Let's take a look at the actual pattern that occurs when bitcoin blasts off. By blast off I mean from ... $0.1 to $1, $10 to $100, $100 to $1000 an so on. These have all happened in bitcoins short history. So can we see when it will happen again or is it already underway?
By looking at previous price moves and the patterns that present themselves we can determine (with some degree of accuracy) future movements. Anything is possible however, otherwise life would be too easy! If this post peaks your interest in patterns then check out Thomas Bulkowski’s work at thepatternsite.com.
Blast Off Pattern
We see this quite simple pattern of the time when bitcoin moved with rocket fueled power. Directly below are the early and late 2013 moves. These moves both added extra digits to the price.
Why is this different from a short term pattern, Well take a look at the full pattern also shown in my previous post. Four stages that are clear in recent years but are harder to identify prior to 2013.
Now in 2017
Now we see the current pattern in 2017. It looks like it's currently breaking but in the past we have seen it test the orange channel after rising above. Also a new ATH (all time high).
So keep in mind that just because it has happen before doesn't mean now will be the same. It could fall back into the yellow channel, remain in the orange channel (after a false break out), or blast off in the red channel.
Previous moves have taken a 400% increase from the break out of this pattern followed by a 70%-90% drop from the high. I've got some limited data on this that I'll post soon, but it contains outlandish numbers. You can judge for yourself.
I'm no expert so take all this only as my opinion and not advise. Also critic, questions and discussions are welcome.