In a previous post (here) I explained why I thought Bitcoin (BTC) violated the laws of physics and that it would crash. A few people told me that my view that BTC should be valued at less $100 was wildly bearish and crazy. Maybe that is true, but I stick to my $6-60 US target. A more reasonable target if BTC was a business would be $1000-2000 US, but since there are no earnings or revenues I think that it drops to a multiple of its of its marginal cost to produce.
I believe the crash has started and that a bear market has begun. Bear markets often test the break out level.
The above chart resembles the Kindleberger-Minsky Bubble chart. The KM Bubble chart is smoothed so it does not have point 3 and 4, but Bitcoin is following it very closely.
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