Why Bitcoin Could Fall Lower From Here

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Bitcoin broke below critical support in the upper $13,000s this morning ($13,500 – $13,800) and is now sitting around $13k at the time of writing this. Bitcoin has consolidated around these levels for the majority of the past week and has found significant support there.

Steemit Post: steemit.com/bitcoin/@cryptovestor/why-bitcoin-could-fall-lower-from-here

Last time we broke below this level, Bitcoin bounced back at the lower $13,000s. This time, Bitcoin broke below $13k. As a result of this, I suspect the upper $13k levels will now act as substantial resistance which will be difficult to push past. Given these factors, I suspect it is more likely Bitcoin continues to the downside rather than upside in the short-term.

I forgot to mention in the video, but I will NOT be selling any Bitcoin. I might end up buying more if we continue lower, although I won’t at these current levels.

Furthermore, Ether has breached a critical resistance relative to Bitcoin at 5.5m Satoshi (0.055 BTC). I’ve stated for some time now that anywhere between 0.055 BTC to 0.06 BTC is a good area to shift some Ether into Bitcoin, with the next target being roughly 0.07 BTC. If Bitcoin tanks like it did before Christmas, I don’t expect this ETH/BTC to remain as high as it currently is. However, it is worth noting that Ether is holding its own relative to Bitcoin at the time of writing this.

On the topic of Bitcoin dominance, we’ve fallen below 40% mostly as the result of the bull run in Ripple. Altcoins have, in general, outperformed Bitcoin in the past week. I continue to be bullish on Bitcoin relative to altcoins, even moreso during dips like these, so if you would like to keep your exposure to the market, I continue to prefer Bitcoin and selectiveness with altcoins (rather than a basket-type approach).

What are your thoughts on the Bitcoin dip? Opportunity or trap? For now, I vote trap. Let me know what you think in the comments below.

P.S: None of my thoughts have anything to do with headlines for South Korea.

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If you like my content, you can support me through using ANY of the affiliate links below (I receive small compensation). The beauty of affiliate links is that I can pick and choose what I like rather than have companies approach me – everything I linked below (with the exception of Trezor since I like Ledger), I use myself frequently.
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My Recommended Hardware Wallets:

If you want to store your cryptocurrencies safely, the best way is through a hardware wallet. Seriously – look it up and you’ll find plenty of information supporting this claim. There are alternatives such as paper wallets, but these are convenient and my choice for cold storage (offline):

Ledger Nano S: http://amzn.to/2hZPj0q
Trezor: http://amzn.to/2AxD9TN
Ledger Blue (expensive): http://amzn.to/2hk7xst

I personally prefer the Ledger Nano S, but the Trezor is such a close second that it really doesn’t matter which one you go with. Ledger Blue is premium and convenient, but not necessary.
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My Favorite Book for Investing in Crypto:

Cryptoassets: http://amzn.to/2zKDdCF

This book is, bar none, my favorite book for investing in cryptocurrencies. It doesn’t bog you down with technical jargon, but instead focuses on all the elements you should understand before you invest.

It’s a comprehensive book for both beginners and experts. Beginners will find information about major cryptocurrencies (not just Bitcoin) as well as details on historical market events (that you can draw on for future) and events to watch for moving into the future. Experts will find the chapters on valuation particularly useful. For those of you involved in traditional investing, this book is even more of a godsend as finance info is explored (correlations with other asset classes, ETFs, etc).
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My Recommended Exchanges: Coinbase / GDAX / Bittrex

https://www.coinbase.com/join/5a08b12e305a1401d79d10e0

If you sign up to Coinbase using link above, you and I will both receive $10 each after you buy your first $100 of Bitcoin using Coinbase. Coinbase is much less intimidating for beginners. Once ready, move up to GDAX for cheaper or zero fees. For altcoins, I recommend Bittrex.
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None of what I provide in my videos is investment advice. Please do your own due diligence.
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Twitter: https://twitter.com/Truth_Investor
SteemIt: https://steemit.com/@cryptovestor
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Comments

    Crypto Investor

    (December 30, 2017 - 10:03 pm)

    What are your thoughts on the Bitcoin dip? Opportunity or trap? I will be hodl'ing, but think it is a trap and there will be a better opportunity. If you'd like to give me a piece of your mind for saying such blasphemous things, check out my Steemit: steemit.com/bitcoin/@cryptovestor/why-bitcoin-could-fall-lower-from-here. If you'd like to check out live updates from me, check out my Twitter: twitter.com/Truth_Investor.

