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Bitcoin Crashes. You’ll Be Surprised To Hear What’s Next

By Chris VermeulenCryptocurrencySep 04, 2020 03:41PM ET
www.investing.com/analysis/bitcoin-down-almost-10-today-youll-be-surprised-to-hear-whats-next-200536384
Bitcoin Crashes. You’ll Be Surprised To Hear What’s Next
By Chris Vermeulen   |  Sep 04, 2020 03:41PM ET
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RESEARCH HIGHLIGHTS:

  • Bitcoin collapsed near Triple Fib Amplitude Arcs – is this a sign of pending reversal for other assets?
  • It is very likely that Bitcoin price levels will fall below the May through July levels, near $9k in an attempt to identify new support levels. The $8k level would be the next downside price target. Beyond that, possibly $7k or even $6k.
  • Gold and Silver will move lower before going higher as a potential price collapse in Bitcoin suggests general market fear is hitting all global assets.
  • As other assets decline in valuation levels, the US dollar will likely be viewed as the strongest currency to own and rise.

Many of you are familiar with my team’s advanced study of Fibonacci Price Theory and our use of our proprietary Fibonacci Price Amplitude Arc indicators. This technical analysis theory is a combination of Nikola Tesla’s Mechanical Resonance theory and the traditional Fibonacci Price Theory. We believe the innate frequency of price action (once found), can be used to identify future critical inflection points in price. In this case with Bitcoin, three unique Fibonacci Price Amplitude Arcs aligned within 5 days to present a very real price inflection point. The recent collapse in the price of Bitcoin may be inherently related to the frequency of price from past peaks and troughs using our advanced Fibonacci Price Theory.

We found it interesting that Bitcoin prices stayed below $10k through most of June and July, when other Fibonacci Price Amplitude Arcs crossed price, then began to move higher after the last Price Amplitude Arc completed near July 20, 2020. After that Fibonacci Arc completed, the only Fibonacci Price Amplitude Arcs present in the future were the Triple Fibonacci Arcs shown on this Daily Bitcoin chart (below).

Our team also believes that once Bitcoin cleared the previous Fibonacci Arcs, a bit of a “reprieve” took place in price where a moderate upside price rally too place. As we neared the Triple Fibonacci Arcs, price activity muted and reversed. Could it be that price reacts to frequency levels we are not seeing on the charts?

Bitcoin Daily Chart
Bitcoin Daily Chart

The Weekly BitCoin chart, below, highlights many of the origination points (peaks and troughs) of the Fibonacci Price Amplitude Arcs. We anchor them to price peaks or troughs as a way to use and study them, measuring critical price waves (up or down) using Eclipse drawing tools, then drag them and anchor them to current or past peaks or troughs. Then we study the levels to determine if the frequency of price validity is accurate or not. If we believe we have drawn a Fibonacci Price Amplitude Arc that is valid, we’ll keep in on the chart for future reference.

Bitcoin Weekly Chart
Bitcoin Weekly Chart

We believe this current Triple Fibonacci Arc pattern may be present in other symbols given how the US stock markets have reversed recently. It may be that these critical price inflection points operate across major indexes like tides in the ocean work across multiple ports and harbors. When a big or critical Fibonacci Price Amplitude Arc hits, we believe it results in a broad market reaction.

If this breakdown in Bitcoin Continues, the $8k level would be the next downside price target. Beyond that, possibly $7k and maybe as low as $6k. We will have to see how Bitcoin reacts to this Triple Fibonacci Price Amplitude Arc and how deep price corrects at this time. It is very likely that Bitcoin price levels will fall below the May through July levels, near $9k in an attempt to identify new support levels.

We also believe Gold and Silver will move lower as a price collapse in Bitcoin suggests the general market fear is hitting all global assets. The US dollar may attempt to form support as well because of this move. As other assets decline in valuation levels, some primary currency will likely be viewed as the strongest alternative asset – this will likely be the US dollar. Eventually, after what we believe could be a moderate downtrend in Gold and Silver, precious metals will begin to move dramatically higher as foreign currency and Bitcoin prices continue to fall. Capital will always seek out the best, least risky, investment solutions at times of chaos and risk. If Bitcoin becomes highly volatile and continues to fall, then alternate assets present very real opportunities.

