Lately, the flagship cryptocurrency has seen a lot of ups and downs. Bitcoin is yet to make a move that would set its course in the coming months and weeks. If the currency were to make such a move, it would be the most important since 2015.
According to the monthly chart, such a move would be nothing less of extraordinary. If its price were to break the symmetrical triangle, it would either crash or prolong the current bear market or shoot up to begin a new bullish cycle.
Possible Extreme Lows Or Highs
Analysts have predicted that if it were to go down, we would likely see the price fall to the levels of $3,500 on 61.8% fib level or lower levels of $1,220 on 38.2% fib level. In the likely scenario that the symmetrical triangle is broken and bitcoin shoots up, that would mean a new trend. Prices would likely rise as high as $67,000 on the 1.272 fib level.
Traders, however, shouldn’t be in a hurry to speculate on any developments. It requires a level of patience to win in these markets. Looking at the global markets at the moment it’s not favorable, leave alone the cryptocurrency market. So, it’s safe to say that the probability of a new all-time high at the moment is low. Therefore, traders need to wait and confirm to see which way the price breaks out.
Move Towards $10k Sooner Than Expected
Looking further into the long and short weekly BTC/USD charts, one thing is peculiar; the number of longs has significantly declined in the past few weeks. This could mean that $10k might be a real possibility a lot sooner than expected. Although it is likely that the price might retrace to $8k first before rallying towards $10k, it’s still possible for a direct rally.
One factor likely to affect the crypto market is the fact that Political and global economic events are converging to a decision point and the whales and market makers have to make their moves. These events will likely affect crypto and traders have to be aware of this.
Decisive Political Events
One of the events happening soon is the Democratic presidential primaries on February 3. The event will obviously have an impact on the stock and crypto market. According to the waited response by Wall Street, a win by Sanders will hurt the stock market. A Biden win, on the other hand, should help the market.
Nevertheless, a Sanders win could also be the beginning of something extraordinary. The same had been experienced with Theodore Roosevelt and John D Rockefeller. All in all, don’t be in a hurry to chase the market, wait for the decisive move.