    P.S: It's difficult to upload this while Bitcoin is bouncing back, but going to stick to my guns and upload anyway. No place for pansies here.

    Joe LeGo

    (December 30, 2017 - 10:03 pm)

    I think it has to do with year-end cashing out, and the Trump tax plan

    Andy Tracey

    (December 30, 2017 - 10:03 pm)

    also i no longer trade against BTC, its right when BTC is climbing , but dollar when its dropping back,, and the less dominance it retains, the less power over alts,,imho

    Andy Tracey

    (December 30, 2017 - 10:03 pm)

    my feeling is BTC, will go much lower its now realized ,its unusable to trade even ,in a pull back,, once BCH is listed on coinbase,, there is no reason to my mind that it will keep dominance,, for long ,,problem it drags market down with it,, thanks for vids great work,

    David P.

    (December 30, 2017 - 10:03 pm)

    If you are going to use coinmarketcap, you need to learn to hit the various graph time sizes so you're not struggling to demonstrate the beginning and end of a single month points in an "all" chart that covers several years. You seem to have this issue regularly.

    Kenneth Jones

    (December 30, 2017 - 10:03 pm)

    Nobody knows what’s gonna happen.

    Mark Drisch

    (December 30, 2017 - 10:03 pm)

    XRP is cancer. And it's the community that is causing this. Filthy banker coin.

    J Easting

    (December 30, 2017 - 10:03 pm)

    Relying on dominance is weak analysis. Dominance comparing 2 different coins at 1 timeline is relevant. Using dominance, when there is a million forks and a million ICOs demonstrates that a very weak understanding of the metric.

    Dominance is not a useful tool since the market has changed (forks + ICOs).

    LAUNDERS CSTRIKE

    (December 30, 2017 - 10:03 pm)

    since there are better coins, does bitcoin need to be the most expensive coin? or will that scare people too much to see cryptos without high btc dominance?

    Remus

    (December 30, 2017 - 10:03 pm)

    This would not surprise me as 40 usd for a transaction …. what a bullshit.
    It very surprises me that it kept so high that long. People buying this as it is a gold. But it is not.
    I hope Bittrex will switch to dollars as main currency.

    ABC Kids

    (December 30, 2017 - 10:03 pm)

    You said " if we close on the day…". But Bitcoin is 24 hours a day bro. It doesn't close.

    Effect Six

    (December 30, 2017 - 10:03 pm)

    4k in 4 weeka

    videos4mydad

    (December 30, 2017 - 10:03 pm)

    Would you use a Credit Card that costs $20 per transaction? How about use a bank that charges you $30 to talk to a teller? If you answered No, then why on earth would anyone use BTC when the fee is $20 to use it? BTC is a broken currency because it costs a lot to use. I won't buy a currency that I would not want to use. That's why I believe in Bitcoin Cash (BCH) – it has next to free transactions.

    Fourteen Eighty Eight

    (December 30, 2017 - 10:03 pm)

    January 2017 it dipped 20% then returned by February.

    FongTactical

    (December 30, 2017 - 10:03 pm)

    Nice analysis you have very good game theory in crypto.

    Liynkx

    (December 30, 2017 - 10:03 pm)

    Damn I banked on it breaking upward and bought some just under 14K, looks like Ill be hodling for a while. Honestly though I feel like Bitcoin is becoming obsolete quickly to innovative alts. I only bought back in because I do beleive it will retain value based on its grandfather status.

    Kveets

    (December 30, 2017 - 10:03 pm)

    Why you so sure that bitcoin dominance will go up again? Nothing unique in technology at this point and may be even behind in anonymity or regulations conformity. It may loose part of market to currencies that will be supported by goverment (world elite) like ripple. It may loose part of market to more anonymous currencies. Bill Gates predicted bitcoin will loose its dominance eventualy.

    BRWfilms

    (December 30, 2017 - 10:03 pm)

    Dang man i just bought some at $13220

    Antonio Margaretti

    (December 30, 2017 - 10:03 pm)

    Nonsense again ether is going higher. Selling ether is disaster

    soldaderyan

    (December 30, 2017 - 10:03 pm)

    why is nobody talking about btc having just 38% of the market. one month ago btc had 64%!

    Ayerborne

    (December 30, 2017 - 10:03 pm)

    Ever since i started do the opposite of what you said ive started making serious gains. Thanks for the update.

    bao haus

    (December 30, 2017 - 10:03 pm)

    How far will it fall before I jump in before it rise again?

