Yet another Bitcoin ATH is reached! Segwit2x is coming. What will Happen Next to the Bitcoin Price? Fundamentals + TA
It's getting very tricky now, on the one hand, it feels risky to buy or hold bitcoin as it always can drop straight to the hell in a very short moment (5000 or even 4000 according to global resistance levels). On the other hand, why did you invest in a cryptocurrency if not to make more money right?
Positive signs:
After the first hard fork, everyone understood that they can get free tokens which cost something, without risking anything. Therefore now every hard fork will be perceived as a signal to buy and hold bitcoin until the chain split. Of course every new hard forked coin will probably cost less and less due to it's fictious nature.
However, as I said in my previous post, Segwit2x is not just another hard fork. It's forking serious!
+Even though it's a stressful moment, the greed will most likely prevail on the market to buy and hold to get both BTC and BTC2 coins.
+We have a quite positive news environment as it seems that China can allow trading of the cryptocurrency again.
Negative signs:
-General uncertainty of what will happen with this hard fork and which chain will become the main one.
-The risk that the news about China allowing cryptocurrency trading again can be fake.
As for now I see a bullish market so I go nothing, but long.
Here is my vision on the future price movement taking into consideration positive news background and TA
We can clearly see a classic flag pattern that suppose to break up in one or two days.
Blue lines are the previous ATHs which can be our resistance levels.
Orange line is a global trend line that is coming from $4880 price and so far was never broken.
I also put a stop loss at $5960 in case something will go wrong with China. However the $6000 support level is too strong and it's very unlikely that without some trully horrible news it can be broken.
Cheers folks! I hope you find at least some of this information useful :)