By CCN: In mid-December 2017, the bitcoin price traded at around $19,000, and bullish sentiment was so strong that the $11,500 mark seemed to be a distant memory. Over a year and a half and a vicious crypto market decline later, bitcoin climbing as high as $11,500 before the end of 2019 remains unthinkable, even to many bulls.
Such is the beauty and the madness of trading. Those who possess the experience and the skill can leverage the psychology of the masses to supercharge their net worth. Bitcoin presents a unique opportunity where you can exploit the current bearish bias to your advantage. In this article, we reveal why bitcoin will soar as high as $11,500 before 2019 ends.
Bitcoin Market Has Entered Undeniably Bullish Territory
Most who lean bearish on bitcoin argue that:
- The market is in a year-long downtrend/bear market
- Bitcoin is overbought
While these arguments may sound plausible over short timeframes, they hold no ground over the long term. A quick look at the monthly chart eviscerates both views.
First and most importantly, bitcoin is no longer in a downtrend for two technical reasons.
One, the market went through a five-month accumulation between December 2018 and April 2019. During this period, it painted a rounding bottom pattern on the monthly chart. Bitcoin broke out of that pattern in April 2019 after taking out resistance of $4,800 on Coinbase. In technical terms, the rounding bottom breakout is a trend reversal.
The cryptocurrency market has already achieved a trend reversal. | Source: TradingView