Bitcoin core has had a nice comeback after the correction, and is currently beginning to form a head and shoulder pattern.
The initial peak and subsequent decline represent the waning momentum of the prior bullish trend. Wanting to sustain the upward movement as long as possible, bulls rally to push the price back up past the initial peak to reach a new high (the head). At this point, it is still possible that bulls could reinstate their market dominance and continue the upward trend.
I personally believe Bitcoin will break $17250 and continue it's incredible journey in 2018. As many of you know, I have hedged myself quite a bit against Bitcoin these past months ( the whole point of this blog is to be 100% transparent and tell exactly what I'm doing in the markets). Not mainly because I think there are some issues with Bitcoin that speaks against it, but because I believe there is so much more profits to be made in certain alt-coins and utility coins in the years to come.
That being said, I still hold quite a significant portion of Bitcoin core (22% of my total holdings) and I'm still bullish for Bitcoin core. It could very well end up as a store of value, even if I don't really see the point of that - but hey, the markets decide that, or it could solve their problems with 2nd layer solutions like LN - which I'm not in favor of. Or it could lose completely to BCH. I don't know which one it will be - and frankly, all scenarios are OK for me. I'm mostly interested in the utility tokens at this point.
John Mcafee is still hodling his 1 million by 2020 prediction, which I suppose means he sees BTC at at least 50-100k in 2018. I think we need to see some solutions to the fee-problem before that is on, but it seems like people are buying now.
Let's see if it can break through this head and shoulder pattern first.
Total crypto currency mcap is trying to break through $600 billion ATM, which will also indicate further uptrend and a reversal from bearish to bullish.
