Bitcoin has a long way to go, according to an indicator created by Trace Mayer, an early investor in Bitcoin.
Bitcoin, which has been traded at a price of around $ 9300 and has gained nearly 145% since the fall of March 12, is still below its value, although it saw significant increases in the 2nd quarter.
Mayer Multiple, which was prepared by Trace Mayer and received the rate of 200-day moving average at the instant price of Bitcoin, is currently at 1.15 despite all the increases. If this figure is below 2.4, it indicates that BTC is below the required value. If this rate is above 2.4, it means that Bitcoin is overbought and a bull season or even madness can be seen.
The last day when the rate exceeded 2.4 was December 1, 2017. 2 weeks later that day, Bitcoin doubled to a record level of $ 20,000. On December 22, it was withdrawn to $ 12,000. Similarly, the market reached its peak in April and December 2013, when the rate exceeded 2.4.
As a result, with the rate currently 50% below the 2.4 level, the level of the road where Bitcoin is less resistant is also up. The main reason for this is that the overall average of Bitcoin Mayer Multiple is below 1.44.
“Good times to collect Bitcoin”
According to the information given from Mayer Multiple’s Twitter account, the rate was over 1.15 in 52 percent of the time since the indicator started. According to the Bitcoin analytics company Ecoinometrics, this shows that it is a good time to collect ‘satoshi’ (Bitcoin’s subunits).
The simulations by Trace Mayer, the founder of Mayer Multiple, show that an investor has achieved better results by accumulating Bitcoin when the rate was below 2.4 in the past.
Disclaimer: What is written here is not an investment recommendation. Cryptocurrency investments are high-risk investments. It is recommended to seek help from a counselor if you do not have enough experience and knowledge. Every investment decision is under the responsibility of the individual. Uzmancoin and the author of this content cannot be held responsible for personal investment decisions.