Bitcoin
Bitcoin Could Be Mirroring This Extremely Bullish Gold Fractal from the 1970s
Cole Petersen | Nov 28, 2020 | 22:00
- Bitcoin is currently caught within a strong upswing following its recent selloff
- Bulls are pushing the crypto towards $18,000 as they move to erase its recent losses
- Where it trends next will depend largely on how sustainable this ongoing move higher is
- One investor is now noting that a gold fractal from the 1970s seems to indicate that this selloff could be followed by a powerful push higher in the days and weeks ahead
Bitcoin and the entire cryptocurrency market are currently caught within a strong uptrend that has come about just a day after the cryptocurrency witnessed a massive inflow of selling pressure that caused it to erase a good portion of its recent gains.
Where it trends next will likely depend largely on whether or not buyers can push it back above $18,000. Reclaiming this level could provide a strong new support base to grow upon.
It could confirm a “V-shaped” recovery from its recent lows, potentially allowing it to see a strong upswing that pushes it beyond its previous all-time highs in the upper-$19,000 region.
It could also confirm that a gold fractal from the 1970s is in play, allowing it to see some significant upside.
Bitcoin Shows Signs of Strength as Bulls Target $18,000
At the time of writing, Bitcoin is trading up just over 3% at its current price of $17,700. This marks a serious upswing from its recent lows of $16,400.
These lows were set at the bottom of the recent market-wide selloff, which came about shortly after BTC faced a rejection around its previous all-time highs of $19,500.
The selling pressure seen here drove it significantly lower and could indicate that further downside is imminent.
This move was also perpetuated by a surge in regulatory fears due to recent comments from U.S. Treasury Secretary Steve Mnuchin.
Prominent Investor: BTC’s Latest Dip Could Confirm Bullish 1970s Gold Fractal
Investors recently brought attention to a potential fractal pattern first shared by Paul Tudor Jones, a billionaire asset manager. Tudor Jones is widely regarded as one of the world’s best asset managers, having outperformed most other asset managers in periods like the 1970s and in the 2008 Great Recession.
The fractal, seen below, suggests that Bitcoin is trading similar to gold did in the 1970s. Should the fractal play out to a T, there is a good likelihood that Bitcoin will push to new all-time highs by late 2021.
Bitcoin’s upcoming weekly candle close should provide some insights into where it is trending in the mid-term.
A close above $18,000 could put the trend back into bulls’ control for the week ahead.
Featured image from Unsplash. Pricing data from TradingView.
