BTC recently broke not only the 1D MA9 support we were riding but also the channel upwards we were in.
Does this mean we'll se a huge pullback? No, not necessarily.
My reasons for thinking the pullback will be minor (15%-20%):
-Newly found support and acceptance of bitcoin by institutional investors who look for opportunities to buy.
-plenty of support by retail investors and Hodlers
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My reasons for thinking the pullback will be normal(25%-35%):
I say normal because if we look at the past this would just be normal volatility for bitcoin
-MACD crossed bellow which usually isn't a great sign
-1D MA9 and upwards channel broken
-Usual & healthy bitcoin correction
-A 30% pullback would put us around 1D MA50 and previous ATH level which are both great support.
Then history would say we reverse the trend and continue back up, but who knows. We'll have to see.
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If you are a long term holder it would be wise to buy small amounts on the way down to better average out your position.
This advice would hold even better if we see an even greater pullback than I anticipated.
This is no investment advice please do your own research.
I hope this helped you in your analysis. Thank you for reading.
Does this mean we'll se a huge pullback? No, not necessarily.
My reasons for thinking the pullback will be minor (15%-20%):
-Newly found support and acceptance of bitcoin by institutional investors who look for opportunities to buy.
-plenty of support by retail investors and Hodlers
-------------------------------------------------------------------------------------------------------------------------------------------------------
My reasons for thinking the pullback will be normal(25%-35%):
I say normal because if we look at the past this would just be normal volatility for bitcoin
-MACD crossed bellow which usually isn't a great sign
-1D MA9 and upwards channel broken
-Usual & healthy bitcoin correction
-A 30% pullback would put us around 1D MA50 and previous ATH level which are both great support.
Then history would say we reverse the trend and continue back up, but who knows. We'll have to see.
-------------------------------------------------------------------------------------------------------------------------------------------------------
If you are a long term holder it would be wise to buy small amounts on the way down to better average out your position.
This advice would hold even better if we see an even greater pullback than I anticipated.
This is no investment advice please do your own research.
I hope this helped you in your analysis. Thank you for reading.