As panic seems to be taking over the crypto market, bitcoin is starting to rekindle hope. Good news for HODLERS, the end of the bitcoin collapse gives way to a bullish momentum: the boom. For stock market veterans, this is nothing new. This is a cycle that repeats itself every time in the stock markets. And everything suggests that bitcoin is starting to start a new explosion after a long period of depression. Have we entered the bullish phase of the cycle? Yes, it is very likely
Bitcoin (BTC): the beginning of a boom in the crypto market
The fall in bitcoin’s value was never by chance. Alongside the various root causes is the fact that the market goes through a cycle. Every investor is aware of this: after the euphoria, the great depression.
Since 2014, bitcoin (BTC) has already gone through two full cycles of boom and bust. Which allowed him to reach $63,000.
On a logarithmic chart, we can see that the bearish phase is ending. According to Stockmoney Lizards, the next phase will drive the King of Cryptos towards $355,000. Indeed, its price has already bottomed out. Thus, the market is now ready to accumulate buy orders.
It’s not rocket science, everything is played according to the so-called law of supply and demand. When the price of bitcoin bottoms out, investors are ready to buy some. This will tip the balance between supply and demand for bitcoin, and will therefore cause a big boom.
Bitcoin (BTC): in the accumulation phase according to Wyckoff’s theory
Wyckoff’s theory seems to be working on the price of bitcoin. As a reminder, the market follows a perpetual cycle according to Wyckoff: first an accumulation phase, then markup, then distribution, and finally markdown.
By transposing this cycle onto the Bitcoin price, we can see that bitcoin has just completed a “markdown” phase. As you will have understood, an accumulation phase will occur on bitcoin, before the start of a markup, or the famous boom.
More and more bullish signals have been showing since July. Which suggests that bitcoin will definitely hit $200,000 and beyond. On top of that, it’s backed by a very strong core value. It looks like bitcoin is ready to recover from this 70% drop.
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