The Pi-Cycle Bottom indicator says that the bottom has been reached!
The Pi-Cycle Bottom gave a signal. This new technical indicator determines the “macro bottom” of the Bitcoin price. It is based on the long term.
On June 18, Bitcoin made a low of $17,622. Additionally, a new low was reached on June 30 at $18,600. These 2 bottoms have surely led the indicator to send the bottom signal for Bitcoin.
However, the current macroeconomic picture is very different from previous cycles. The correlation between Bitcoin and major tech indices is at its strongest. And at the moment, there are no strong signs advocating a reversal of the stock markets.
What is Pi-Cycle Bottom and what is its past performance?
The 471-day SMA and the 150-day EMA are two long-term moving averages on which the Pi-Cycle Bottom is scheduled.
The indicator has given 3 signals so far. The first occurred on January 16, 2015, just two days after the price of Bitcoin hit an all-time low of $152.
The second signal occurred on December 16, 2018. It was one day after the all-time low of the last bear market, which was $3,122.
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Last Wednesday the third signal was given.
Second BTC/USD breakout in 2022
Bitcoin hovered around $30,000 for a month before breaking that level. We see the same range at $20,000. On Monday, BTC/USD broke out of its range to the upside. Therefore, we could expect a continuation of the rise towards $25,000 and then $30,000.