Analyst Predicts Multi-Year Rally as Bitcoin’s Key Resistance Level Crossed

According to famous quantitative analyst PlanB, Bitcoin (BTC) has effectively crossed a crucial resistance level, signaling a significant development in the world of cryptocurrencies. According to PlanB, this achievement often signals the start of substantial multi-year market increases.

A Historical Indicator of Bull Markets

The 1.8 million-strong audience of the well-known crypto personality PlanB has been told that Bitcoin’s five-month realized price has surpassed its two-year realized price. Since this pattern has already begun three bullish cycles, PlanB interprets it as a sign of good things to come.

“Five-month realized price (also known as Short Term Holder price, depicted in light blue) has now exceeded the two-year realized price (illustrated in dark blue). Drawing insights from history (indicated by red circles), it is highly probable that this trend will persist for the next 2+ years. The horizon looks intriguing.”

By dividing the quantity of tokens in circulation by their purchase price, the realized price statistic calculates the total value of all Bitcoin tokens. According to PlanB, when people are feeling upbeat, the value of Bitcoin frequently remains higher than all of its realized worth.

Additionally, he thinks that as long as the bull trend continues, Bitcoin won’t go below the $30,000 mark. By highlighting similarities to significant missed opportunities in the past, he emphasizes the need of making informed decisions in the rapidly evolving bitcoin ecosystem.

“Choosing not to invest in Bitcoin at a value less than $30,000 is akin to the misses of the past:

• Failing to invest in Bitcoin below $10,000 in 2019/2020.
• Neglecting Bitcoin below $500 in 2015/2016.
• Overlooking Bitcoin at less than $10 in 2011/2012.

Ultimately, life is shaped by the choices we make.”

Strategic Focus on Relative Strength Index

PlanB is actively watching the Relative Strength Index (RSI) of Bitcoin in addition to his research of the realized prices of Bitcoin. This popular momentum indicator determines if overbought or oversold circumstances are present for a certain item. PlanB emphasizes that the RSI is poised for a significant rise and draws parallels to a crucial turning point in 2015.

“Much like clockwork, the current scenario closely resembles that of October 2015.”

Prior to the predicted halving event slated for April 2024, PlanB made waves by forecasting that Bitcoin will reach a value of $50,000. At this moment, Bitcoin is trading at $29,728, down 1.4% from last 24 hours.