‘Long term, I am a big fan of Bitcoin. I love cryptocurrency, but in the medium term, see this channel right here. This is a bear flag channel.’ in a 30 minute interview with Kitco News, Gareth Soloway, chief market strategist of in the money stocks.com, gave his outlook on several topics, including oil, interest rates, stocks, the Nasdaq, and, of course, bitcoin. Soloway has a bearish outlook on most everything across the markets, even bitcoin. Despite being a long-term bull, predicting a 500k to 1 million bitcoin price. In the medium term, Soloway sees us heading for a sharp decline near the 20 000 price point.
Many analysts and bitcoin pundits believe a 20 000 price point is too steep of a decline at this point in bitcoin’s maturation as there will be too many buyers before it reaches 20k. Nonetheless, Soloway provided technical analysis as to why $20,000 is in the cards. Before we read the Soloway speech, we wanna shout out to the Jet-Bot. Jet-Bot is an industry leading trading. If you’re new to trading, Jet-Bot’s copy trade feature is unmatched. Jet-Bot makes it simple for you to copy the trades of the pros and earn while you get comfortable and learn about yourself. If you sign up with Jet-Bot today, you’ll receive a 3-day trail access. The process of signing up is extremely easy. Take advantage of the sign up bonuses by clicking on the link.
‘In fact, if you look at a hundred or a thousand of these patterns, this is what’s referred to as a bear flag, and what’s interesting is you can see the opposite thing, where you actually remember back last year, you were actually making the opposite pattern and look at the direction it went.
When you’re angling down, it’s making investors feel more insecure, making investors feel more bearish, and therefore, the price is going to do the opposite of what retail investors want and go up. Usually, when you go this way, it attracts investors. They’re trying to con you in. Not literally, but it’s trying to fake you out in terms of the price action, and this one breaks down, so again, people are saying, “Well, isn’t this the same as this?” The answer is no. It’s not that this was a down sloping channel, it broke up up sloping channels tend to break down.
Just to be clear, everything is probabilities right, so if you looked at a hundred of these patterns, 80 of them would break down, 20 of them would fail and break up right, so it’s probabilities. I mean, when you’re talking about trading the range, so short, short, long, I mean, that’s where you get into these really tight levels, but if we’re talking medium term, let’s talk six to twelve months out, when I think bitcoin has a good shot of bottoming out. We’re talking about some major downside. I’m still in the camp that you’re likely headed to 20K or below as an ultimate target. Again, 20K would be the 2017 high. I think you’re seeing more and more the realization that the stock market is weakening and money’s being pulled out. It’s a de-risking going on which is very bad for bitcoin since bitcoin trades off of the Nasdaq essentially with de-risking.
You have to see this washout. I’ve said this from day one, going back to our in-person interview in Dubai last October, that you have to see this full washout. You almost have 20 000 cryptocurrencies, but there should only be like 20. So you have to see this.com type flushed out where a lot of these go away and then ultimately from the dust will rise the best of breed, very Darwinian in that and they will succeed and they will flourish and bitcoin will see 500 000 and we’ll see a million dollars, so ultimately midterms next six to 12 months, 20 000 at minimum, maybe lower, but again that is my midterm, 6 to 12 month target, 20 000 or sub for bitcoin 6 to 12. It is difficult to pinpointI ‘m using past cycles. It took six, it took 12 to 18 months for bitcoin to bottom out in previous cycles. We’re already six months in from the high, so 6 to 12.’
What do you think of the Soloway thoughts? Do you foresee a 20K bottom?
[This article is a transcription of a video made by Only The SAVVY]
Original video: https://youtu.be/y2ggnH58FNg ]