their crypto investments. It’s the only way to stay focused, and not get emotional about the huge price swings that are about to come, in both directions.
One thing is clear: it will get very exciting in blockchain and crypto land, and the naysayers are proven to be wrong!