The #Crypto currency Market Looks in Favor of The #Bull Market
The stock to flow ratio has been the highest for Gold so far in last 60 years. A well known #cryptocurrency analyst stated,
"It is not possible for regular commodities to provide for higher S/F ratio as any #commodity with market attention surges in value and the production rises, and the prices go down again."
#BTC is reported to have a #stock of more than 17.61 million coins. The supply of #BITCOIN is at 0.7025 million per year. This is a notable equivalent to the 25 S/F ratio. Considering these parameters, there are a few #cryptocurrency analysts who are of the opinion that the stock to flow ratio of #BTC might overtake #Gold with respect to valuation.
While the overall data of the #crypto market is in favor of the bull market, #crypto analysts add to the confidence by stating that the worse is over for Bitcoin.
#Willy_Woo, a technical analyst, opines,
“I’m swimming in data and you kind of get intuition concerning things. I would say a 1/20 to 1/40 chance that this floor falls through. So that is 95% to 97.5% that the bottom is in. I would consider if we drop below #USD 4,300, they bears would be very lucky.”
The analyst backs his opinion by looking through the matters that are considered in looking at the adoption curve of #BTC and further states: “We see a doubling in user base every year pretty consistently over 10 years.
So what we see is the mapping of the world coming in and in this case the world coming in with capital that’s injecting into Bitcoin.”
There are contradictory bearish arguments against Bitcoin as well.
#Tone_Vays stated, “Lot of the big institutional holders have not capitulated. The Novogratz’s and the Tim Drapers who have been holding these coins for a long time. I believe bitcoin finds ways to crush people’s souls. I believe the market will find a way to separate them from those coins somehow. And these are the big holders I’m actually waiting to capitulate.”
However, for those who are looking to place their bets considering where #Bitcoin is heading next, then the data might be overwhelmingly in favor of the #bull market.
The 4 hours MACD for BTC/USD is placed in the #bearish zone. 4 hours RSI (Relative Strength Index) is moving towards the 50 levels. The major support level is seen at USD 5160, and the Major resistance level is seen at USD 5400.
If #Bitcoin would replace #Gold completely, then #BTC would be valued at USD 350000$.