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Though I'm an avowed Bitcoin enthusiast, I expect the asset needs to take a pause and is due for a further correction. Why? Because that's how ALL assets move, based on the underlying human psychology behind them. I expect Bitcoin to drop to $70,000 over the next month.
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Look at the following chart. When Bitcoin breached its wave at $90,000, I predicted it would make a minimum drop to $79,463, based on Fibonacci mirroring. This is precisely where Bitcoin bounced, and its recovered somewhat back up to 82,500. My technical analysis now calls for a drop do $71,000 level. This represents a penny - perfect 38% retracement from a long term major Elliott Wave pattern (not shown here). This is the most common retracement for financial assets, with 68% and 50% corrections being far less common.
I hold Bitcoin for myself and my customers. I am not selling. However I am hedging the accounts with an option trade. For every $140 I put at risk, I stand to gain $600 if Bitcoin drops to this level. Those are odds I like.
If you have an options account, and are set up to do defined risk trades, you can find out how I accomplish this for $25. I hope to see you in the chatroom.
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