Bitcoin was built using mathematical code, and nearly all aspects of it, from its hard-capped supply to its price, and everything in between is deeply steeped in math.
Ancient mathematics first popularized in the middle-ages may hold the key to predicting Bitcoin tops and bottoms with chilling accuracy. And according to how the number sequence has followed thus far, one crypto analyst believes it would put the top of the next Bitcoin rally at $220,000 per BTC.
Fibonacci Sequence Could Be Magical Tool For Predicting Bitcoin Tops and Bottoms
Mathematics is the study of quantity, structure, space, and change. Each of these key attributes is central to Bitcoin in some way. Quantity, would represent how many Bitcoin’s have been hard-coded to exist; structure would represent Bitcoin’s code and blockchain, space could theoretically represent chart patterns such as the symmetrical triangle the crypto asset recently broke down from; and change would be represented by price action and change in value, or potentially through Bitcoin’s regularly planned halvings.
Related Reading | Historical Data Shows Bitcoin Price Correction Could Last 5 More Months
With math so important to Bitcoin, could it also hold the key to unlocking the ability to accurately predict price tops and bottoms using a number sequence developed by a renowned mathematician from the middle-ages? One crypto analyst believes so and suggests the next target for Bitcoin’s top would be $220,000 per BTC if the sequence continues to be followed.
The analyst says that Bitcoin is “ruled by Fibonacci numbers,” and follows a “magic mathematic path.” Using Fibonacci sequence – a series of numbers where the next number can be found by adding up the two numbers before it – the analyst claims each previous cycle top and bottom has been predictable, and if the same pattern is followed, the next logical top for BTC would be at $220,000.
As for when that target is reached, the analyst doesn’t say, but does also offer up a bottom Bitcoin will reach after the top target has been reached and momentum begins to reverse. According to the theory, the next Bitcoin bottom would be at $36,000.
Fib Tools and Math Are a Crypto Trader’s Best Friend
Fibonacci sequence was popularized by and eventually named after Leonardo Bonacci, considered the “the most talented Western mathematician of the Middle Ages” and better known as Fibonacci. His work is commonly found even today, especially when it comes to Bitcoin, crypto, and financial markets.
Related Reading | Gann Theory Suggests Bitcoin Price at “Do or Die” Moment, Important Pivot Ahead
Using fib ratios, fib retracement levels, fib spirals, and other Fibonacci-based tools applied to price charts of various assets, important price levels, and trend turning points can be predicted with a high degree of accuracy. Traders use these tools in conjunction with other forms of mathematics, such as geometrical shapes such as triangles, squares, and circles to help, and indicators to conduct technical analysis that can help improve success rates when trading.
Given the weight that mathematics holds with Bitcoin, and how deeply rooted the first-ever crypto asset is in math, the analyst’s predictions could be proven true. But only time will tell if Bitcoin continues to follow Fibonacci sequence.
Source: Read Full Article