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, a low of $17,622 was marked by Bitcoin. Moreover, 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 for the moment, there are no strong signals pleading for the reversal of the stocks in the markets.
What is the 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 timed.
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 2nd signal occurred on December 16, 2018. It was a 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 breakout for BTC/USD in 2022
Bitcoin had ranged for a month around $30,000 before breaking that level. The same range is observed at $20,000. On Monday, BTC/USD broke its range on the upside. We could therefore expect a continuation of the rise towards $25,000 and then $30,000.