Bitcoin (BTC): Before, During and After the Bull’s Run

Bitcoin (BTC): Before, During and After the Bull’s Run

$BTCUSD

‘Capitulation’ is Bitcoin (BTC) investors word of the year.

Bitcoin rose to $20,000 and fell to $3,700 the market is open at the time of this writing leaves players wondering if Y 2019 is a Year for Bulls.

Bitcoin is a new, low volume asset class trying to gain traction, as the fundamentals play exaggerated role with price action, and technical analysis is gradually becoming more reliable.

Capitulation refers to a time when participants/holders of an asset are indefinitely committed to holding and panic sellers have cut their losses, forming a true bottom in the market.

So, using technical analysis, I am looking to find the support for the Bear run.

To find true support, it is important to understand the long-term movement from $1,000 to $20,000.

Y 2017 showed this meteoric price increase and prior to this Bull run, the price was gradually increasing from $700 – 1,000.

As you can see in the chart below, the full Y 2017 was a continual, irrational Bull run filled with hype and over-valued ICO’s, with strong support at $1,000.

The volume during Y 2017 was unprecedented, which means that lots of buyers and new investors were buying in all the way up to $20,000 per Bitcoin.

Once Bitcoin broke $2,000 there was virtually no resistance.

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Daily chart

Now, let’s look at the other side, Y 2018, the end of the Bull’s run.

Throughout Y 2018, the market has yet to find its support.

Each day news outlets and influencers calling bottoms, but so far there is none in place.

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Daily chart

Taking a 3-month view shows signs that a bottom may be approaching.

For a look at what we see for Bitcoin once the bottom is set, click here.

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Hourly chart



Have a Happy New Year!
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