In the last few days or so Bitcoin has been acting a bit different with an odd wave structure that does not fit well with the previous wave count. Some experts claim that the “correction” in Bitcoin is done with, and a new bull market in Bitcoin will start. A Bull market to where exactly? To be in a bull market Bitcoin has to exceed the old high of $20,000. Besides that, Bitcoin would have to fight past that $12,000 price level first.
Bitcoin is getting very close to breaking out, past my top trend line, and when I bring the bottom trend line up a bit, we end up with an inverted Megahone pattern. Trend lines are subjective opinions at best, because they are used so much that they hold little information.
Wedges or inverted Megahone patterns can produce some wild thrusts so I respect those patterns, especially if they are Primary or Cycle degree Megaphones. I will as much as I can, keep two trend lines parallel to each other, and some Megaphone patterns when they might be sneaking up on us.
Here is a good story how a guy paid 10,000 Bitcoins for two pizzas back in 2010. This worked out to about $82 million for two pizzas!
The new ICO issues have started to slow down this week, but it seems that about 40 of them disappear over night from a peak of 1600 coin offerings. We are back down to 1564 coin offerings and the pace they are pumped out could be slowing. The 24 hour volume has hit close to 10 billion, which is down dramatically from its hay days. As I post Bitcoin is in a bit of a rally so chances of it breaking out past the trend line looks very good.