Bitcoin Crashes Over 50% From Recent Highs - Here’s Our Call on Support

Crypto enthusiasts were crushed over the Thanksgiving holiday when a fight over Bitcoin Cash and very thin liquidity prompted a massive price breakdown from recent highs. This downside move reflects a true price breakdown where Bitcoin bulls have to rethink their future strategies.

Back in October 2018, we warned that price MUST rally above the support level near $6986 in order for any future upside advance to take hold. The following week, we saw a massive price rally that lasted only a few hours and trailed off back below the $6986 support level. While we waited to see if any future price move would prompt a rally above this level, the Bitcoin price levels continued to congest.

The breakdown move over the past two weeks has been massive and hit our first target of $4000 as expected. From the recent highs, the downside move totals -52.81% so far. Our research team believes true support is near $2995 – a further -25% lower from current levels. This equates to a massive -65.85% decline in the past 40+ days.

There may be an opportunity for fresh long trades near the end of this year. We’ll alert you to any opportunities we see in the crypto-currencies as they set up. Right now, we would warn Crypto longs and enthusiasts to be very cautious of any further breakdowns in price. If the $2995 level does not hold as support, we could very easily the $1860 level before the end of January 2019.

Please visit The Technical Traders to learn more about how we can help you find and execute better trades. Our research team and proprietary price modeling systems continue to deliver success for our clients and members. We target selected sectors and trades for our members and deliver daily video analysis of most of the major markets to help our members stay ahead of market moves. Learn how we can help you find greater success in 2019 and beyond.

Chris Vermeulen

The Fall of Bitcoin - Deep State Attack or Nerd War

With the current double digit drops in the cryptocurrency market. So today, we turn to our trading partner cryptocurrency expert and author of the wildly popular New World Money Teeka Tiwari. Teeka says the current bout of volatility is due to a schism in the bitcoin community. A similar battle broke out in 2017 and the cryptocurrency market rose higher, once the dust settled. Teeka says to expect the same this time.

Teeka Tiwari on Bitcoin's "Second Nerd War"

A “Second Nerd War” is breaking out in bitcoin and this one may get bloodier than the first before the dust settles. In today’s essay, I want to tell you what’s behind this war how to ride it out and where bitcoin (and the overall crypto market) is heading when it’s over. Just know that we’ve seen this before. These growing pains are normal for a maturing asset class.

Bitcoin fell from $6,434 last Monday to a low of $5,358 on Thursday—a 16.7% drop. The entire crypto market is down about 20% over that span. Over the past 48 hours, I’ve reached out to my network of insiders to find out what’s behind the sell off. And they tell me that the main cause is a new split in the bitcoin community.

You see, a major bitcoin holder has threatened to crash the price over a contentious “fork” involving the crypto Bitcoin Cash. Bitcoin Cash itself is the result of a fork with bitcoin. (A crypto fork is like a corporate spin-off.) Craig Wright leads one faction. He claims to be the real Satoshi Nakamoto (the pseudonymous creator of bitcoin). Wright reportedly mined over 1 million bitcoin in the early days of the network. At today’s prices, that’s about $5.5 billion.

Roger Ver leads the other faction. Ver was an early advocate of bitcoin and formerly known as “Bitcoin Jesus.” Bitcoin Cash scheduled its latest fork for November 15. The network regularly forks to implement upgrades… so this isn’t uncommon. However, the two crypto titans differ over the direction of Bitcoin Cash after the fork.

Without getting into all the technical details, Ver supports updating the Bitcoin Cash network to implement increased scaling and smart contract options. Wright considers these changes unnecessary and wants to return to the original bitcoin protocol. To force adoption of his protocol, Wright has threatened to dump his bitcoin holdings. That has led to panic selling… dropping bitcoin to its lowest price since October 2017.

The split is basically a high stakes game of chicken. Here’s the thing… We’ve seen it all before.

The First Bitcoin “Nerd War”

In March 2017, I told you about the first “Nerd War” in the bitcoin community. This split was similar to what we’re seeing today. At that time, one faction wanted to upgrade the network to allow for faster transaction times. The other faction of purists didn’t want to change the protocol at all.

The schism walloped bitcoin and the entire crypto market. We saw three significant price drops during the first “Nerd War”:

In January 2017, bitcoin dropped from $1,173 to $821.

In February 2017, bitcoin dropped from $1,066 to $962.

In March 2017, bitcoin dropped from $1,271 to $911.

No one had ever seen anything like the first “Nerd War” before… And there was a massive loss of confidence in the market. But once the dust settled, bitcoin recovered and shot up to nearly $20,000 by the end of the year. The difference today is that investor sentiment is very poor so it doesn’t take much for people to panic and sell. In addition, more people hold crypto today than in 2017. That’s causing even more downside volatility.

Our position is the same we had last year: Ignore the nerd war and volatility. It will blow over and ultimately make bitcoin and crypto in general stronger.

Remember, bitcoin has real fundamental value, including traits such as:

    *  Self sovereignty of your assets (you control your assets, not some bank).

    *  Tamper proof accounting (data on the blockchain can’t be corrupted or falsified).

    *  Confiscation resistant (it’s difficult for governments to seize crypto assets).

    *  The ability to verify data (without the need of a “trusted” third-party).

    *  The ability to transfer assets (including money) and records nearly instantaneously and at
        low costs.

