Hodlers are waiting for one thing. They do not know when Bitcoin is bottoming, they do not know how to identify the best buying opportunities. Possibly, they do not even care at all about these levels. But the last time Bitcoin reached its ATH you could feel something around, it was hard to miss: FOMO.
Will FOMO Set In Soon?
During the 2017 bullrun, people went crazy over Bitcoin. A lot of new people streamed into year old forums, traffic was insanely high, ICOs sold vaporware as the new big thing and people expected to become rich when buying Bitcoin at $19,000 still. Until it all crashed down and we entered something that was called the ‘crypto winter’. That was FOMO and that is what Hodlers are waiting for.
A lot of people are expecting a certain kind of FOMO to come back soon. The $10,000 level is a psychological trigger that will most probably create an echo in the media. Suddenly we will see an influx of a lot of new money again. Therefore, it is not unlikely that we will see the parabolic movement of Bitcoin continue for now.
People ask me why I trade Bitcoin $BTC
Ask no more!
In my 45-year trading career there has never been another market like Bitcoin. pic.twitter.com/K3paF2yIEi
— Peter Brandt (@PeterLBrandt) June 19, 2019
Hard to see through higher prices & ever more FOMO
Parabolic price rises make you feel euphoric and many people are happy to buy on ever higher price levels. However, a deep and sharp correction will follow certainly. Therefore, it can make sense to set goals and take out profits while the parabolic movement is ongoing. An effective goal strategy has proven to be more successful than trying to predict the absolute high.
Peter Brandt assumes that the next bullrun ending in presumably 2020 will drag us higher than before. A prediction that is actually well based on the past of Bitcoin. This means that watching the FOMO factor via Google Trends, a very useful tool in that case, is key to assess where the market stands. As you can see in (fig. 1)