A Bitcoin Low
The most recent cover of Barron’s features a story about El Salvador’s difficulties since it adopted bitcoin as legal tender. This ominous story likely adds to the fears of bitcoin investors. Contrary opinion tells us that this is the type of news that occurs at lows.
For confirmation, we look at the price cycles. First, with only twelve years of data, September has been the most bearish month, up 39% of the time. The following two months have closed on the upside 66% of the time. Second, the dynamic monthly cycle has hit a low and price has responded to the upside. The 25,000 level appears to be a reasonable objective with 30,000 as a more intermediate-term target.