Bitcoin Crashes. You’ll Be Surprised To Hear What’s Next
 

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Bitcoin Crashes. You’ll Be Surprised To Hear What’s Next

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Comments (25)
Jack Seeley
Jack Seeley Jul 22, 2021 4:18AM ET
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I think Chris is dead on in his prognostications!!
Ricardo Diogo
rcd72 Jul 20, 2021 5:59PM ET
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FED free 💰 for the wealthy people has done great job to support...... speculation!!.
Charles Barnes
Charles Barnes Jul 18, 2021 10:35PM ET
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Showboating fool
Hsiang Yin
Hsiang Yin Jul 06, 2021 7:54AM ET
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And look where we are now... seriously, who ever mamaged ti predict Bitcoin price target correctly!?
Steves View
Steves View May 13, 2021 7:07AM ET
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Sept 2020 projection. No one could of seen how fast this was going to rise.  so give it a rest .
Ty Phoon
Ty Phoon May 09, 2021 11:41PM ET
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As of this writing, Bitcoin is at $58,000+ and Ethereum is at $4,000+.    Chris Vermeulen, you the bomb, as in you really bombed.
Ty Phoon
Ty Phoon May 09, 2021 11:40PM ET
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As of this writing, Bitcoin is at $58,000+ and Ethereum is at $4,000+.    Chris Vermeulen, you the bomb, as in you really bombed.
Saad Anabtawi
Saad Anabtawi Apr 12, 2021 12:50AM ET
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this article didn't age well
Stephen Be
Stephen Be Mar 23, 2021 8:27AM ET
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Since WHEN? When is IMAGINARY CURRENCY more valuable than the FIAT PAPER backed by the Fuller faith and credit of  a stable government?
Jonathon Gray
Jonathon Gray Feb 21, 2021 7:54PM ET
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This article shows how you can be completely wrong about "every single thing in one single article." Wow. I followed this guy, but really more as a contrarian. So bad. Wrong about everything he wrote about. I am really stunned. It takes a lot of skill to be "completely wrong about 50 things at once." This guy is amazing. Really amazing. I will follow and do the opposite and make a *** Amazing.
edoardo edojad
edoardo edojad Feb 21, 2021 7:54PM ET
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insane.. and this is only one example.. never trust these "technical analyses"
Forever Broke
Forever Broke Feb 19, 2021 3:30AM ET
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No.
Freeload Twentytwenty
Freeload Twentytwenty Feb 16, 2021 3:46AM ET
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It's going above 50k you bozo.
Stephen Be
Stephen Be Feb 16, 2021 3:46AM ET
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So today, @ $150K per FAKE COIN....is it worth ANYTHING anywhere other than your imagination?
ATUL BARIDE
SecondWise Sep 08, 2020 4:36PM ET
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It's a garden variety crash else, it's rush is 2 trap door
Joshhua Ray
Joshhua Ray Sep 07, 2020 1:35AM ET
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price rally "k" place.
Øystein Vegem
Øystein Vegem Sep 06, 2020 4:40PM ET
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someting gonne happen in US and banking now
Adam Horton
Adam Horton Sep 06, 2020 12:14AM ET
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Everybody is holding over a 3-day weekend. Friday afternoons are always the worst time to sell. In addition, Crypto always has random huge upticks on most weekends after the market closes. The gentleman who wrote the article may be well versed and have credentials, but if he wants to drop Fibonacci Price Amplitude Arcs.
Stephen Be
Stephen Be Sep 06, 2020 12:14AM ET
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Better odds on a slot machine.
Beth Vang
Beth Vang Sep 05, 2020 9:07AM ET
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what comes down must go up
Joshhua Ray
Joshhua Ray Sep 05, 2020 9:07AM ET
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what goes out must come in? 😹🧶
Tom Jones
Tom Jones Sep 05, 2020 9:07AM ET
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What moves higher quickly moves down even more quickly?
indiacharts Rohit Srivastava
indiacharts Rohit Srivastava Sep 04, 2020 8:24PM ET
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Bitcoin has completed a 2 year long distribution pattern. It's going back to 4500 to start with near the trendline of the lows
Amy Carbob
Amy Carbob Sep 04, 2020 8:24PM ET
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I think you are right
Aurora Purgal
Aurora Purgal Sep 04, 2020 8:24PM ET
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Pls elaborate
Paul Barron
Paul Barron Sep 04, 2020 7:58PM ET
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Well explained!!! Good article. It don’t hurt that i agree also. The start to the upside will be a massive drop in the dollar caused by terrible economic news and a huge (2trillion + ) spending and printing of money.
fenix project
fenix project Sep 04, 2020 10:37AM ET
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i don't understand feed prints toons of Dollars bills, and you believe that Dollar is more strong that Gold or Bitcoin...really you are or crazy or someone paid your words
Rodolfo Barraco
Rodolfo Barraco Sep 04, 2020 10:37AM ET
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When there is volatility or a sell off people sells and raises cash. Is obvious, plus wether we like it or not, dollar remains the world reserve even more than gold (until now) prepeare tu buy the last true dip in metals. We go to the moon!
Andrew carson
Andrew carson Sep 04, 2020 9:49AM ET
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Bitcoin isn't gold and it is not to be trusted in my opinion.
