Heres another view of my bitcoins ‘take off’ chart
This new spike is already starting to make the high in April look a little diminished. Who’d have thunk it? My expectation is there has to be a fairly large correction coming soon but when? How big a correction? To be honest I don’t think anyone could say. But in the spirit of having a guess I’ve drawn in a few resistance lines.. the middle one joins the April high to the October high. The bottom one is a clone of that line joining the peak of the dead cat bounce with Sept peaks. The top one is another clone the same distance above the middle line that the bottom one is below it. I don’t know if theres much justification for that line, probably not, we’ll see..
When this current spike up does ‘pop’, I think it’ll probably look a bit like a bigger version of the October spike, rather than the big one in April.. I’d be surprised if it goes below $200 when it spikes back down during an initial sell off, then I expect there’ll be a rebound and then a period of consolidation perhaps up at about $260.
Disclaimer, any trading you do is at your own risk. I still primarily advocate buy on dips and hold for the longer term.