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In anticipation of Coinbase listing yesterday, Bitcoin and other cryptocurrencies experienced an upturn in their values.
While many crypto enthusiasts have been thinking that the bull cycle of the leading crypto asset Bitcoin (BTC) is set to be over, especially due to the fact that it has been trading sideways for most part of the recent weeks before breaking its ATH price yesterday, however, renowned crypto analyst PlanB feels otherwise.
According to a tweet from the analyst, Bitcoin price could surge to as high as $92,000 within the space of two weeks and it would only be matching its past price performance.
PlanB noted that the weekly gains of the crypto king still had plenty of energy in it to match its previous performance and even to outperform it. He based his prediction on one of the technical indicators used to measure the performance of the crypto asset Bitcoin’s relative strength index (RSI). The relative strength index is an indicator that is used to measure the progress of price runs.
#Bitcoin is looking strong at RSI 92. Still not above RSI 95 like 2017, 2013 and 2011 bull markets. I calculated BTC price needed for RSI 95 at April close: $92K. Let's see what the Coinbase IPO will do today🚀 pic.twitter.com/UTvdFWFhDK
— PlanB (@100trillionUSD) April 14, 2021
The technical indicator helps investors to understand if the coin is at an overbought level or if it is being undersold. Usually, when BTC is at an overbought level, it is an indication that there are more traders in the market willing to buy the asset, which is a very good news during a bull run.
PlanB had highlighted this Bitcoin price metric in the past where he had been able to correctly predict some of the runs of the digital gold.
As of the time of this writing, BTC’s RSI was standing at 92 which is still three points away from those of the bull season of 2013 and 2017. To match these years, the price of the asset has to rise to at least $92,000.
Per PlanB’s tweet, Coinbase DPO could have a role to play in moving Bitcoin price and the RSI higher. He stated:
“I calculated BTC price needed for RSI 95 at April close: $92K.”
How Coinbase Direct Listing Will Affect BTC Price
It is no longer news that Coinbase direct listing is now live on Nasdaq. The Brian Armstrong-led company had a pre-debut market capitalization of about $149 billion which is bigger than other traditional banks like the Bank of China, Goldman Sachs, UBS and others.
This makes the crypto company one of the largest banks in the world. And with its direct listing, it is expected that it would lead to more exposure for Bitcoin and other crypto assets.
Already, in anticipation of the listing yesterday, Bitcoin and other cryptocurrencies experienced an upturn in their values. Though their values have since retraced, there is lot of optimism among crypto enthusiasts who believe that the market is more likely to gain from this listing.