Jonathan Schrier
Jonathan Schrier Sep 04, 2020 9:49AM ET
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Don't trust it but do own it. Small amount at this point would go a long way if the concept does get adopted. In theory it is better in almost every way to to gold, the only thing it lacks is history
Din Joekhannaz
Din Joekhannaz Sep 04, 2020 9:49AM ET
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some people trust bitcoin. thats y it has value...
Camaro Camero
Camaro Sep 04, 2020 4:50AM ET
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Excellent article as always! That's why I signed up for his alerts. This man knows what he is talking about. I believe we are experiencing a cyclical shift back towards ENERGY. People have now seen how quickly they can lose money in TECH and will be seeking something has already neared bottom and has a tremendous future upside by next year. I already made the switch a month ago. I hope this makes sense as I have only been awake 15 minutes lol.
Fabio falec
falec Sep 04, 2020 4:50AM ET
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Before taking a strrong position in one sector, I would wait for the overall market to find a position first. I am afraid that we'll see Money Printing beyond human immagination.
Edward Chong
Edward Chong Sep 04, 2020 4:50AM ET
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u are the only guy i know that praise him. u are really very very kind.
Chris Sundo
Chris Sundo Sep 04, 2020 4:50AM ET
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Fabio falec  -- yeah. under trump the usd goes belly up
Abdelraziq Abuaisha
Abdelraziq Abuaisha Sep 04, 2020 4:38AM ET
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At previous market crash we saw dollar becoming strong, at the current market the dollar is being enormously printed; the dollar itself is weak. I see gold and silver at very strong support, as they have improved they are the most stable with the highest potential as hedge against global risks. At this market crash I see that gold and silver will continue to rise, all other assets will fall.
Fabio falec
falec Sep 04, 2020 4:38AM ET
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US Gov Bonds will go up.
fufanuu jones
fufanuu jones Sep 04, 2020 4:38AM ET
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Fabio falec why would i buy gov bonds of something that's dieing? LOL Long ETH, Long YFI.
Raj Patel
Raj Patel Sep 04, 2020 4:38AM ET
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Fabio falec  Not when the world liquidates their holdings like the Chinese are reducing theirs to **** Only getting worse. Yields will spike.
Fabio falec
falec Sep 04, 2020 4:38AM ET
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fufanuu jones  What a great hedge your ETH (tumbling a wooping 15% as I am writing). With regards to US GOV Bonds, I mentioned them because they have a -34% correlation with US Equities, and they are used not to make money, but to preserve capital (in the short term). If things will turn bad, I have already started to convert my gold ETF in Physical gold. In such a scenario, I will trust only gold and silver. Crypto is speculative, based on thin air and it can be stopped by governments (IMHO).
vipul makani
vipul makani Sep 04, 2020 4:13AM ET
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Chris please stop your wrong calls. You have been wrong. Good you are not trading expert , just posting expert
Ray MJ Egan
RMJE Sep 04, 2020 4:13AM ET
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It’s not a call he’s giving, it’s an opinion and only that. There is no obligation to buy or sell, it’s up to you to make a decision to invest based on all of the available evidence you have at your disposal. If the article is not to your likely, simply omit it from your thinking but let’s leave the trolling for twitter or FB. For me it was informative and worth some more investigation 👍
vipul makani
vipul makani Sep 04, 2020 4:13AM ET
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His opinion as you say are not from facts , his adaptive modeling is some proprietary stuff like Bernie mad off. His opinion are not fact different and readers like me could easily loose money considering it’s professional opinion.
Ray MJ Egan
RMJE Sep 04, 2020 4:13AM ET
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vipul makani so dont use it in your decision making process. Its within your gift to decide - you can do this without being a troll. If your that worried about loosing your money, BC may not be the ideal investment choice, may i suggest your local post office and open a savings account.
vipul makani
vipul makani Sep 04, 2020 4:13AM ET
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It’s my opinion from reading his opinion that his opinion are worthless and everyone should know that don’t take his opinion in to consideration as you suggested to me
Chris Sundo
Chris Sundo Sep 04, 2020 4:13AM ET
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vipul makani  -- I agree from past experience paying for his trading advice .. In 2016 March to June he kept drawing a convex arc in his videos and suggesting market is coming down, so i kept going short to prepare for the decline, but market kept going up and up. Every video he made he showed this convex arc .. as if he was addicted to the move. Needless to say I kept losing money. He likes to go the opposite way of the trend more often than normal.
Paolo Bertozzi
Paolo Bertozzi Sep 04, 2020 4:00AM ET
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knowing that maybe pm will not go lower at all...why sell something known for its strong potential?
Camaro Camero
Camaro Sep 04, 2020 4:00AM ET
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Not sure that many people will want to hold over a three day weekend with the way the market acted yesterday. Yet, somehow it will finish GREEN. ;)
 
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