Business As Usual For Crypto!📉📈

Bitcoin and altcoins pullback, is the bull market over or will we see further upside?

Dec 09, 2024

Hey Thinkers 💡

Market Pullback: Should You Be Worried?

After a parabolic run-up, the crypto market is experiencing a much-needed healthy pullback. In the past hour, over $935 Million in liquidations occurred, triggering fear and uncertainty among some traders. But let’s be clear—this is not the end of the bull market.

Markets don’t move up in straight lines. Instead, we see periodic pullbacks as leverage resets and support levels are tested. These corrections are normal and healthy, especially following Bitcoin's surge past $100,000.

📉 Is the Bull Market Over? No!

Here’s why the top is not in and why this pullback is simply part of the bull market process.

1️⃣ Bitcoin: Pi Cycle Top Indicator

The Pi Cycle Top Indicator, which has successfully called the tops of previous bull cycles, has not flashed.
In fact, we are still far from the signal that typically accompanies a market peak.

2️⃣ The CBBI Bitcoin Index

The CBBI (Crypto Bull and Bear Index) score currently sits at 81, well below the critical 98-100 range that signals a market top.
Previous cycle tops hit a score of 98-100 before seeing major corrections.

3️⃣ Bitcoin Monthly RSI

The Monthly Relative Strength Index (RSI) hit 90+ during the 2017 and 2021 tops.
Currently, the RSI sits at 76, indicating that the market still has room to run.

4️⃣ Bitcoin Yearly Candles

On a yearly chart, Bitcoin's candles are tracking similarly to previous cycles.
Historically, Bitcoin sees at least one final year of bullish movement before a cycle peak occurs.

5️⃣ Whale Accumulation Continues

Bitcoin whales (wallets with 10+ BTC) are increasing their holdings during this pullback.
Exchange supply is also on the decline, signaling fewer sellers and stronger HODLing behavior.

These metrics suggest that the top is not in, and the market has room to run as long-term investors and whales continue to buy the dip.

📉 Key Levels to Watch for Bitcoin

Support at $80K: Bitcoin could pull back to $80K as a healthy reset before heading for a new all-time high. It doesn’t necessarily have to do this, it could make a higher run before we see a deeper pullback.
Resistance at $100K: If Bitcoin reclaims $100K, we could see a quick push toward the $120K-$150K range.

Bitcoin’s bull market structure remains intact, and the pullback offers an opportunity for savvy investors to accumulate at lower prices.

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