These are massively valuable attributes. And developers have barely scratched the surface when it comes to monetizing them. That’s why we’re beginning to see widespread institutional adoption of cryptocurrencies that solve real world problems.

Where Crypto Is Headed

Today, we’re seeing a great deal of adoption. In the coming months we’ll see:

The launch of Bakkt in December. It’s the global digital asset exchange being put together by the Intercontinental Exchange, owner and operator of the New York Stock Exchange. When launched in December, Bakkt will provide institutional money managers with custody solutions and a regulated, secure platform.

A new partnership between TD Ameritrade and crypto exchange ErisX. ErisX will be similar to Bakkt. TD Ameritrade has over 11 million funded customer accounts with $1.2 trillion in assets under custody.

The trading of Fidelity Investments’ new crypto products. Fidelity is even bigger than TD Ameritrade, with 27 million customer accounts and $6.9 trillion in assets under custody. Bitcoin is here to stay… And if bitcoin is here to stay, so is the rest of the crypto ecosystem.

So what to do now?

We’ll use the same strategy we used in 2017 to deal with the first “Nerd War”: Just let the market do what it has to do and stay focused on the big picture. These factions will hurl insults and threaten each other. That freaks out the market. And that’s what’s happening now.

Let the nerds fight it out. Regardless of who wins, we’ll see bitcoin soar again.

Let the Game Come to You!

Teeka Tiwari
Editor, Palm Beach Confidential

Why the Bitcoin Breakdown May Push Prices Below $5000

Recent market turmoil across the global stock markets has refocused investors on the concerns of global economics, trade, and geopolitical issues – away from cryptocurrencies. The biggest, Bitcoin, has been under extended pricing pressure recently and our research team believes Bitcoin will breach the $6000 level to the downside fairly quickly as extended global market downtrends continue.

The premise of our analysis is simple, the factors weighing on foreign investors and Bitcoin investors are that currencies are fluctuating wildly, local stock markets are declining and local economies may be contracting. All of this operates as a means for investors to turn to a “protectionism” stance where they attempt to protect capital/cash and attempt to limit downside risks.

 The fact that Bitcoin has yet to break higher and has continued to fall under further pricing and adoption pressure means those investors that were hungry for the next great rally may be getting tired of waiting for this next move – if it ever happens. Our belief is that any downside pressure in Bitcoin below $5800 will likely push many crypto enthusiasts over the end and prompt them to sell out before prices attempt to move down further.


Our research team believes a deeper downside price rotation is setting up in Bitcoin that will push prices below the $5000 level before the end of this year. The uncertainty of the global equities markets are creating an environment where cryptos have simply lost their appeal. There has been no real substantial upside price move over the past 6+ months and the FLAG formation setting up is a very real warning sign that the eventual breakout move could be very dangerous.

Additionally, when we add our proprietary Advanced Learning Cycle system to the research, which points to much lower price rotation over the next 30+ days, we begin to see the very real possibility that Bitcoin could fall below $5000 very quickly and potentially target $4000 as an ultimate low.

As much as we would like to inform our followers that we believe Bitcoin will rally back to $18k fairly quickly, that is simply not the case. All of our indicators are suggesting that Bitcoin will fall to below $5000, and possibly towards $4000, before any real support is found. If you are a bitcoin believer, be aware that you may have a substantial opportunity to use your skills at this price swing plays out. Looking to buy back in near $4000 is much better than trying to hold for an additional $2000 loss.

Visit The Technical Traders to learn more about our research team and resources to help you become a better trader. Be prepared and build your skills to target greater success with our dedicated team. Read some of our other research to see for yourself how well we’ve been calling these recent market moves. Isn’t it time you invested in your future success?

Chris Vermeulen

How Bitcoin Will Make You Big Money Again

If you are a Bitcoin fan or looking for the next opportunity for a Bitcoin rally, you may not have long to wait before a price breakout takes place. Our research team at The Technical Traders believes a price breakout may occur before the end of 2018 – the only question is will it be a breakout rally or a breakdown crash before the next mega rally?

Cryptos and, in particular, Bitcoin has increased in popularity and adoption over the past 24 months across the globe. Recently, Citigroup has announced new technology making Crypto transactions more secure and reducing the risk of such transactions. Additionally, Circle recently announced a US Dollar based Crypto currency that is backed by Goldman-Sachs. News from Europe is that the EU has been urged to adopt common Crypto Currency rules that will fuel more attention and enterprise on developing suitable Crypto solutions for the European markets.

All of this plays into our research that a breakout/breakdown is inevitable and it is just a matter of time before this coiling price consolidation “apexes” and expands.

This chart shows massive breakdown washout below $6000 taking it back to prices before crypto became popular in early 2017.

This next chart below shows our cycle analysis and how much bitcoin moved from our cycle bottoms to tops. We are now at NEARING a critical juncture of a $6000 breakdown which is clearly a support level, and a potential major cycle bottom or continuation down cycle. Huge money can be made from this extreme volatility that is about to unfold and savvy technical traders can see the profit potential unfolding.

We urge all traders to keep Cryptos in focus over the next few weeks and months. Our research team shares our proprietary analysis and research with our paid members regarding the Crypto currency trends and trades.

If you want to learn what we believe will be the next big move in the Crypto markets, then visit The Technical Traders to learn more. Our proprietary modeling systems are clearly showing us what we should expect over the next few weeks and months. As a member, you will have access to this research and benefit from our Daily Research Videos.

Chris Vermeulen