Bitcoin’s 200-week moving average suggests price will never drop below $ 6,700

Rising by $ 200 every month, the 200-week moving average has formed an implicit BTC floor price since Bitcoin first appeared in 2009.

Bitcoin (BTC) speculators expecting a BTC price drop of even 35% will likely be waiting forever, new data shows. In a tweet on September 22, quantitative analyst PlanB noted that Bitcoin will break the all-time habit if it drops below $ 6,700.

PlanB tracks the historical low price of BTC

PlanB was referencing the 200-week moving average (200 MA) for the BTC / USD pair. A popular tool in his work, the 200 MA has never been broken during Bitcoin’s downtrends. As of Tuesday, the level equaled $ 6,700 and continues to rise around $ 200 each month.

As long as the historical behavior continues as it has since the 200th week of Bitcoin’s existence, $ 6,700 will now form a definitive floor price.

“The 200 BTC WMA never stops working. BTC’s monthly close has never been below the 200 WMA, ”PlanB confirmed in early September, when the figure was $ 6,600.

He added that in March 2017, Bitcoin saw a “struggle” to erase the significant $ 1,000 mark forever. However, after being successful, the all-time highs of $ 20,000 reached the end of the year.

Meanwhile, this month, Cointelegraph noted that significant buying support for whales is much higher, at $ 8,800.

93% bullish on Bitcoin price in 2020

As Cointelegraph also reported, PlanB recently predicted that the BTC / USD pair would start to rise towards $ 100,000 as part of its research. Its family of stock-to-flow Bitcoin price forecasting models have made very optimistic predictions about the current four-year halving cycle, ending in 2024. Bitcoin should be online to trade at an average of $ 288,000 in That point, an “order of magnitude” higher than today, but so far, stock-to-flow has recorded BTC price increases with full precision and its methodology has yet to be disproved.

Meanwhile, a survey on the future of Bitcoin price action released after the 200 MA update has drawn 14,000 responses. The majority, 59.1% at press time, are bullish on Bitcoin for the next year and also favor BTC over other cryptocurrencies. In total, 92.8% of respondents are bullish when it comes to BTC / USD.

Reference: es.cointelegraph.com

Disclaimer: This press release is for informational purposes information does not constitute investment advice or an offer to invest. The views expressed in this article are those of the author and do not necessarily represent the views of infocoin, and should not be attributed to, Infocoin.

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