Crypto News | Here Is What Bitcoin Needs to Do Before $111,000
Bitcoin (CCC:BTC-USD) is the crypto market’s biggest and at times, most celebrated asset. And during other occasions like in today’s market, quite simply “it is what it is” with regards to the digital currency champ. Let’s dive both off and on the price chart to unlock that somewhat cryptic message and how tomorrow’s BTC investors might buy the digital token with less risk and greater odds of success.
Bitcoin is expected to rise with $60,000 following a “leverage wipeout.” That was days ago with BTC fetching roughly 4.5% more than May 4. Maybe there’s still some unwanted stragglers?
Bottom line, BTC is still the de facto crypto heavyweight, but a first-mover advantage is also never an absolute guarantee of anything.
Moreover, it certainly doesn’t preclude an inevitable bearish or corrective cycle from happening now and again. And right now, that’s exactly what’s playing out in Bitcoin.
On the provided well-doctored weekly chart of GBTC, a very well-supported high-level double-bottom base confirmed its second pivot out-the-gate Monday by a hair. With shares of Bitcoin firmly entrenched within the weekly candlestick, what was a classic sign of a corrective cycle nearing completion has had a monkey wrench thrown at it.
Wait for a Second Reaction
My advice for those wanting to buy Bitcoin through GBTC is to wait for a second reaction through the hammer pivot high of $48.21. It’s a prudent strategy which averts owning shares as an increased chance of pattern failure is happening.
And from there, should it signal?
Hopefully, the sky is the limit or rather $111,000, $300,000 or more happily $1 million in BTC. At a minimum though, with any luck bulls won’t be technically compelled to pull the plug before Bitcoin adds some real dollars to our trading accounts.
On the date of publication, Chris Tyler holds, directly or indirectly, positions Grayscale Bitcoin and Ethereum Trusts (GBTC, ETHE and ETCG), Ark Invest Funds (ARKK, ARKG) and their derivatives, but no other securities mentioned in this article.
Chris Tyler is a former floor-based, derivatives market maker on the American and Pacific exchanges. The information offered is based on his professional experience but strictly intended for educational purposes only. Any use of this information is 100% the responsibility of the individual. For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits.
