Indicators showing Bitcoin's uptrend could be interrupted by a major correction

Although the longer-term indicators point to the beginning of a bullish trend that could take BTC to new all-time highs, the shorter-term timeframes indicate a Bitcoin correction is overdue.

Since the low of December 2018 when Bitcoin was trading at $3,130, BTC experienced a strong upswing that has taken its price to almost $14,000, leading investors to believe that a parabolic phase has started.

In the macro-perspective Bitcoin looks bullish, even though institutional investors have not formally entered the market.

The last time the Parabolic SAR signaled a trend change from bearish to bullish was in June 2016 and was followed by a 3,700 percent rally that ended in the all-time high of December 2017.Nonetheless, in the micro-perspective, it seems like Bitcoin is due for a major correction.

If the bullish trend continues and Bitcoin moves above the 16.18 percent Fibonacci, Alex Krüger, believes that the next levels of resistance this cryptocurrency will have to break are around $13,900, $15,000, and $17,400.

Alex Krüger June 29, 2019.It is worth noting that 30-50 percent retracements are normal during Bitcoin's bull markets after the major upswings that it has and they help maintain bull trend healthy.

The most recent bull market that BTC had lasted more than two years and represented 10,000 percent gains from the low of Aug. 25, 2015, when Bitcoin was trading at $198, to the high of $19,760 on Dec. 17, 2018.

After an all-time high was achieved on Jan. 4, 2017, when Bitcoin was valued at $1,180 it dropped 36.50 percent.

A similar pattern happened after the high of Sept. 1 and Nov. 6 that saw Bitcoin drop 40.12 and 30.09 percent, respectively.

As Thomas Lee, the co-founder of Fundstrat Global Advisors, pointed out "Bitcoin is a hyper-volatile asset" and minor correction will not affect the major trend.