The next big thing happened just a few days after the bear took control of the market, creating a bloodbath among all coins. I've never seen bitcoin dip in such a manner, but it did, no doubt. There were lots of profits in the market for shorters, lots of losses in the market for longs, and lots of profits in the market for those that bought the dip.
Why? After bitcoin dipped to $48k, the August bull visitor came and pumped bitcoin's price to $61k in 4 days. Those who anticipated bitcoin's dumping further and short trades are already on the losing end but patiently holding, optimistic that the market will still dump to $57 and $53k or even more.
Let's talk about the bull August visitor. The bulls were furious and sent the market on a surge in four days. This created a neutral level in the crypto market. The fear and greed margins were balanced. The selling pressure reduced, and people just kept buying bitcoin, expecting it to surge even more.
Those who bought the dip are already making serious profits as it stands. The bulls, coupled with some exciting news in the market, contributed to the surge in the price of bitcoin. Yesterday, I traded bitcoin based on the news that the president of Russia, Putin, has legalised crypto mining in Russia. That was good news in the crypto ecosystem, and bitcoin was seen to move from $57k to $61k.
So the question is, will bitcoin continue pumping based on the fact that it has set its foot in the bull year, or will there be another dump in the market? No one knows, but to be on the safe side, you need to do your research, as there may either be manipulation downwards or upwards.
The price of bitcoin surged by 7% in the last 24 hours and was able to reach a line of $61k. This increase was a result of growing market activities and expectations that bitcoin may surge to $70k. This speculation in the market has reduced the selling pressure, though there may be a pullback in the price of bitcoin.
This is a possibility, not a certainty. Ethereum didn't really move as fast as Bitcoin, though. It surged from $2,200 to $2600, and the surge was driven by positive news regarding the buying of Ethereum ETFs into the market. Now let's take a quick look at historical data, as it's not a guarantee, no doubt.
From the chart below, this is what happened in the market last bull run year, September to be precise. Now let's consider some factors, like when bitcoin halving started. It started in May 2021, and on September 4, which is 4 ahead, there was a dump in the market, during which bitcoin crashed to $39k and then kicked up to $67k before it dumped again.
This pump started on the 30th, and the pump kept on going as bitcoin kept pumping till November, when it got to its all-time high. The candle sticks that followed were a red candle stick and a long green candle stick. Could this be a possible prediction of bitcoin's movement? Nothing is certain yet. We're just observing if it will dump again before the finale takes off or if it repeats history.
Now let's compare this to the present-day situation. Bitcoin closed on a green candlestick yesterday and is already on a red candlestick. The $59k mark accepted bitcoin's movement, and that led to a surge to $61k. Following historical data, the bitcoin halving started in April 2024, and from then to now, it has been roughly 4 months, just as the last bitcoin halving.
Now, what happened during this month may likely repeat itself, as there may be a surge in the bitcoin price on a continuous basis until it creates another all-time high. This isn't financial advice. Do your research, as the speculations are placed on hold.
In conclusion, trade wisely. If you had open longs, extend your liquidation price to $20k if BTC, as BTC can't fall to such during this period. I'll not advise you to close and take up shorts. Just play well and manage your risk very well…..
Sreenshots are from my binance app and twitter account.
Disclaimer :Any financial and crypto market information provided in this post was written for informational purposes only and does not constitute 100% investment advice. It's just basic knowledge every crypto trader or investor should have