Wide ranges continue
The Bitcoin chart is starting to improve. The sharp drop to $ 30,100 from $ 41,986 highlights two things:
1) The bitcoin market likes big round numbers. We have seen it before and we will see it again
2) There is panic, but no real panic
A 28% drop is no joke in any market, but Bitcoin has managed it. Now it’s already back to $ 36,000 and even with the daily ranges of + 5% it is “consolidating” now.
I’m impressed with how quickly the market has stabilized, but I’m not convinced the higher parabolic move will continue from here. It’s one thing for people to pay $ 20,000 when they hit new heights, it will be more difficult to attract buyers at $ 40,000.
I think we could be around these levels for a while (which is about two weeks in this crazy market).