This Bitcoin Wyckoff Pattern Says Massive Price Markup Is Coming Next
Bitcoin price is trading with resistance at the moment and it could be the last stop before massive price rally, according to a Wyckoff accumulation chart
Take a look at the shocking chart comparison below and learn more about the mechanics behind “Wyckoff logic.” In addition, you can find out what can happen next if the form is accurate.
Bitcoin price action mimics 9 month Wyckoff accumulation
The top cryptocurrency by market cap went from being declared dead after the FTX collapse, to suddenly showing signs of coming back to life.
Bitcoin price is up more than 60% from 2022 lows and around 50% so far this year. It has outperformed the stock market, gold and just about every other asset class in 2023.
The price increase may just be the beginning according to a Wyckoff accumulation pattern, which closely mimics the price action of Bitcoin since last June.
A fall of almost 50% per coin in June 2022 brought BTC to a potential “selling climax”. The support level held for some time, but was eventually swept into what Wyckoff theory refers to as a “spring”.
After spring, the asset accumulating should rise to resistance, and BTCUSD is doing just that. What happens next will confirm or invalidate the conditions for the form.
Is Bitcoin about to jump the creek? | BTCUSD on TradingView.com
What Happens After Crypto “Jumps The Creek?”
If the Bitcoin price continues to follow the form, what comes next? According to the Wyckoff theory, there are four phases in a market cycle: accumulation, markup, distribution, and markdown.
The mark up comes after an extended accumulation phase, which could cause BTCUSD to increase dramatically over a short period of time. But it must “jump the stream” only after pushing through the current resistance level.
The Wyckoff logic focuses on what the “composed man” does behind the scenes. The Composite Man is a representation of smart money and whales that control the underlying dynamics that drive market ups and downs.
The Composite man is particularly adept at disguising their movements and taking advantage of extremes in supply or demand. For example, smart money accumulates assets at the lowest prices and distributes them in the market with the highest profit.
The Bitcoin price will have spent nine full months in accumulation, if premiums follow. Considering how long BTC has been in an accumulation phase, the surge phase that follows could be massive. The last time BTCUSD spent this long in an accumulation area was 2015. Bitcoin rose from $160 per coin, to $20,000 when all was said and done. The cryptocurrency became a household name.
This time, Bitcoin’s current low was $16,000. A similar move would take the top cryptocurrency by market capitalization to nearly $200,000 per BTC. Such results are not likely again due to the law of diminishing returns, but a significant move is still possible.
According to this Wyckoff scheme, #Bitcoin is about ready to “jump the creek” after nearly nine months of accumulation. $BTCUSD pic.twitter.com/sR0mSWoums
— Tony “The Bull” (@tonythebullBTC) March 16, 2023
