In my previous post I speculated that we were due a correction which turned out in fact did happen, with price now down to about $416 as I write. However I don’t get the opportunity to be too smug about this as my prediction had the run ending at about $450 where the horizontal resistance lies when in fact it shot a good way higher first.
Heres how it looks on Bitstamp, log price scale 4 hour candles. Notice where the run spiked up to.
This chart is once again showing the same bull fork I’ve mentioned in other recent posts. Here the spike touched just about bang on the mid line of the fork before the steep correction began. If any further evidence was needed, this is the bull trend plainly visible. With this fork showing the slope of the trend. The way bitcoin is going I won’t be surprised to see price break up into the top half of this fork before long. I bet the bankers wish they could suppress bitcoin the way they do gold. (edit: as a caveat to that I’m not saying it will break up straight away, there may be a bearish period to endure first in which this last spike begins to look like a dead cat bounce and giving false hope to bears)
For a bit more context heres another look at the same fork zoomed out a little bit on 1 day chart so I can show the points how the fork is defined.
I’m guessing there’ll now be a period of consolidation but to me the bull trend seems pretty clear on longer timescales.