In recent weeks, Bitcoin has killed bears and non-believers. On Tuesday, bitcoin printed a new high in 2020 of $ 8,903.20. The innovative strength of cryptocurrencies is exciting many retail investors.
The atmosphere of ecstasy probably made Alex Kruger measure the feelings of the community. Merchants and economists conducted a survey asking Crypto Twitter what they thought would be higher in 2020 for BTC.
The results show that Crypto Twitter feels extremely expensive. That is bad news for bitcoin.
Almost half of the survey participants believe that Bitcoin will be divided from $ 20,000 this year
Kruger recently conducted a survey with more than 4,000 participants. The results showed that 47.1% believed that Bitcoin would trade more than $ 20,000 this year. Almost 30% think that the currency will be settled between $ 14,000 and $ 19,999. The remaining 25% said the cryptocurrency would be quoted at $ 13,999 or less.
What will be the high of the year for $ BTC?
– Alex Krüger (@krugermacro) January 14, 2020
The survey found that almost 75% of participants believed that Bitcoin would print an increase of more than 100% this year. Almost half saw cryptocurrencies skyrocketed by more than 180%. These are extremely growing predictions, even true to the nature of bitcoin. The results tell us that it is wise to take an opposite position.
The wisdom of the crowds is rarely true
When it comes to investing, wisdom in the flock is often wrong. This is especially true for bitcoin. Digital assets tend to fool the crowd and burn retail investors.
We saw that this happened in the bull market in 2017. Many retail investors jumped when Bitcoin reached a peak of around $ 20,000. Countless orders were annihilated when the cryptocurrency entered a vicious bear market.
This happened again in December 2018. At that time, bitcoin was trading at $ 3,000. Many anticipate a sharp drop to $ 1,800 in social networks. What did the cryptocurrency do? Leave unbelievers behind when you shoot at a maximum of 2019 of $ 14,000.
These examples show great caution when looking at the other side of the coin. Being attracted to the flock is a bad business strategy.
The next few days may decide the fate of Bitcoin this year.
The main cryptocurrencies have gained momentum to obtain significant profits this year. Bulls must continue to accelerate their attack. If not, bears can be caught quickly.
According to Todd Butterfield, owner of the Wyckoff Stock Market Institute.
If we can add yesterday's profits and then expand them, I think we have a start in the bull market. But if we start giving up the winnings, then all bets are canceled. So the next few days are very important.
On the other hand, the theorist of the liquidity game Majin believes that Bitcoin will correct. The merchant told CCN:
I suspect this rally collapsed again at $ 7,000 soon. After that, start from 4,000 to 5,000 dollars.
The biggest CT cow is painting a nightmare image. Given the extremely bullish sentiment, it would not be surprising if Bitcoin withdrew. I guess we'll see it in the next few days.