Bitcoin Analysis – January 2023

Bitcoin Technical Analysis – January 2023

Since I looked at some charts in December 2022, I’ve mentioned to a few people, that Bitcoin Prices are near the low part of their price channel. Indicating that the price bottom is in, and it’s a good time to buy Bitcoin/BTC.

Some numbers and charts are here.   Usual disclaimer:  NOT financial advice.

Bitcoin Returns 2010 to 2022:

This chart lists the BTC/Bitcoin prices at the start and end of the year. And gain or loss throughout the year.

Bitcoin Yearly Chart, Linear Scale:

The prices were actually very dramatic in 2011, and 2013. But when the high on the chart is $69K, the absolute price rises are small, and hard to see.

Bitcoin Yearly Chart, Log Scale:

The price scale here is logarithmic / log. Note how the scale on the right hand side goes up exponentially.

The log scale show the dramatic percentage rises in price better.

In 2011, BTC prices ranged from $2.22, to $15. Ten years later, in 2021, BTC prices ranged from $27,734, to $69,000.

Looks like every 3rd or 4th year, the price drops dramatically. Then rises again for the next three years.

Hull Suite Indicator:

BTC Weekly chart, Log Scale. From late 2016 to January 2023, with Hull Suite Ribbon, by InSilico

Shows a smoothed version of the long term BTC price rises and falls.

In January 2023, the ribbon is has just turned green again.

More info on the indicator, here:
https://www.tradingview.com/script/hg92pFwS-Hull-Suite

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Mayer Multiple:

BTC Weekly Chart with the Mayer Multiple, and the 200 week moving average.

BTC price is below the 200 week moving average. BTC prices have not stayed below this indictaor for long.

The Mayer Multiple gives an indication of good long term times to buy and sell. In January 2023, it’s flashing green, indicating a good time to buy.

More on the bottom Mayer Multiple Indicator here:
https://www.tradingview.com/v/nMt7RD5u/

Bitcoin Power Law Corridor:

BTC weekly chart, Log scale with Bitcoin Power Law Corridor

Bitcoin Power Law Corridor shows the times that BTC price has hit the top or bottom of the price range.

More on the Bitcoin Power Law Corridor indicator here:

https://www.tradingview.com/script/UsGwzxD4-Bitcoin-Power-Law-Corridor/

Bitcoin Stock to Flow Model:

Weekly chart, Log Scale, with the Bitcoin Stock to Flow Model

Source:
https://twitter.com/100trillionUSD/status/1617491444201312258?cxt=HHwWhMDS7cH5vfIsAAAA

This graph is similar to the Bitcoin Power Corridor.

See more about the Bitcoin Stock to Flow Model, and graphs here:

Modeling Bitcoin Value with Scarcity
https://medium.com/@100trillionUSD/modeling-bitcoins-value-with-scarcity-91fa0fc03e25

The article has this chart, with log scales on both the X and Y axis.

More info from PlanB here:

Website: https://planbtc.com

Youtube Channel: https://www.youtube.com/@PlanB_Bitcoin/videos

CryptoCon Log-Log Scale for BTC:

Again, both scales are log scales.

Source: https://twitter.com/CryptoCon_/status/1600511539546660865

Dec 7, 2022

“I have created an easy buy and sell channel using #Bitcoin on a Log-Log scale

It has been accurate on calling all major tops and bottoms so far

Below green line = Buy
Above red line = Sell

This says it’s time to buy”

So, some long term technical indicators, all making bullish crossovers.

 

 

 

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