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Classic Bitcoin Indicator Suggests 2024 Bull Run, Says Trader Who Called May 2021 Collapse

source-logo  dailyhodl.com 24 September 2023 16:36, UTC

A trader known for making several accurate calls on Bitcoin says a classic indicator suggests that BTC is on schedule for a bull run next year.

Pseudonymous trader and analyst Dave the Wave tells his 140,000 followers on social media platform X that Bitcoin’s monthly moving average convergence divergence (MACD) has fully reset into underbought, bullish territory.

The MACD is a momentum indicator that can signal the reversal of an asset’s trend.

The analyst also uses his own version of logarithmic growth curves (LGC), which aim to plot the highs and lows of Bitcoin’s long-term market cycles while filtering out short-term volatility and noise.

Dave the Wave notes that BTC has been trading at the bottom of the LGC, which he calls the “buy zone,” for 15 months.

“Q4 then 2024. Bring it on.

Monthly MACD shows a maturing market as predicted along the lines of the LGC model.

MACD has crossed bullishly and well re-set just below the zero-line.

Price has now been in the LGC buyzone for 15 months.”

Source: Dave the Wave/X

While the analyst forecasts rallies in the long term, he’s not ruling out short-term volatility.

“Bitcoin is still in the buy zone for longer-term investors.

While most of my charts emphasize the macro bullish picture, this does not preclude the possibility of further consolidation in the short term…

Were such an event to occur, it would no doubt traumatize many on CT (crypto Twitter).

However, for those subscribing to the LGC model, it would be just another day at the office.”

Source: Dave the Wave/X

At time of writing, Bitcoin is worth $26,613.

Generated Image: Midjourney