Markets
Bitcoin (BTC) Mirrors Pre-Parabolic Rally That Led Gains of Over 1,200% in 2017, According to Crypto Analyst
Bitcoin (Bitcoin) the current market structure looks similar to that of 2017, just before the massive 1,200% rally to the previous record high of $20,000, according to widely followed cryptocurrency analyst TechDev.
The pseudonymous analyst shares with his 450,000 followers on social media platform X a chart that suggests the current market cycle is strikingly reminiscent of Bitcoin’s 2017 bull run.
TechDev’s chart highlights that both bear markets bottomed during the collapse of two major cryptocurrency exchanges, followed by repeated rallies and consolidation phases.
“The more things change, the more they stay the same.”
Source: TechDev/X
Looking at the trader’s chart, it seems to suggest that BTC is currently in a similar consolidation phase to 2017, when it was trading at around $1,500 before a parabolic run towards a cyclical high of $20,000.
At the time of writing, Bitcoin is worth $67,060.
The analyst also looks at Bitcoin’s relative strength index (RSI), which aims to measure an asset’s momentum. According to TechDev, Bitcoin historically peaks when its RSI reaches the upper limit of a long-term channel, which has not yet occurred.
“You are in the green zone. Don’t waste it.”
Source: TechDev/X
TechDev is also looking at the OTHERS chart, which tracks the market capitalization of all cryptocurrencies excluding the top 10 digital assets and stablecoins. Specifically, it is looking at the chart’s Stochastic RSI, Moving Average Convergence Divergence (MACD), and the Logarithmic Bollinger Band indicator.
The MACD is traditionally used to spot reversals based on the convergence or divergence of moving averages, while Bollinger bands are intended to identify periods of impending sharp price movements based on contracting volatility.
According to the analyst, OTHERS, which is often used to gauge the strength of altcoins, has reached a “maximum compression” zone, suggesting that a large upward move is on the horizon. Also note that the setting matches the return of “Roaring Kitty”, the leader of the movement that inflated the price of Gamestop (GME) in 2021.
“Roaring Kitty returns when this alternate configuration reappears.
There are no coincidences.”
Source: TechDev/X
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