I Lost $1800 in the Biggest Bitcoin Rally
The past few months were great for Bitcoin. The rally began on September on the news of PayPal’s adoption, which was followed quickly by more good news that include DBS’s secret Bitcoin project.
I was none the happier though. Having took the short position since $8000 thinking that a $10,000 bitcoin was too expensive to buy, I was pretty much in denial.
And now? I renewed my position with a $18,000 price tag.
The FOMO here is real.
Riding the wave
Given the momentum of the charts, the price is hitting a 2017 resistance of $17,600, between the $17,000 to $18,000 range.
A recent breaking of that resistance line topping at $18,500 proves buying pressures are off the 2017 highs, which could possibly give us a precursor to a parabolic upswing.
That is enough reason for me to bet bullish for Bitcoin in the short term.
Fueled by a host of good news
One does not need to look far for a slew of news on a big market mover like Bitcoin.
This signals to me that Bitcoin is cementing its place in the market. It is not difficult to imagine other banks scrambling to up their blockchain game.
The inefficiency in bitcoin market is still noticeably higher than the FX market, which is telling of the market capitalisation and upside potential.
Some even go so far as to predict a Bitcoin price of $300,000 by 2025.
Muted movement in Altcoins
Unlike the 2017 mania, the rally in Bitcoin is still in its infancy. There is massive upside momentum with little to no effect on the altcoins.
This hints at the bitcoin move being more muted than that 2017 bubble, which was riding on high emotions and FOMO sentiments. Evidently, the bitcoin owners of today seem more sophisticated and logical than the past, with less volatility and more volume in the market.