Here's 3 reasons why I believe Bitcoin is about to dump.
The head and shoulders pattern which has formed in the daily chart has tremendous potential to unfold and if it does, it can take Bitcoin to at least $6,000 in my opinion. I would expect strong support at the $5,000 to $6,000 region however.
Market depth on big exchanges like Binance are heavily in favor or Dollar and certain altcoins such as Litecoin which has an upcoming halving in less than 2 months.
Bitcoin halving is going to occur in May 2020. That is almost 11 months away and Litecoin rally for halving started less than 7 months ago. There's just not enough FOMO in the markets for Bitcoin right now and the best game to play is therefore to dump it in order to buy back the dip and accummulate before the halving FOMO kicks in.
This is by no means financial advice, but rather what I think is going to happen in the following days/weeks. Make sure you do your own research! What I'm going to do is short Bitcoin in favor of Litecoin and my target for Litecoin is a minimum of 0.024 BTC and a maximum of 0.048 BTC.
Litecoin can of course pump even more during the halving FOMO in my opinion. Given its supply is 4x Bitcoin and it's almost as old and as liquid and as useful as Bitcoin with lower fees and higher speed when it comes to transactional use, it doesn't take much to convince people that its real worth is 0.25 BTC. But I don't think the markets are ready for that rate yet and neither do I think that rate would hold for too long even if it reaches there so I'll be 100% out around 0.05 BTC!
