Bitcoin, although a powerful and disruptive financial technology, at its core, is mere mathematics. Its code is what keeps the network operating, its supply hard-capped at 21 million BTC, and much more.
But could that computer code and supply mechanism also help provide clues to when the crypto market tops and bottoms? According to a strange correlation with the asset’s block reward halving and the timing of tops and bottoms, the solution could be nothing more than simple addition and subtraction.
Adding Up All The Reasons The Bitcoin Bull Run Is Here
All signs point to Bitcoin breaking into a new bull market after bottoming now nearly two full years ago. A higher low set this year on Black Thursday during one of the worst selloffs the young asset has ever seen was one half of the equation in confirming a new uptrend.
The other half of the puzzle is a higher high, which Bitcoin this week came just dollars away from setting.
Related Reading | Bitcoin RSI Moves Into Bull Market Territory, Here’s What Happens Next
The cryptocurrency is now trading a few hundred dollars away and declining, however, another higher high this year post-election, or at the start of 2021 is still very likely.
Bitcoin for the first time this week since 2019 entered bull market territory on the weekly RSI – yet another signal that its clear skies again for the crypto asset once it cracks $14,000.
Could crypto tops and bottoms be related to the halving also? | Source: BLX on TradingView.com
Can Math Plus The Halving Subtract The Stress Out Of Timing Crypto Market Tops and Bottoms?
Bitcoin’s bottom is now two years behind us, and even the halving is now in the past. All the necessary ingredients are here for the perfect storm bull market for cryptocurrencies.
But the time distance between those two important events could provide a solution to predicting when the next peak in Bitcoin arrives.
Timing tops and bottoms isn’t easy and should be avoided at all costs. But once the bottom is in, there is a chance of perfectly timing the top, according to one crypto analyst’s striking discovery.
Related Reading | Bloomberg Intelligence Strategist Hints At Bitcoin Bull Run In 2021
They have found that the distance between each Bitcoin bottom and the block reward halving, just so happens to have been nearly the exact distance from the halving to the top (pictured above).
Other crypto analysts fact-checked the data and found it to be within 2% accuracy, suggesting there is possibly credence to the analyst’s speculative conclusion.
If they are correct, that puts the next Bitcoin peak at roughly eleven months away, on October 4, 2021.
Featured image from Deposit Photos, Chart from TradingView.com
by Tony Spilotro on October 31, 2020 at 06:30AM
Comments
Post a Comment