Bitcoin price today jumped to nearly $9,400, continuing its upward climb from yesterday. BTC is already up 23% to date in 2020 while managing the daily trading volume of $1.25 billion on top ten exchanges with real volume.
Altcoins followed Bitcoin with Cardano in the lead which is up over 12%. Other coins also recorded significant gains including Nexo (9.48%), Tron (6.82%), and IOTA (6.83%).
A Significant Bullish Signal
What’s amazing about this move is the more important level has now been broken — the 200 Day Moving Average which is currently calculated at $8,903. The current movement of BTC may not seem much but Mati Greenspan, founder of Quantum Economics in his daily newsletter said, “this is actually a significant bullish signal.”
Investor and trader Josh Rager also points out that the green monthly candle is looking good which looks like it “wants to overtake the Nov. open.”
But he would be extra bullish if Bitcoin closes above January level at $9,250. This close according to him likely to push BTC price up over $10,000 and re-test the point of control (POC) from June-Sept. 2019.
Meanwhile, in this uptrend, trader Credible Crypto says the “Monster” resistance is present in the range of $9,800-$10,400 which is the new challenger for BTC.
He also says any pullback by Bitcoin is a buy the dip opportunity.
Analyst FlibFlib also says the only risk with the bitcoin market currently is “missing boat” because “Bitcoin on-track to a big jump.”
As per his Bitcoin 12 months forecast, there are 2 more weeks for $10k+ and although gap narrative at $8500 remains “dips are being bought at a remarkable rate.”
“9450 the next regional target. Then expect a little correction before ascending towards 12k. For me this bitcoin thingy rockets up with a clean $12k break,” is what analyst The Cryptomist sees happening.
Following the Stock-to-Flow Model to $100k
Bitcoin’s price at current levels is meanwhile aligning with the historically accurate stock-to-flow model. This model has been charting Bitcoin’s price over the years as it went from below a dollar to an all-time high.
Bitcoin’s scarcity, having a fixed supply of 21 million, puts it in the same line as gold and silver.
The S2F model puts Bitcoin between $50,000-$100,000 by 2021 end and the price is currently on track to that value.
According to crypto analyst Stephen Perrenod, the BTC S2F model predicts BTC price to hit “$1 trillion by 2050 and over $1 quadrillion by 2070.”
However, the analyst said the Future Supply Model is more realistic model and it suggests $1 million won’t be happening in the next decade. His model “converges toward an asymptotic value for market cap of $1.63 trillion (in 2020 dollars) and an asymptotic price of $77,500. However, these values have high uncertainty due to the limited price history and high volatility of Bitcoin.”
In a separate tweet, analyst PlanB said, “Bitcoin is the only asset with a “Sharpe ratio” > 1 (return>risk)! Classic asset (stocks, bonds, gold) risk & return basically flat. Even FAANG (Facebook, Apple, Amazon, Netflix, Google) .. not even close to btc.”