Following Bitcoin’s aggressive selling of the past weeks that caused near 50% in losses, it is time to look at Jean-Paul Rodrigue’s Stages of a Bubble.
This had to be customized on Bitcoin’s state of the 2018 correction. It doesn’t exactly follow the classic bubble price action as the “Fear” and “Capitulation” stages lasted longer on a downward consolidation technically applied on a Falling Wedge .
It appears that the bear market has entered the “Despair” stage and based on this study that we conducted some time ago (https://www.tradingview.com/chart/BTCUSD/zK7bM01i-Bitcoin-Is-this-the-bottom/), the “Return to the mean” will be a lengthy process, unlike Jean-Paul Rodrigue’s classic model.
We still have the bottom priced within 2,600 – 2,800.
** If you like our free content follow our profile (https://www.tradingview.com/u/InvestingScope) to get more daily ideas. **
Comments and likes are greatly appreciated.