Daily Price Action

Bitcoin Bottom in Place?


Bitcoin (BTC) pulled back yesterday after 19 days of consolidation.

Despite today’s bounce, Bitcoin is off its recent $42,000 high by 22%.

But before you panic, understand that at this time last year, BTC was trading at $8,700.

So, even after this latest pullback, Bitcoin is still up an impressive 250% in the last 12 months.

That’s also around the price I was buying BTC last year, a position I still have today.

Furthermore, BTCUSD is known for its 30-40% bull market corrections.

Look no further than the 2017 bull run.

Bitcoin pullbacks during a bull market
BTCUSD weekly time frame

There were six pullbacks of 30-40% during 2017, and every one of them presented an incredible buying opportunity.

I think this month’s pullback is no different.

Sure, Bitcoin could move even lower in the short-term, but anything below $42,000 will seem like a bargain later this year, in my opinion.

All that said, I think Bitcoin has bottomed.

The 161.8% Fibonacci extension of this latest pullback points to $50,000 exactly, which probably isn’t coincidental.

I mentioned this yesterday on Twitter.

That’s the next logical resistance area if BTCUSD can get back above $33,500 and $36,000 over the coming days.

And I still expect Bitcoin to exceed $100,000 later this year.

Anyone who doubts that figure should know that the cryptocurrency is up over 900% from its late 2018 cycle low.

With that in mind, a move from $30,000 to over $100,000 is a drop in the bucket.

Disclosure: The author of this article owns Bitcoin.

Want to Watch the BTCUSD Video I Just Released to Members?

Get a Lifetime Membership Today and receive exclusive member-only content including one to two new videos every day. Save 40% in January!

Bitcoin BTCUSDT consolidation on the 4-hour chart
BTCUSDT 4-hour time frame

Leave a Comment:

Justin Bennett says

Want me to help you become a better Forex trader?

Get a Lifetime Membership to Daily Price Action today and receive access to Justin’s full price action course, dozens of forums with over 4,000 members, daily videos of trade ideas, direct access to Justin, and much more!

Save 40% on a lifetime membership in January!

ali says

thanks for the update sir.

Lakes says

Perfect analysis. 1M+ 👍👍

Add Your Reply