The Long and Winding Road – the Major Bitcoin Bottom and the Path Back to 20,000

The “Long and Winding Road” is the Beatles #1 hit written by maybe the greatest songwriter of all time, Paul McCartney. It is also a beautiful description of how stocks/markets move, and a great way to visualize the path Bitcoin will take back to 20K. Back on 11/26/2018, I left a reply to a hard-working subscriber who was asking about the global debt situation, but the main part was about the next major bottom in BTC. My full reply is shown below (click to enlarge text). Also is a highlighted portion. This comment regarding Bitcoin was made well ahead of time, not in a rear view mirror.

This year, 2019, I am trading solely individual stocks, mainly very small stocks, no index options (the market where I have made most of my money), no other markets, more on that later. So for instance, regarding BTC, I am trading the crypto stocks, 2 of them are discussed in the text on the charts provided below. I have several more on my list. My clients have had access to this list as well as to the charts below, taking profits at resistance areas, charts have full explanations on them – and subscribers have real-time access to this also. Several of these stocks are up more than 3x from the lows a few weeks ago. That makes another point – the media and most everyone thinks BTC is “incredibly volatile”. Actually no it isn’t (not in my trading approach, I love volatility) as shown by the huge moves in the STOCKS relative to BTC itself. And one of the stocks on my list is a penny stock, which is the most leveraged that I know of, to the price of BTC and Ethereum.

One more thing, tops (distribution areas) are a process – well, so are bottoms a process (accumulation areas) – as shown by all those charts as I was watching BTC set up for months – THE PROCESS. Success in this business is about only one thing – CONSISTENT HARD WORK.

 

My reply to the question:

….the next move.  major bottom should be Jan/Feb next year. But I also stressed in there that it would be many years before the next big breakout, around 4 years. A long period of preparation. Also, I go by my 85% rule, a market or stock, tho the stock may be done for good, but a massive bubble goes down on average 85% into the next low. Bitcoin has followed that the previous times. That is around 3000….

 

 

The charts (in the text on the last chart it discusses “Jan ’18, that should read Jan ’15”):

 

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About traderscott 1128 Articles
Trader Scott has been involved with markets for over twenty years. Initially he was an individual floor trader and member of the Midwest Stock Exchange, which then led to a much better opportunity at the Chicago Board Options Exchange. By his early 30’s, he had become very successful in markets, but a health situation caused him to back away from the grind of being a full time floor trader. During this time away from markets, Scott was completely focused on educating himself about true overall health and natural healing which remains a passion to this day. Scott returned to markets over fifteen years ago where he continues as an independent trader.