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Data Findings Suggest Bitcoin Price Will Continue to Rise, Says Qualitative Researcher

Although Bitcoin has been trading mainly in the $10,000 to $11,000 interval for the past weeks, it may soon surge. That is at least if one qualitative researcher is to believe, who analyzes key crypto metrics and Bitcoin data to forecast price performance.

Does data prove that Bitcoin has yet to reach its top?

Although Bitcoin has been trading mainly in the $10,000 to $11,000 interval for the past weeks, it may soon surge. That is at least if one qualitative researcher is to believe, who analyzes key crypto metrics to forecast price performance.

Does data prove that Bitcoin has yet to reach its top?

The researcher in question is Hans Hauge, who is the senior qualitative researcher at Ikigai. Ikigai is a crypto investment fund, and Hauge recently shared his latest findings from Bitcoin data in a series of social media posts.

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According to Hauge, Bitcoin sentiment is currently similar to that of early 2017. As many will remember, 2017 saw the price of Bitcoin skyrocket to its all-time high of $20,000. Hauge also sent a tweet of a chart pointing to this, saying that Bitcoin bubble tops “are clearly identified with a dark red cluster of Adjusted Binary BDD”.

For those unfamiliar with the seeming technobabble, BDD stands for Bitcoin Days Destroyed – a technical metric for Bitcoin. Specifically, BDD is a Bitcoin data point signifying the amount of time between movements of a specific amount of Bitcoin.

Generally, high Bitcoin prices lead to more rapid movement of coins. However, Hauge notes that currently, Bitcoin is not displaying any of these trends. Rather, the “red cluster” previously mentioned is the general sentiment, and that suggests Bitcoin’s price is not at the top. Hauge continues:

“Until that [a crowd sentiment change] happens, we’re not at the top. Public opinion is key here because that red cluster is caused by the assumption of the crowd and is self-fulfilling (reflexivity).” 

Other Bitcoin data signals are also bullish

What’s more, this comes as the Bitcoin “Fear and Greed Index” is at the lower part of its possible range. According to Hauge, this means that all signals for those looking to “buy the dip” are currently flashing.

This comes as Bitcoin has been trading largely sideways for the better part of the past month. As a result, some have speculated that Bitcoin is either in for a bullish breakout or a bearish decline. However, the opinions have been mixed to say the least.

Furthermore, one analyst using the “stock-to-flow” method in predicting the Bitcoin price recently said that Bitcoin is behaving as it did back in 2017. What’s more, he shared a tweet last week lining up with Hauge’s recent comments, stating:

““Bitcoin’s 3 month struggle to break the magical $10k feels like begin 2017 struggle to break $1k … we all know what comes next.”

Image Source: The Independent

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