Bitcoin will get to $5k....as much as I think this market is one huge extremely overbought bubble that's hyped around greed and FOMO ("GOS as I've called it"), I am confident we will see it in the next couple days.
Reason? Everyone wants it!! There's too much momentum, and even with decreasing volume and all things going AGAINST it, Papa BTC will still find a new ATH in the $5,000 level.
From there, what happens?? Well, it's anyone's guess...BUT, I can tell you a realistic scenario and justification.
With BTC at or over $5k, we're looking at a market cap of over $82 billion. The last major psychological breakout at the $4,000 proved easy to buy. A lot of this came from the latest hype about the UAHF not impacting BTC, high volumes, excitement from finally breakout of the previous ATH after a month long pullback, etc....
One of the trends lately seems to be two month rally, month long pullback to just above the 61.8% fibonacci retracement level. From a $5,000 target, the 61.8% level from the previous low at $1,762 would be right at the $3,000 previous ATH.
Fibonacci Retracement From at $5,000 ATH
Fibonacci Retracement From Previous ATH Rally
It seems like a quick retracement, but based off of the standard pullback length of 1-month, this would have us back at or bouncing off the $3,000 target around the beginning of October.
If the trend is still overall UP, there should be a bounce at this level and we'd rally over the next period of time to a new ATH. However, if there's a close above this level, there could be a longer downtrend.
Based off of history, coins bounce off of these levels and then never get quite as high, forming a longer term exaggerated sawtooth pattern down over a very long dawn out bear market like experienced in 2014-2015.
So how about on the brighter side!?!?!?! Where can things go and what's the target????
Simply put.....M00N anyone?
If there's a pullback after $5,000 there needs to be a bounce at $4,400. If that can hold then we should see rockets to $7,000 as the next fibonacci resistance. Since at this stage of the cycle movements are fast, furious, and VERTICAL, one can assume a rather rapid rise just like what we saw from $3,000 to $4,450.
If there's still another breakout to $7,000 (honestly extremely likely), momentum will get harder to carry meaning a crashing boom would be followed.