Bitcoin is clearly at a pivotal level in its present market cycle. However market cycles aren’t all the time apparent as to what may happen, even when the when occurs to grow to be extra clear with time.
Within the main cryptocurrency by market cap, Decembers are significantly notable, culminating in many of the asset’s tops and bottoms. With the all-important month now right here, and Bitcoin at a possible inflection level one thing important could possibly be brewing.
Crypto Analyst Reveals Compelling Bitcoin Cycle Concept
In 2017, Bitcoin’s bull run and meteoric rise – because the mainstream media dubbed it – got here to a climax in December of that 12 months. December 2018 is when Bitcoin set its bear market backside. In December 2019, the “put up PlusToken low” was put in, in accordance with evaluation from crypto dealer Philip Swift.
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The cryptocurrency has primarily topped and bottomed in the course of the December months, however one occasion additionally kicked off the 2017 bull run and started the asset’s most up-to-date parabolic section.
Swift says Decembers are essential for Bitcoin market timing | Supply: BTCUSD on TradingView.com
Given the cyclical nature of Bitcoin, there’s an opportunity one thing equally essential occurs any second now. However which path is it, and does market timing based mostly on cycles or key dates maintain any credence?
Remembering The Legendary W.D. Gann And The Function Of Astrology And Geometry In Market Timing
The concept that markets are cyclical and may high or backside at particular dates isn’t a brand new one. Legendary dealer William Delbert Gann made a reputation for himself by combining geometry and astrology to time tops and bottoms in markets or when essential inflection factors may happen.
Discover the December tops and bottoms within the Wheat market match what Swift says above | Supply: Wikipedia
Gann observed that tops and bottoms happen typically in December within the commodities market, particularly in the course of the astrological occasion, “Solar conjunct retrograde Mercury in Sagittarius,” in accordance with his Wikipedia web page.
His instruments are used at this time, though aren’t highly regarded with the crypto crowd. However after placing his market timing technical evaluation instruments to the check, the outcomes are fairly surprising and line up with Swift’s cycle-based theories above. Nevertheless, it nonetheless doesn’t assist a lot with path.
The Gann Field is one among many time-based technical evaluation instruments the dealer left behind | Supply: BTCUSD on TradingView.com
Within the first device we’re analyzing, every Fib time zone occurs to happen at a significant turning level. The primary was at Bitcoin’s backside, the second was proper earlier than the 2019 blow-off high.
The third at 0.5 takes place on the “PlusToken low” Swift factors to as one other December second of significance. The 2019 high was not in December, to be clear.
The Gann Sq. is one other. Notice how the angles intersect essential factors in value motion | Supply: BTCUSD on TradingView.com
Yet one more device, the Gann Sq., additionally clearly traces up with these key December dates. The geometrical assist and resistance factors all react with the asset’s intra-session value motion.
Gann was additionally a “fan” of geometrical shapes, and different methods he developed embody the “Sq. of 9, the Hexagon Chart, and the Circle of 360.” His fan-based device utterly nailed the current breakout as pictured under. When the cryptocurrency made it by the ultimate Gann fan resistance drawn from all-time excessive, we noticed the breakout that took us again to the present ranges.
The Gann fan completely predicted the timing of the retest, coinciding with key numbers from Gann | Supply: BTCUSD on TradingView.com
Gann additionally paid shut consideration to the timing of cycles with a direct concentrate on numbers that seem like based mostly on historical Babylonian arithmetic, which used a sexagesimal quantity system. The quantity system remains to be the idea of time, with intervals of sixty seconds and sixty minutes. Evening and day cycles are 12 hours every and every day is 24 hours – all divisible by three, and 6.
The enduring dealer particularly known as consideration to any timeframes with intervals of three, together with the 3-minute, 15-minute, 3 hour, 6-hour, and 3-day charts, and he claimed to by no means commerce within the path of the development on the third day.
On bigger timeframes, Gann cared an ideal deal in regards to the significance of 144 time durations. Might it actually simply be coincidental, that Bitcoin broke out of the Gann fan, and retested the “meme” downtrend line on precisely 144 weeks from all-time excessive? The chart above affords robust proof to assist the idea.
This Gann fan is a harmful tackle the Dow Jones on the finish of 90-year supercycle | Supply: BTCUSD on TradingView.com
Lastly, Gann warned very particularly about financial supercycles, which happen each 90 years or so. Roughly 90 years in the past, was the large inventory market crash of 1929 that introduced with it The Nice Despair. That recession formally resulted in 1938. This may additionally imply that we’re starting one other supercycle now, with the start of the pandemic.
90 years previous to that, was the recession of 1957 when the Ohio Life Insurance coverage and Belief Firm failed and over 5000 companies went underneath, inflicting widespread panic.
Fiat cash turned so nugatory, that new cash had been minted, depicting a Phoenix rising from flames. The identical kind of coin and the legendary fowl could be seen rising on the duvet of The Economist in 1988, the place the journal predicts the approaching of a brand new world forex will come by the 12 months 2018.
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The coin depicting the Phoenix from 1957 has the month of November (Nov) printed on it. The astrological signal Scorpio is assigned to these born between October 23, and November 21. Scorpio is the one astrological signal with multiple animal related to it.
In response to astrological lore, the Scorpio transitions all through life to the Eagle, and at last, rises because the Phoenix. Apparently, Bitcoin was revealed to the world by way of the whitepaper by Satoshi Nakamoto on October 31, 2008 – primarily making Bitcoin a Scorpio and ultimately a Phoenix by birthright.
The knowledge above proves nothing in any respect and could possibly be construed as pure coincidence, however with a lot of Gann’s time-based theories and instruments matching up with Bitcoin so completely, and his evaluation being based mostly on little greater than math (geometry) and time, might there presumably be extra to it?
And since math (pc code) and time (the halving and block confirmations) are so essential to the anatomy of the first-ever cryptocurrency, might there be some sort of simple connection between the asset and astrology? Appropriately, solely time will inform.
Featured picture from Deposit Photographs, Charts from TradingView.com