It's easy to become a little concerned and even nervous when you see price action as we have just seen. It is however important to remember that this has happened time and time again. Not only in previous cycles but also in this current cycle. Shake-outs occur all the time and that is something that you have to come to terms with and even expect in the Crypto market. A sharp fall is easily erased by an even sharper rise. This is exactly how this market operates and most likely will continue to operate for some time.
There will obviously be more corrections and dumps along the path to the peak of this cycle. However, this is a very important level as I believe that whales will be trying to "rinse and repeat" long liquidations here for as long as they can.
The reason is that once BTC breaks 70K there is likely to be a very intense acceleration to the upside and whales want to get as much cheap BTC as they can now. Looking at the price action of the previous cycles, it is more than likely to be repeated yet again. The first stage of the bull market has mirrored the previous cycles and it is only logical that the last stage will also follow suit. This is pretty evident in the screenshot below.
Furthermore, the predicted price action is also in line with Plan B'S S2F model, which can be seen in the screenshot below.
There is a lot of confluence indicating that Bitcoin is primed for a massive move towards the upside. That is why the current threat of a double top pattern is concerning but at the same time not necessarily fatal. The confluence of indicators is currently teaming up with the bulls. This does however not mean that the price cannot dump further, it always can!
Bitcoin has its own rule book and all markets often pull surprise moves when nobody is expecting them. That being said, we need to remember that in a bull cycle, the bias is bullish.
I know that there is a chance that we don't see $200K this cycle. There is also the chance that we see $300K, or even $400K. My target has always been $200K and so anything above that will be a bonus to me, as my mind has already made peace with $200K.
Be Watchful
Either way, it is abundantly clear that BTC is coming to the end of a heavy accumulation zone and will ultimately blast off soon. Let's be watchful and ensure that our bags are packed. It is also important to be on the lookout for any other bearish indicators that could delay this event.
Disclaimer
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