Critics and fans alike are constantly making calls for a floor in Bitcoin and other cryptocurrencies. But finding a long-term bottom means understanding the circumstances that must take place before a new, lasting bull market can truly begin – and very few investors can actually identify these circumstances.
Wealth Research Group knows one cryptocurrency maven who can shed some light on what the end of the Bitcoin bear market will look like: Doc Severson, co-founder of ReadySetCrypto.com and author of Hacking the Holy Grail: The Trader’s Guide to Cracking the Code of Profitability – and we were fortunate enough to speak with Mr. Severson about this.
Doc’s specialty is taking difficult concepts and simplifying them so that anyone can apply them in order to get an edge in the financial markets. Since 2005, Mr. Severson has been a highly sought-out specialist in multiple time-frame trading systems, “fractal energy” trading, trader mind-set and trader psychology applications, and trader performance enhancement across all markets: stocks, options, futures, and cryptocurrencies.
At ReadySetCrypto.com, Doc, empowers people at all skill levels to become successful cryptocurrency traders. Through fundamental analysis, security assistance, and trade ideas, ReadySetCrypto.com guides investors away from bad advice and danger while teaching the necessary skills to seize the incredible opportunities in the cryptocurrency markets.
Courtesy: Doc Severson
Wealth Research Group sought Mr. Severson’s view on the meteoric rise and fall of Bitcoin that we saw in 2017 and 2018. According to Doc Severson, he had cautioned people about the parabolic move in Bitcoin at the end of 2017, and just like we’ve seen in other markets, a retracement after this type of move was to be expected.
Going forward, according to Doc Severson, the Bitcoin market is going to be very challenging for dip buyers; for investors who are averaging down, they’re going to be continuing to average down until Bitcoin finds a floor.
Doc believes that in 2019, at some point we are going to see a capitulation in Bitcoin. According to Doc Severson, this will be the time when the majority of people will completely give up on cryptocurrency. The folks who bought Bitcoin in 2017 simply won’t be able to tolerate the pain of capital loss anymore.
Thus, according to Doc Severson, what we’ll see is a collective “trap door” open up: people will stop talking about cryptocurrency, they’ll fold their hand, and they’ll sell out at the bottom – which is what retail traders and investors always do.
Courtesy: Doc Severson
After that capitulation, there will probably be six to nine months of base building in Bitcoin, according to Doc Severson. And there will be some huge swings in there, including head-fakes to the upside that will trick people into thinking it’s the new bull rally, just to get new buyers in and push them right back down.
But that’s the process of base building: rallies that get knocked back down. For cryptocurrency traders who know how to play both the long and short sides of the trade, 2019 will be a fantastic opportunity, according to Doc Severson.
For people who simply “HODL” (hold on for dear life) or buy the dip, 2019 will be a frustrating year, according to Doc Severson. We have to remember the important principle: you can’t trade the market that you want, but only the market that you actually have in front of you.
Wealth Research Group’s conversation with Doc Severson is timely and loaded with useful information, so be sure to check out our full interview. While you’re at it, make sure that you visit ReadySetCrypto.com and get yourself a copy of Hacking the Holy Grail: The Trader’s Guide to Cracking the Code of Profitability.
There’s also a ton of information and analysis at your fingertips in Wealth Research Group’s fantastic selection of financial reports, which include our report on the must-own blockchain pioneer company stock right now, our report revealing how a premier cryptocurrency expert cracked the code of Bitcoin price prediction, along with my Personal Treasure Trove where I reveal the top trades that I’m making right now.