Bitcoin – Grab It While You Can

We are incredibly bullish on Bitcoin and find two dominant reasons why we are this confident. We examine each asset from a fundamental and from a chart perspective to extract our forecast. What makes Bitcoin unique right now is its supply/demand imbalance. An imbalance not temporary but principle-based. In addition, a chart phenomenon that supports Bitcoin’s unique history becomes more and more evident. Bitcoin – Grab it while you can.

BTC-USD, Monthly Chart, Accelerated moves:

Bitcoin in US Dollar, monthly chart as of April 5th, 2021.

Bitcoin in US Dollar, monthly chart as of April 5th, 2021.

Looking at the logarithmic monthly chart of Bitcoin above, you can see Bitcoin’s unique trading behavior. Each of the five thrusts in the last ten years were unique in their structure. After a brief steep decline (red) follows a strong bounce to the break-even point (yellow). This consistent strength in itself is notable. Truly remarkable is what comes after. Prices accelerate substantially further up (turquoise). It is these boost moves in their consistency that we have not seen in any other instrument. It makes Bitcoin unique and creates an edge for the trader as well as the investor.

BTC-USD, Weekly Chart, Favorable abnormalities:

Bitcoin in US Dollar, weekly chart as of April 5th, 2021.

Bitcoin in US Dollar, weekly chart as of April 5th, 2021.

What has changed over the years is the substructure of moves within smaller time frames. The weekly chart above shows clearly how retracements are very flat within the last twelve months. Supply-demand imbalances are widening since the number of coins free in the markets for speculation and trade is shrinking due to corporate hoarding of coins. Larger size offers are quickly gobbled up, which leads to small percentage retracements. This lines up with our fundamental findings observing exchange and corporate Bitcoin wallets.

BTC-USD, Daily Chart, Exploiting stacked edges:

Bitcoin in US Dollar, daily chart as of April 5th, 2021. Bitcoin - Grab it while you can.

Bitcoin in US Dollar, daily chart as of April 5th, 2021.

This stacking of odds both fundamentally and charts-wise on the larger time frames leads us to market participation. When low-risk opportunities presented themselves in fulfillment of our daily call pre-setup, we posted a trade entry in our free Telegram channel on April 5th 2021. We were already able to eliminate risk based on our Quad exit strategy. With prices now trading above our volume fractal analysis representing support (green horizontal line), we are positioned in case Bitcoin should break out to new highs.

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Disclaimer: All published information represents the opinion and analysis of Mr Florian Grummes & his partners, based on data available to him, at the time of writing. Mr. Grummes’s ...

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