Bitcoin (BTC) is impressing the market, holding the $50,000, but a bullish metric is pointing to much larger potential gains.
TradingView data now clearly shows that the weekly moving average (MACD) convergence/divergence indicator for BTC/USD has changed from red to green.
Time for another 5.5x BTC price increase?
The MACD, which produced a rare cross in early August, still adds the potential for future gains an order of magnitude greater than what the market has seen so far.
As reported by the Cointelegraph, metrics are a reliable indicator used to determine the overall trajectory of an asset, and Bitcoin has so far been no exception.
The last time a bullish cross occurred, the BTC/USD had a 5.5-fold price increase – from $11,500 in October 2020 to historic highs of $64,500 just six months later.
If history repeats itself, Bitcoin could end up at over $220,000 by the end of the year or early 2022.
Pomp has his eye on Bitcoin’s new ‘top blast’
It’s a forecast that beats even the most optimistic estimates for the remaining half of 2021, including stock-to-flow creator PlanB’s “worst case scenario” of $135,000 in December.
However, well-known names are firmly in favor of continued bullishness – as they continue to appear in traditional media.
“I can’t reiterate enough – I think we will see a very, very rapid price appreciation by the end of this year,” he said Morgan Creek Digital co-founder Anthony Pompliano told CNBC on Monday (23).
“In 2017, Bitcoin went from $10,000 to $20,000 in 18 days like a top explosion – it wouldn’t surprise me to see something crazy like this happen before the end of the year.”
Bitcoin monthly returns are currently at over 20%.
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