It might seem counter intuitive, but it's true.

The crypto industry really needed this hefty fall. And to be honest, it has been a long time coming.

If we were to look at the chart for bitcoin since the genesis block was completely mined and it started being traded on exchanges, it's bonkers that BTC has ONLY been in an uptrend since then.

It started at zero and went all the way up to $20000, just 9 years later. 

But many people would argue: "Hang on, Max. It went from 20000 to 10000, right? Wasn't that a downtrend?"

And the answer to that is "NO!'

That wasn't a downtrend. That was a correction.(many people call them retracements)

It works like this. Whenever there is an extended move upwards in an asset, it reaches a point where there are no buyers left to continue the move up. The sellers get cold feet believing that the buyers are really out of the market this time, so they decide to give away their assets at lower prices, which might bring in some new buyers.

When the selling has continued to a point called "support", the buyers who have their orders at those levels start getting filled, and the price begins it's upward move.

But the uptrend to 20000 left a lot of "holes"(a hole is a support that wasn't retested) in the chart. These holes needed to be filled up, and that is what is happening right now.

The move to 20000, and then retracement back to about 9000, only to bring about another move to 13000, and then retrace back to 9000. You see that the "hole" at 9000 has been filled.

But what about where Bitcoin was coming from?

If you look closely at the chart I put up above, you'll see that there were tons of spaces at 6000, 7000 and 5000. There was a tiny space at 3700, which got "flash filled" and then we got s bounce from that level.

But you might argue again: "So Max, if you're saying that all holes must be filled, what about the hole at $0? Why won't that be filled?"

And that's a valid question. 

But thanks to manipulation of the markets, the price can never reach zero because there are people with 14000BTC, and 10000BTC, and 5000BTC who are sitting on fortunes.

They won't dig the idea of being millionaires today, only to wake up tomorrow to see that they're not anymore. 

Simply put, they won't let the price reach zero. They won't even let it pass 3000, because then Bitcoin becomes undervalued, and everyone would buy the heck out of it.

I hope this made sense.