Potential H&S + Market insight

7 ביוני 2019

I'm bullish for the long term. After the golden cross, the trend changed bullish for me. The overall market direction is continued growth with volatile movement. We have a ton of growth occurring in both developments with blockchain platforms and market structure. In 2017, we have seen blockchain platforms issue tokens promising to deliver what Bitcoin cant. It's typical in the technical industry to over-promise and underdeliver, especially with those that have a lack of experience.

Short term:

• Head and shoulders could form which could cause the price to correct down to ~$6500 support area. This would be an acceptible situation considering market upswing after the golden cross. The past performance shows that Bitcoin often gravitates towards the 200 MA after a golden cross occurs.
  

Long term:

Looks like we are on the path for the next cycle of adoption.

• Security tokens platforms like Tzero are working with US legislature and its only a matter of time before visible progress will be made. In the background, their hands are tied due to the outdated laws which impact retail investors. One of those laws is the requirement to become an accredited investor to participate. Furthermore, the requirement to hold for 1-year lockup. I would expect new regulations to add a more relaxed tone for retail flexibility to participate.
  
  It's a good thing regulators are taking their time. After all, their goal is to help protect investors. Once the market matures to the state where investors have protections in place, the market will explode.
  
  Additionally, the continued legitimacy of crypto markets adds excitement to global trade. One shift that will occur is the ability to obtain a digital token prooving ownership of stocks. Most retail investors don't even know what a stock certificate looks like. Talk about a potential double spend issue. Retail investors will catch on and start demanding ownership proof of their stocks. This is where security tokens will shine.
  
  
• The Facebook token will have challenges without clear guidelines from regulators. I find it odd that others are not chatting about this. Soon they will. For instance, Facebook might find the need to perform a global rollout of new crypto related services. The bottleneck they most likely will experience is the vast array of governance policies between countries.
  
  Facebook will most likely accelerate favorable global governance.
  
  
• Mobile adoption is occurring, allowing unified global access. Most of us in the space fully understand wallet management. The issue is for the common everyday user, they need ease of use with protection. During this next adoption phase, expect refined user experiences. If you seek inspiration, take a look at Samsung, they already started with the latest release of the s10 lineup. Samsung made sure to include Blockchain support, native to the hardware. It's a matter of time before Facebook, Samsung, and more release crypto related services.
  
  
• Enterprise adoption is expected to grow with a massive swell of services that will end up proving Blockchain means business. New frameworks will mature to assist in enterprise adoption.
  
  
• Government and corporate debt matters. It seems realistic to assume that one day a global debt crisis will occur. Bitcoin could help alleviate world debt. In today's digital age, education is readily available and governments around the world know this; they will play as smart as possible and accumulate to prepare for their debt buyout.
  
  

I think it's clear that my view remains bullish for the long term. In the meantime, I plan to take advantage of swing trades following technical indicators.
Good luck to all!