As BTC is still heavily correlated with the DJI I think the second scenario is more likely. Stocks will probably drop again which will take BTC down (at least in the short to mid term). If anything the breakout should have happened with the latest stock rally. Other points to consider are the correction after halving events and the curious likelihood of BTC rallying in the time of new years.
The first scenario is probably going to happen, but delayed. My guess is that the rally will start at the end of this year.
Seems like a very plausible scenario. The only caveat to this is that bitcoin actually hasn't been trading with stocks as of late. The correlations broke about a month ago, though it could also just be that correlation only broke when stocks went up because bitcoin couldn't break through the $10k resistance area, which seems very possible.
That being said, I think there is a scenario where stocks go down and bitcoin goes up. If you noticed during this recent route, not only did stocks and bitcoin sell off but gold took a hit too, similar to what happened back in March where everything sold off. I suspect that was more of an initial reaction and if there is a prolonged draw down in the stock market I think bitcoin and gold could outperform.
well I guess a plausible idea would be to assume that once people realize that we are just printing money non stop, fiat currencies (especially the dollar) will lose ever more value. So I could see people looking for alternatives and bitcoin wouldn't be far away in that regards
Agree. I hope we get a correction to 7k lvl and form and inverse h&s pattern before breaking 10,5k. Would like a breakout to christmas and maybe we will see 20k in 2021 and a new ATM earliest in 2022. But some people still talking about a C-wave to 2k.. what you think? -Chris
I would be shocked if we see $2k again, ever.
Hehe yea me2, but maybe that's why it will happen.. who knows time will tell :)
I actually have buying orders all the way down to 4.8k. We'll see how it goes 😅
Hehe nice, I got filled out of the blue on the corona dump :) Been just swing trading alts for 2 month, as they have been testing the breakdown from july 2019.