A widely followed crypto analyst says there’s likely one technical catalyst that will send Bitcoin on a long-awaited parabolic rally.
In a discussion with fellow crypto strategist Benjamin Cowen, pseudonymous analyst TechDev shows a chart that he says hints when BTC will make a break into six-figure territory.
TechDev combines logarithmic growth curves with Fibonacci levels and lays them on top of a long-term Bitcoin chart with two-week candles.
He says that Bitcoin tends to go parabolic once it breaches the 1.618 Fibonacci level, which also happens to be in the same place as the middle logarithmic band.
“Nothing looks off track to me as far as [the] health of the market right now. As of today, we’re kind of right at what I would call a key intersection point between this mid curve of the log regression band, this 50% fib curve of this band and this 1.618 level. If we can close a 2-week candle above it, I am expecting some explosive price velocity upwards, and I’m excited to see where that takes us.”
The crypto analyst notes that the 2.72 Fibonacci level where he says Bitcoin tends to top out doesn’t coincide with the top of his channel until late 2022. While he’s not convinced yet that the crypto bull cycle will extend that long, he still says that BTC topping out somewhere in that timeframe matches up with what he’s seeing on the chart.
“Although I still have a hard time seeing us right now extending all the way out to that latter half of next year, that would be the point where the two targets would meet and would allow us to satisfy both conditions, so that’s how I look at the market right now. We seem to be at a pretty critical point where a strong two-week close above this level could mean some big runs for Bitcoin.”