    LynxLead

    (December 30, 2017 - 10:03 pm)

    well… what should i do?
    i bought at all time high

    Katrina L

    (December 30, 2017 - 10:03 pm)

    >inb4 the mainstream cryptocurrency is one that is centralized

    IRON MAN

    (December 30, 2017 - 10:03 pm)

    So what happened with segwit2x?

    Rob Hutchins

    (December 30, 2017 - 10:03 pm)

    Check that out of your interests you can also do like a lot of people, and go live on YouTube.

    Randal Ribeiro

    (December 30, 2017 - 10:03 pm)

    Bitcoin is in trouble, investors are cashing out and pumping money into ripple, it's easier for ripple to go up 2/300% in the short term than Bitcoin to do that. Ripple will also take Stellar with it.

    Chris Allott

    (December 30, 2017 - 10:03 pm)

    I appreciate the videos and your honest analysis. The only negative (imo) with videos like these are inexperienced people see FUD and want to run for the hills, and then do. On the one hand your helping to shake the weak hands and scare the newbies into being a bit smarter with their money. A good thing i think. On the other this video will be around for much much longer than it will be relevent, and could help deter people (in some small way) from wanting to own BTC. Either way great job, keep the videos coming, keep being honest.

    JETI BINKS

    (December 30, 2017 - 10:03 pm)

    I hope to see BitCoin @ the 99cent store…

    JesusChrist5000

    (December 30, 2017 - 10:03 pm)

    it looks like it could go as low as $8500 before going back up

    someguyperson6

    (December 30, 2017 - 10:03 pm)

    Look into ADA, gone up quite a bit in 24 hours

    What Da Hack?!

    (December 30, 2017 - 10:03 pm)

    Hey, since you are using STEEM, what do you think about the project in general as an investment option?

    Denis Ryabich

    (December 30, 2017 - 10:03 pm)

    jesus dude, start using tradingview, please

    Brendon Wolfel

    (December 30, 2017 - 10:03 pm)

    Since when did Bitcoin ever close for the day?

    mgrn63

    (December 30, 2017 - 10:03 pm)

    I don't understand how people could buy into bitcoin without the use technicals and charting; wait yes I understand its called greed!

    Takanami

    (December 30, 2017 - 10:03 pm)

    Great tip on the head and Gemini arbitrage

    Joe Rasmussen

    (December 30, 2017 - 10:03 pm)

    I tried to sign up for steemit 3 days ago, but they have not confirmed my account: May I ask as a "newb" who accidentally invested in bitcoin quite some time ago for the fun of it. I do not intend to invest any more money. BUT keeping "fiat on the side", what do you mean by this? Would you sell off a certain percentage of your btc for usd on an exchange? Or does it mean to sell btc on i.e. coinbase? Or did you mean sth else? Thanks for elaborating 🙂
    /regards, Joe

    Diogo Coelho

    (December 30, 2017 - 10:03 pm)

    please make some videos about ALT coins like TRX, POE, LAND and SALTs evolution. Thank you for your efforts

    immortals44

    (December 30, 2017 - 10:03 pm)

    Buy the dips; if it goes down you are happy, if it goes up you are happy too

    Vag Pan

    (December 30, 2017 - 10:03 pm)

    Why everyone ignoring me? if i sell my btc -> fiat, is there any way to store my funds in the exchange balance without transfer them into my bank account? Is there any exchange that can do that?

    Nolan

    (December 30, 2017 - 10:03 pm)

    Thanks for your technical analysis

    Andy Raman

    (December 30, 2017 - 10:03 pm)

    Hodl time

    Funny Cat

    (December 30, 2017 - 10:03 pm)

    Bitcoin is game. Trust me.

    Winston Smith

    (December 30, 2017 - 10:03 pm)

    Big investors in Bitcoin futures market is responsible. It all started with the coinbase BCH scandal.

    4444 1313

    (December 30, 2017 - 10:03 pm)

    Still people lookIng for their entry

    hannieguy

    (December 30, 2017 - 10:03 pm)

    Who else sets the playspeed of the video at 1,5? I just did it and found it way better. Love the video's!

    9to5Gamer

    (December 30, 2017 - 10:03 pm)

    Guys I started with $500 and turned it into $2273 in the last week just by buying and selling based on the guidelines in this group; You should really join; It's free but invite only; You can get in here https://discord.gg/CpEmskE

    Martin Carter

    (December 30, 2017 - 10:03 pm)

    The ripple dump back to btc is on

    demarcation

    (December 30, 2017 - 10:03 pm)

    You are saying nothing. Talk a lot but saying nothing. No advise no nothing. Get off the internet.

    Tube-Bit ManChild

    (December 30, 2017 - 10:03 pm)

    XRP me Ripple 2018

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