Understand Market Psychology (Nasdaq and Bitcoin parallelism)
Lots of skepticism and bearishness in the market.
Explained by using Nasdaq Chart.
It is evident that we are witnessing history repeats over and over again.
Everytime and asset class is about to "retest" its prior all time high and about to break it, there is a lot of skepticism.
Because of past history and memory, people still remember that they burnt and lost a lot of money during previous bubbles.
In the case of technology stocks and Nasdaq, people still vividly remember the 2000 Dot Com Bubble.
That's why it keeps climbing a wall of worry and skepticism.
Even after Nasdaq broke its all time high, people are very skeptic because they still remember Dot Com Bubble of 2000.
But they forgot that Nasdaq went up almost 20x from 1980 to 2000.
Similar experiences were there in the 1980-1982 where people were very skeptic about the stock market after a period of doing nothing in 70's.
Its the same cycle repeating again.
If you overlay Bitcoin chart, its the same thing. People will not be as bullish as 2017 because they still remembered they bubble bursting 2 years ago.
Therefore, Bitcoin will keep climbing "wall of worry".
I believe that normal retails or mom and pops will not come into the market until much later.
Let's see.
In the meantime, outsourcing your emotions and tradings/investing to bots or a.i that only acts only pattern and manage their risk properly are the best best.
Regards.
Explained by using Nasdaq Chart.
It is evident that we are witnessing history repeats over and over again.
Everytime and asset class is about to "retest" its prior all time high and about to break it, there is a lot of skepticism.
Because of past history and memory, people still remember that they burnt and lost a lot of money during previous bubbles.
In the case of technology stocks and Nasdaq, people still vividly remember the 2000 Dot Com Bubble.
That's why it keeps climbing a wall of worry and skepticism.
Even after Nasdaq broke its all time high, people are very skeptic because they still remember Dot Com Bubble of 2000.
But they forgot that Nasdaq went up almost 20x from 1980 to 2000.
Similar experiences were there in the 1980-1982 where people were very skeptic about the stock market after a period of doing nothing in 70's.
Its the same cycle repeating again.
If you overlay Bitcoin chart, its the same thing. People will not be as bullish as 2017 because they still remembered they bubble bursting 2 years ago.
Therefore, Bitcoin will keep climbing "wall of worry".
I believe that normal retails or mom and pops will not come into the market until much later.
Let's see.
In the meantime, outsourcing your emotions and tradings/investing to bots or a.i that only acts only pattern and manage their risk properly are the best best.
Regards.