Bitcoin Enters Dangerous Manic Phase - Enormous gains to be made if you are prepared. Here's what to look for!

Analysts Ken Goldberg, a journalist at realmoney.thestreet, believes that we are in the manic phase of a Bitcoin bubble, which will be followed by a surge in price to all time highs, then a strong correction to the downside into a long term period of consolidation. Below is a discussion and summary of his original Post

History Repeats Itself

Similar to many of the assets that have went parabolic in the past, like the Dotcom boom of the the early 2000's and the more recent real estate collapse, crypto currencies are not immune to the patterns caused by hype, statistics, and basic human emotion. Taking into account the patterns that happened to similar assets in the past, analysts are using technical analysis along with the crowd's behavior to forecast where the market will head in the future.

What to Look For

According to Ken,

• We will experience a pullback that breaks $1850, and goes no lower than $1450. He is suggesting to avoid buying around $2300, until the correction occurs.
• We are now entered the 5th and final phase, where we will experience a push in price to $2800.
• After $2800 is exceeded, we should be on high alert, where the price is expected to soar past $3000.

Make Your Own Decision

Technical analysis isn't a crystal ball that will accurately predict the future, rather it is a tool we can use to determine the probability of something occurring. I'm sure the majority of us on the platform see the viability and sustainability of crypto currencies in the future, but it's important to understand the implications that the media, statistics, and basic human emotions will do to an emerging market like Bitcoin. Although this article is focused on Bitcoin, I believe that all alternate currencies will be effected by the highly probable correction that will ensue, so It's important to have a PLAN ready to protect yourself.

Long Term Holders

• Shut off your computer for the next few months to a year and don't worry about the pitfalls that comes with an emerging market.
• Thank yourself ten years from now for foreseeing the incredible impact crypto would have on the world, then buy you a private island. (Not as expensive as you might think)!

Short Term Holders

• Think about taking profit from this current uptrend early, and be prepared to enter a great position
• Strap into the shuttle that will most likely take us to and hopefully far past $3000!
• Make sure you have a trailing stop loss set so you can get the most sufficient exit possible!
• Buy a ton of Steem when the price falls!

Current Market Conditions

After doing many hours of research and technical analysis myself, I don't think we will experience the pull back that signals the end of phase 4 in the immediate future. There is a lot of hype surrounding Ethereum at the moment that should allow us to bask in the sun for a little bit longer before the final boss music is cued. Check out my last two previous articles if you wan't a heads up on where the market might go in the near future!

Technical Analysis for May 29th (Still Relevant)! Here
Ethereum being added to Large Chinese Exchange Huobi Here

If you found this post helpful by any means, please up vote, comment, and follow! With that said, keep calm and Steem on!

Disclaimer

I am not a licensed trader, and this is for educational purposes only. I am not responsible for any losses that might occur and all decisions should be made after the conduction of proper research. Please only invest what you are willing to lose.

Sources: 1, 2, 3