Good luck picking a bottom in Bitcoin

by Chris Becker

Thar she blows – it didn’t take long for the crypto “currency” to fail again with price dropping over $400 last night to match its Christmas low at $3700USD:

The technicals remain crystal clear – an inability to get positive momentum (green line below), unassailable resistance overhead at ca. $4000-4100 (red trailing line in main chart) and the longer term view = this is a deflating bubble:

The next line of defence is the pre-hysteria breakout level at $3000 (lower black line) and then probably all the way back to nought. Good luck trying to pick the bottom here.

Comments

  1. Wow,
    it’s getting quiet around here.
    A bitcoin story can’t even get any comments.
    Must resist desire to make fun of tech analysis.

    • bendy i think you are selling tulips short. at least you could plant the bulbs and get a return. what is yield on BTC? but your point is well taken!

  2. XRP is great. I recently transferred “money” from one digital account to another offshore digital account in 10 mintues. No middleman at all. Could be quikcly excanged to fiat.

    • “Could be quickly exchanged to fiat.”

      might be worth consideration, in the short term anyway

      • might be worth consideration, in the short term anyway

        Transnational movement of funds is the function of XRP. But the point is valid. The value of XRP to fiat could fall 10% at anytime.

  3. I think it’s still early days for Bitcoin. If I had a Bitcoin for everytime I’ve read how it’s died over the last five years I’d have about $2 million at its current price.

    Our current system of Nixon shock money isn’t even 50 years old yet, and it hasn’t tracked very well next to gold. If you track wages money against houses money it’s done very poorly.

    I can comfortably go long on BTC because I got mine for free from mining back in the day. Infinity percent returns gives you a totally different perspective from those who racked up massive credit card bills buying it at the end of 2017 and those who missed the first bus.

    Money is money and trying to predict the future of money is pointless unless you’re a time traveller. That’s why I think all these graphs and charts are silly – it’s like to trying to chart the future of social media back in 2006 with MySpace membership growth as your chart.

    • Too much Yes in your post.

      The deniers will be nursing their sore arses in the next bull run.

    • Proof-of-work/numberwang cryptos are a fundamentally stupid idea.
      Eventually we might see some distributed ledger stuff and proof-of-stake gain adoption, but not in the near term.

      Someone managed to 51% attack Ethereum the other day.