There is a strong case to be made for Bitcoin hitting $100,000, says Krown. The analyst has put forward this rather bold forecast with the expectation of it being realized by October’s end, citing historical price action as his guide.
Krown’s Bullish Outlook on Bitcoin
Krown, a name well known in crypto circles, is not speculating; his projection is one he attributes to hard market data. Two weeks ago, for instance, Bitcoin’s weekly stochastic momentum broke above 80 for the first time in more than 10 weeks. In Krown’s view, that kind of activity is usually a harbinger of bullishness.
The numbers bear him out. He notes that on 12 of the 13 occasions in the past when the indicator has shown such a reading, Bitcoin has gone on to post an average 26% gain in the month after. At present levels of around $81,000, a repeat of that performance would put the asset at the $100,000 threshold in a matter of weeks.
Historical Data Backs the Forecast
There is a wider historical context to back up Krown’s view. In comparable circumstances, Bitcoin has posted an average 38% return over a two-month span; should that pattern hold true, it would make the prospect of the asset hitting $100,000 by October’s end all the more plausible.
Then there is the matter of the last three months, which have each closed with a green candle. Krown points out that when one sees such a run, history is on the side of continued gains. In 77 percent of instances, these streaks have been followed by positive returns over the ensuing one, three, and six months. The figures bear this out: 14.25%, 60%, and 44.7% on average for those intervals. It is a sign that the bull case for Bitcoin is intact, volatility in the short term notwithstanding.
Sentiment and Speculation
Krown will be the first to admit there has been a modest change in his proprietary optimism index, one that is showing a touch of pessimism despite all the bullishness out there. Yet he would not interpret this as the onset of a bear market. To him, what the numbers are saying is that traders are holding back or waiting for some kind of correction, not betting on a slide.
Then again, Krown has placed a speculative bet of sorts on Bitcoin hitting $100,000 before October is through. He considers it an interesting play given the historical record. Volatility is to be expected, he warns, but his read on the situation is that the odds favor the upside over the next few months.
This article reflects the channel author’s opinion and is not investment advice.
Every call by Krown and how it played out — in the BuyCrypt bloggers tracker.
Source — Krown: https://www.youtube.com/watch?v=V0gjxlaW2Qk
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