[Lessons from history]: BTC will push after consolidating!
Bitcoin has been moving strongly in last weeks, but let's look out of the box for a minute.
Seems many people have been focused on super short term graphs and gains while this great volatility was happening.
However, even in short term trading, there are phases of growth, dips and consolidation before the next push.
Look at the big picture can reveal some small important details and the other way around.
Checking higher timeframes, pattern and trends helps you improve short term view.
It's always nice to get a view from history. It doesn't happen in exactly the same way but usually, it does repeat itself in similar patterns.
I propose to check up this graph closely and you might notice some similarities and differences from 2016 and now.
We had a consolidation phase and then the push started:
- price has grown nearly the same %
- it has also fallen in similar %
- Fibonacci level 50 holds in order for bulls to stay in place
- volumes had 2 spikes
- ...
- ..and human psychology haven't changed much either.
What do you expect next?
Here is my view:
Most probably we will be now consolidating and more or less oscillating around a certain price before the next big push up comes.
Few % up or down is nothing in comparison to what and where we can expect Bitcoin to go if history repeats itself.
That doesn't mean we wong go up or down in the short term, but it can be risky trying to catch the fish when it starts to swim fast again.
Will you trade it and try to catch short term gains and/or will you mostly invest by buying the dips and getting a discount on the price?
Don't forget that some traders make less than the ones that just hold the position (in the bull market).
PS: It's not investment advice. It's just an idea! ;-)
Seems many people have been focused on super short term graphs and gains while this great volatility was happening.
However, even in short term trading, there are phases of growth, dips and consolidation before the next push.
Look at the big picture can reveal some small important details and the other way around.
Checking higher timeframes, pattern and trends helps you improve short term view.
It's always nice to get a view from history. It doesn't happen in exactly the same way but usually, it does repeat itself in similar patterns.
I propose to check up this graph closely and you might notice some similarities and differences from 2016 and now.
We had a consolidation phase and then the push started:
- price has grown nearly the same %
- it has also fallen in similar %
- Fibonacci level 50 holds in order for bulls to stay in place
- volumes had 2 spikes
- ...
- ..and human psychology haven't changed much either.
What do you expect next?
Here is my view:
Most probably we will be now consolidating and more or less oscillating around a certain price before the next big push up comes.
Few % up or down is nothing in comparison to what and where we can expect Bitcoin to go if history repeats itself.
That doesn't mean we wong go up or down in the short term, but it can be risky trying to catch the fish when it starts to swim fast again.
Will you trade it and try to catch short term gains and/or will you mostly invest by buying the dips and getting a discount on the price?
Don't forget that some traders make less than the ones that just hold the position (in the bull market).
PS: It's not investment advice. It's just an idea! ;-)
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