So Bitcoin and the crypto market as a whole have been in a bear market ever since the Dec. 17th high. How long will it last? Where is the bottom? The truth is no one knows for sure, all we can do is look at the charts and to be honest come up with an educated guess. My opinion is that we have not bottomed yet, I would not be surprised if BTC made a 100% Fib retracement and retested the low set on Nov. 12th. and quite possibly that may not be the bottom either. At some point, though prices will bottom, a base will be formed and cryptos will then move higher again.
As we have seen so far, where BTC goes so goes the rest of the market so I believe it will be a while (weeks/months) before we see an end to this bear market. Long term (years) I remain very bullish on the whole crypto market, I would say what we are experiencing right now is a very healthy thing for the long-term sustainability of the cryptocurrency markets. As bad as this correction looks right now you need to keep it in perspective, of course, I realize, if you bought up near the highs and are still holding this has to hurt. But just look at these price comparisons from 1 year ago to today.
I am sure that many of the critics who have called cryptocurrencies a fraud, Ponzi scheme or said they are just a bubble like tulip mania which will eventually pop are celebrating this price correction. As I stated before I believe these individuals are using the bubble label far too loosely, most likely in an attempt to discredit the cryptocurrency markets. In my opinion, a true bubble is driven by nothing but hype, the asset really has zero value and when they pop there is no recovery, its lights out - end of story.
Just looking at Bitcoin alone we have seen numerous times where the price has run up to (at the time) extreme levels only to experience severe pullbacks. In every one of these instances if you had bought after the pullback you would have done very well, this just does not happen with true bubbles. Hell, if you had bought at the top of any one of these "bubbles" you also would have done very well, again that wouldn't happen if it was really a bubble!
When all is said and done I believe the same will be true of this price pullback, at some point it will be a great buying opportunity. So no matter how bad things seem right now this is a time to be creating your shopping list because this very well may be the sale of the century.
Until the next blog post.
Take care!
BigskyCrypto
email: info@bigskycrypto.com
Website: https://www.bigskycrypto.com