Bitcoin had a massive breakdown yesterday on December 10 by 5% and most likely spells trouble.
In this case, it has proven bearish out of a term consolidation pattern pulled back, and it double bottomed at a fundamental level of support. It was tested twice in the last 24 hours, and the question is, ‘Do we hold that level of support’? In this case, let’s say that bitcoin has lost a lot of exuberance; the clients were driving the rally about a week ago where that exact rally got kicked off due to bitcoin breaking levels of resistance. With one word, bitcoin just kept hitting new highs time by time. It all started with the Paypal news getting into cryptocurrency.
Adoption from big companies like Paypal Skyroceted the price
But it quickly turned into long-term news instead of short-term excitement news. People in the bitcoin industry have already bought all the bitcoin that they want, and they are already in profit, but now that bitcoins are trading sideways, everybody in this situation that is in profit is already willing to take all these profits and are turning from bulls into bears. The conclusion, in this case, is the same on both of them sideways to slightly negative trading for at least the next week or two followed by a break to the upside, even if we see short-term bearishness, that does not mean that the underlying fundamentals are not bullish, actually today they have been more bullish than ever in the history of cryptocurrency especially moving into 2021. According to some analysts from this situation that happened, it is said that things are never going to go back to normal and that clients will start to feel the big fallout since things can’t be fixed overnight. You have to keep in mind that economies are very complicated, and these things take time. Let us remind you something before you second doubt your investments in bitcoin. You are not in this industry for a week, you are not in bitcoin for two weeks, you are not in bitcoin for a month either, bitcoin was never a get-rich-quick scheme, you are in bitcoin for a long term journey, your pocket will thank you later! Just because you studied bitcoin and gathered all the information and details you needed does not mean that you will become a millionaire over a night or trade like a pro. Be patient, and good things take time, always work hard for it because bitcoin and crypto overall is no different.
This is one of the reasons why you need to be here for the long game. Bitcoin is one of the best forms of investments lately by many investors as it’s getting adoption each day such as Paypal that has 300 million active users.