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While the price of bitcoins is approaching $ 10,000, the market is still showing signs of disbelief due to the speed and power with which Bitcoin has emerged from the depths of the bear market. Nobody expected the cryptographic asset to become so large after the longest bear market ever recorded.
The price targets set by crypto investors when the trough was reached – by mid-December – clearly show how crypto trading is unpredictable, as no one was asking Bitcoin to break $ 6,000 and to hit so quickly The door of $ 10,000.
Investors in crypto too confident completely miss their Bitcoin price target
The financial market cycles are all the same and, although it is an unparalleled emerging asset, Bitcoin has not been different and has shown the same highs and lows of trust. investors. The price of bitcoins rose sharply in 2017, forming a "bubble" spike that erupted, resulting in an 85% decline as a result of breaking the parabolic advance of crypto, resulting in the longest decline of the bear market.
Related reading | Why the next edition of the Bitcoin Bull Run could it eclipse the latest crypto bubble
During this period, the irrational exuberance, euphoria and hype quickly turned into anxiety, denial and, soon, into panic, while the price of Bitcoin and others cryptocurrencies fell faster than their initial rise. At a time when the market is bottom-up, anger, depression and fear are the strongest emotions. Investors are therefore reluctant to buy at prices that would otherwise be considered an ideal entry point. This feeling filled with fear has obscured the judgment of many, as shown by the volume profiles in this price action.
Also at that time, recently surrendered cryptocapital investors began to target well below the $ 3,150 Bitcoin threshold and were seeking prices around $ 2,000, some of which were $ 1,000 or less.
When we were at 3-4K, I do not remember having seen a prediction analysis or graph $ BTC having 8.9K + as target.
Go show that nobody knows what will happen next.
– Bagsy (@imBagsy) May 27, 2019
One person called for "three digits" for the rest of the year and not until 2020, by which time Bitcoin would break down into four digits. Instead, the cryptocurrency already targets five digits with a decisive breakout of $ 10,000, which is not impossible.
Overall, most investors have not seen Bitcoin exceed $ 6,000 anytime soon, and have certainly not claimed more than $ 8,000. Most have assumed that Bitcoin would not create a new bull market for at least a year. The whole recovery shocked investors in all areas, suggesting that the cryptography market is emerging from the phase of disbelief.
Related reading | Survey reveals most crypto investors see bitcoin prices in the range of $ 100,000 to $ 1 million over the long term
After unbelief, it is new hope, followed by optimism. After that, the bull market will help steer the crypto-currency price up again, and the cycle will again reach full euphoria.
Just as if the overly-low price targets were actually a buy signal, once the euphoria set in and investors began to talk about millions of BTCs, this could indicate that the top was on the way out. you and it was time to redo the whole cycle.
Selected image of Shutterstock
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