The tremendous crash in the price of Bitcoin, which amount to about $16,000 in a trading week, could not be of great impact to the long-term bullish run of the leading asset in the crypto market but rather could be an affirmation and stepping stone for the price of the asset as suggested by PlanB, the creator of the famous S2F model. He analyzed that the major digital asset could be in the mid-point of its bullish run.
Market Doesn’t Move in a Straight Line
Looking at the charts on a macro scale, it is safe to draw a conclusion that BTC started its bull run back in October last year. A strong confirmation for this fact comes from the green closing of six consecutive months from a price below $14,000 in October to about $60,000 in March.
The month of April, however, became very historical in the asset’s bull run, and it became obvious about a week ago. This is all thanks to the hype generated from the public listing of Coinbase on NASDAQ, which made BTC rose tremendously to a new ATH of $65,000.
However, there was a crashing last Sunday where a drop of about $9,500 took the price to a 3-week low. On Friday, it was not all well with BTC as another crash gave it another beatdown which made the price plummeted to a price less than $50,000, where it is consolidating for now.
PlanB, known for his famous S2F model in the community, said the conclusion of this new development is that “Nothing (not even market) goes up in a straight line.” Moreover, he is sure that this current drawback in the price of the asset would be a precedent to another massive move.
Would this Drawback be a Stop at the Middle?
Based on the Graph plotted by PlanB, there was a similar steep fall that serves as price correction in the last massive bull run (first after 2013 after the halving and 2017 after the second halving). The retracements happened about the same time as this current one.
With this price correction, BTC could be on its way to the S2F model target. The Model cited the different phases that the asset has gone through since 2009. The end of the run could see the price of BTC hitting $288,000.