Tuesday, October 27, 2020

Bitcoin Fractal Predicts a Return to $11,000 Is Imminent

Must Read

‘A Race Toward Zero’: With Hashrate in the Clouds, Bitcoin Mining Is Less Profitable Than Ever

Bitcoin mining profitability is in the basement, seeing all-time lows in 2020.Conversely, Bitcoin's hashrate has surged throughout 2020, propelled in part by mining farms...

VC calls Ethereum killers ‘toothless’ based on token allocation to insiders

Mythos Capital founder Ryan Sean Adams called Ethereum killers “toothless” based on initial token allocation schemes that often prioritize insiders:The report's authors suggest that...

BoE hasn’t ‘made any decision’ regarding a CBDC, says fintech director

At the 2nd Bund Summit held on Oct. 25, Bank of England fintech director Tom Mutton stated that while a central bank digital currency,...

Bill Hinman, who spearheaded the SEC’s early crypto policies, is leaving the commission

On Wednesday, the Securities and Exchange Commission (SEC) announced the departure of William Hinman by the end of this year. Hinman joined the commission in...

Bitcoin has been consolidating between $10,000 and $11,000 over the past month, barely deviating from this relatively tight range. A crucial fractal analysis predicts that the cryptocurrency is primed to break out of this range in the coming days and weeks. Here’s more on why.

Related Reading: Ethereum Transaction Fees Surge to All-Time Highs After Uniswap Launch

Bitcoin Primed to Move Higher, Fractal Shows

Bitcoin is primed to move even higher in the coming days and weeks according to one fractal analysis shared by a cryptocurrency trader.

The fractal suggests that Bitcoin’s recent price action is just a miniaturized version of the price action that transpired from the start of 2020 to May. This fractal suggests that BTC will soon gap higher, meaning it may soon retake $11,000.

Image

Chart of BTC's price action since the start of the year with analysis by crypto trader Dwight (@CryptoDwight1 on Twitter). Chart from TradingView.com
Related Reading: Critical On-Chain Signal Predicts That Bitcoin’s Next Move Will Be Upward

On-Chain Trends Agree With This

On-chain trends agree with the optimistic outlook depicted by the fractal mentioned above.

Willy Woo recently noted that Bitcoin adoption is currently in its early stages in the West:

“We’re at the early adopter phase in Western countries, some higher inflation countries are now broaching early majority according to this chart from Statista. (And yes, the high monetary inflation the world is undergoing right now is growth steroids for BTC HODLer adoption.)”

He explained that if this adoption continues, there will be an even greater spike of new Bitcoin users than there has been in recent months. This influx of adoption will allow the cryptocurrency’s price to diverge from legacy markets, which currently are holding BTC down.

Adding to this, Bitcoin’s hash rate continues its ascent.

The metric, which tracks how much computational power is being allocated to mining the cryptocurrency, has been pushing all-time highs. Analysts see this as a sign of these miners’ long-term commitment to the Bitcoin network.

Related Reading: MicroStrategy’s Stock Continues to Soar After BTC Purchase
Photo by Syuhei Inoue on Unsplash
Price tags: xbtusd, btcusd, btcusdt
Charts from TradingView.com
Bitcoin Fractal Predicts a Return to $11,000 Is Imminent