Wow, another record value for bitcoin! It’s almost getting used to. At 13:00 bitcoin reached 41,800 dollars (34,130 euros), the highest point so far. Will bitcoin continue to rise this weekend?
Repetition of 2017 possible
Nobody knows for sure, but for answers we can always rely on the Fibonacci series. Fibonacci was a mathematician who described a series of natural numbers around the year 1200. This series of numbers is used in all kinds of sectors. Think of film and photography, but also in technical analysis. Do you want to know more about this indicator? Then read this article.
Below you can see the day graph from 2014 up to and including now. In 2017 it found resistance on the dark green Fibonacci line. The price then corrected to the yellow Fibonacci line, and then shot up again. Will history repeat itself? Then we get one more boost up to about $46,000 (€37,563), and then corrects the price to $30,000 (€24,500). Is the graph difficult to read? Click on the image to enlarge it.
On the graph below we have enlarged the price movement of 2017. You can see that the price moved sideways for a long time between the green lines and the yellow line. In August the price finally broke out.
Below you can see the price of today. The blue bars represent the price of 2017, and give an indication of how the price can move in the coming days when exactly the same thing happens. Do we see a quick correction to $30,000 (24,500 euros) once bitcoin touches $46,000 (37,563 euros)?
Bitcoin in a strong trend
The previous graph is a possible scenario, but whether it will turn out this way is questionable. At the moment bitcoin is still in a strong trend. You look at the four hour chart below. Bitcoin is supported by a parabolic trend line, in red below the graph. Parabolic means that the trend line is moving up steeper and steeper. If bitcoin continues to respect this trend, a rate of $50,000 is even possible in the coming days.
What do we expect from bitcoin?
What will the rate do now? You can take a look at the 30-minute chart below. This shows the price from Monday, January 4 up to and including now.
Will bitcoin formula continue like this? Then the next Fibonacci level will be around $46,000 (€37,563), the dark green line on the chart.
Currently, bitcoin support at $40,800 (€33,273), the pale green Fibonacci line. Does this support break? Then a major correction towards $30,000 is possible $30,000 (24,500 euros). This is a drop of about 35 percent.