Yet another Bitcoin ATH is reached! Segwit2x is coming. What will Happen Next to the Bitcoin Price? Fundamentals + TA

in #bitcoin6 years ago (edited)

It's getting very tricky now, on the one hand, it feels risky to buy or hold bitcoin as it always can drop straight to the hell in a very short moment (5000 or even 4000 according to global resistance levels). On the other hand, why did you invest in a cryptocurrency if not to make more money right?

Positive signs:

After the first hard fork, everyone understood that they can get free tokens which cost something, without risking anything. Therefore now every hard fork will be perceived as a signal to buy and hold bitcoin until the chain split. Of course every new hard forked coin will probably cost less and less due to it's fictious nature.

However, as I said in my previous post, Segwit2x is not just another hard fork. It's forking serious!

+Even though it's a stressful moment, the greed will most likely prevail on the market to buy and hold to get both BTC and BTC2 coins.

+We have a quite positive news environment as it seems that China can allow trading of the cryptocurrency again.

Negative signs:

-General uncertainty of what will happen with this hard fork and which chain will become the main one.

-The risk that the news about China allowing cryptocurrency trading again can be fake.

As for now I see a bullish market so I go nothing, but long.

Here is my vision on the future price movement taking into consideration positive news background and TA

We can clearly see a classic flag pattern that suppose to break up in one or two days.
Blue lines are the previous ATHs which can be our resistance levels.
Orange line is a global trend line that is coming from $4880 price and so far was never broken.

I also put a stop loss at $5960 in case something will go wrong with China. However the $6000 support level is too strong and it's very unlikely that without some trully horrible news it can be broken.

Cheers folks! I hope you find at least some of this information useful :)