Excitement has returned to the crypto market. A coordinated buy of about $100 million in bitcoin across three exchanges by what appears to be a single buyer has sparked a bullish move and pushed bitcoin above $5,000. There have been signs in recent weeks that the crypto market has digested the excess of the 2017 bull market. It has pulled back and cooled off enough that a new positive trend can develop now.
It's possible that this big move is a “bull trap.” [A bull trap is a false signal that occurs when a decreasing trend has unexpectedly reversed.] If the December 2018 lows in the $3,200 range actually were the bottom, it will only be apparent in a few more months. Nothing goes up in a straight line. So it will only be natural to see some consolidation here or even a further correction. In other words, we could see another leg down over the next few weeks. A drop below $3,000 is even possible. But that wouldn’t be something to fear. If anything, that would represent the best buying opportunity in years.
Marco says we need to see more before we know this is the beginning of bitcoin’s next big move:
"Bitcoin and the bigger Blockchain Ecosystem are the new financial system. It will slowly grab more market share, take over the global economy, and eliminate traditional middlemen such as banks. "
Marco Wutzer
Disruptive Profits newsletter
PS I have no connection whatsoever with Marco Wutzer and can't afford his letter.
Of course, this process could take many years to unfold... But it will make smart speculators a fortune.
