The Wall Street Journal conducted a survey on 53 economists and 51 of them say that Bitcoin is in a speculative bubble.

Are we really in a bubble? Let's take a closer look on the charts.

We are near the completion of the third wave (red III). So the easy money part is almost over. Volume is slowing down and there is negative divergence on the RSI (prices reach a new high but the indicators do not reach a new peak). Wave 4 typically retraces less than 38.2% of wave 3. This is a profit taking decline and usually a good place to buy a pull back if you understand the potential ahead for wave 5.

So I think that we could get a pullback towards $ 14,000 - $ 16,000 before we get a slingshot higher towards $ 24,000. Be advised that we are still in the bigger third wave (red III) during this proces. We could easily push higher!

But let's assume that $24,000 is the end of wave III (and a temporary top). Yet again, we will see a pullback towards the 38.2% retracement ($ 15,000). I warned you that the easy money part was almost over. Fourth waves are often frustrating because of their lack of progress in the larger trend.

After that pullback, we will get a new impulsive wave that will take out the temporary top formed during wave III. Wave V (not mentioned on my charts) is the final leg in the direction of the dominant trend. The news is during this wave almost universally positive and everyone is bullish.

Bitcoin behaves, according to me, more like a commodity than a currency. And some research suggests that in commodity markets, wave V is the largest. So I expect strong gains during this period where we easily could see $ 100,000 - $ 150,000.

Conclusion

• The easy part is over (for now).
• Don't get caught in the pump and dump game.
• Take some profits and buy back during the pullback if you are a trader.
• True believers can sit tight and wait until the storm passes.