Analyst Who Nailed May 2021 Bitcoin Crash Says BTC Flashing Major Bear Market Bottom Signal
A eager crypto strategist says one Bitcoin (BTC) indicator is flashing the identical alerts that marked the 2015 and 2018 bear market bottoms.
Dave the Wave, the pseudonymous analyst who precisely predicted Bitcoin’s crash final 12 months, tells his 119,400 Twitter followers the shifting common convergence divergence (MACD) indicator on the weekly chart is at the moment hovering at file lows.
Merchants use the MACD to identify attainable pattern reversals.
“Weekly Bitcoin MACD now at all-time lows [equal to previous]. Let’s see if we will get a strengthening/white histogram subsequent week…. or this.”
Dave the Wave additionally says he’s maintaining a tally of the 200-week shifting common, which has marked the underside for BTC in the course of the 2015 and 2018 bear cycles. In line with the crypto strategist, he now sees Bitcoin monitoring the 200-week shifting common because of the precept of macro flattening.
“This precept of a macro flattening within the value additionally means that the Bitcoin 200-week shifting common could be crossed sooner or later, ultimately turning into extra of a imply than a help. Discover how excessive it’s within the channel.”
Dave the Wave says micro flattening relies on the concept that BTC’s rising market cap will result in shallower corrections and diminished volatility, suggesting that giant property are much less unstable because of the quantity of capital required to make an influence percentage-wise.
Though Bitcoin is at the moment down over 70% from its all-time excessive of $69,000, Dave the Wave says BTC’s long-term outlook continues to be bullish primarily based on his logarithmic development curve mannequin (LGC).
“Reminder: Bitcoin ain’t damaged on the premise of the LGC since 2018. What’s damaged is the too nice an expectation and sentiment, which is what the pragmatic investor needs to see when shopping for.”
At time of writing, Bitcoin is buying and selling for $20,235, up over 5% on the day.
Verify Value Motion
Do not Miss a Beat – Subscribe to get crypto e-mail alerts delivered on to your inbox
Observe us on Twitter, Facebook and Telegram
Surf The Day by day Hodl Combine
Featured Picture: Shutterstock/Animedigitalart/Boombastic
