- BTC ready to end 2019 with 92.5% and the decade at about $7,200
- Currently, the market is in consolidation meaning “weak die off but the strong get stronger”
- BTC will print a trend reversal if it closes above $7,800 until then the price will range
We are just a step away from entering into 2020 and Bitcoin is going to end the year at a positive return of 92.5%.
At the time of writing, BTC/USD has been trading at $7,200. Meanwhile, as the holidays continue, trading volume continues to sink as in the past 24 hours, Bitcoin recorded a trading volume of a mere $254 million.
So, what season is it exactly?
Mati Greenspan, founder of investment firm Quantum Economics in his Monday newsletter notes that after turning into spring at the beginning of this year from 2018’s crypto winter, now we are simply in consolidation.
And what it means is,
“The weak die off but the strong get stronger. It's the way of nature and though may seem painful at times is actually a positive progression.”
As we reported, analyst Willy Woo has called it a “re-accumulation phase of a bull market.” Su Zhu of Three Arrows Capital also made an accumulation observation.
BTC Trend Reversal Patterns in the Making
Meanwhile, trader Josh Rager says we need to break above $7,800 and close above that for the market to signal a trend reversal.
“Until then, price continues to range with possible accumulation (over five weeks in this range),” added Rager.
Trader Jonny Moe also notes two potential BTC reversal patterns in progress, double bottom with a neckline at about $7,875 and inverse head and shoulders with a neckline at $7,700.
Along with this is another positive facet which is “year-end is traditionally a very important time for BTC trend reversals/confirmations.”
Also, we are seeing a miner capitulation completion signal that has occurred only a handful of times, 9 times in Bitcoin’s history.
“Hash Ribbons Buy confirmed. This is just the 10th time these conditions have been met for Bitcoin. It is highly likely we never see BTC under $6000 ever again. All other occasions saw an average gain-to-cycle-peak of +5000%,” points out Charles Edwards of digital asset management firm Capriole.
However, Moe warns that none of these positive signals matter until we break the necklines of $7,875 and $7,700.
Bitcoin to $1 Million
In the short term, Bitcoin has a lot of pain and gain coming its way but in the long term, people see it jumping past a million dollars.
A poll run by Greenspan on Twitter found that a staggering 49.2%, almost half of the 2,854 respondents believe that Bitcoin will be worth more than $1 million by the end of the decade.
Where will Bitcoin be in 10 years?
— Mati Greenspan [not trading advice] (@MatiGreenspan) December 29, 2019
It won’t be a big feat for Bitcoin, given that it has been the best performing asset of the decade already.