If you recall January 09, 2019, I published a long term bitcoin projection using a logarithmic scale chart highlighting Poop's version of what bitcoin sentiment will look like for the next 3 years. This time I will be showing you why Poop thinks you should start buying bitcoin at this price level using our observations in both Logarithmic Scale and Linear Scale/Arithmetic Chart.
My "God Poop" indicator showed a strong buy signal in December 2018, weekly chart. For linear chart, this only happened twice in bitcoin history, in logarithmic chart it has happened 4 times already.
For linear chart, the fist instance happened June 2018, which resulted to a 3k dollar move in few days (a dead-cat bounce). The 2nd was in December 2018.
For logarithmic chart, the first instance was September 29 2014 on a bear market, this was the last dead-cat bounce in the 2014 bear market, a prelude to the bottoming formation. The second instance was on Jan 12, 2015. This was the exact bottom prior to the 3 year bull market. This bottom was retested 7 months later on August 10, 2015 which resulted to the formation which ended the multi year bear market for bitcoin . The third instance this happened was in June 2018 similar which to the signal we saw on the logarithmic chart which was a dead cat bounce. The last one was in December 2018 similar in this chart.
I'm not implying we are going to repeat history here. I'm just stating my observations.
For better understanding, you may refer to this chart.
In conclusion, we see 6K as a significant resistance line, it will likely act as a strong resistance for the next 9 to 10 months.
We will likely see bitcoin around 10K to 12K range by the end of the year. The all time high would probably retested by 2020 and we will likely see a new all time high by December 2020 to 1st Quarter of 2021. This move could challenge the 300k mark. This analysis is backed by a strong both on the logarithmic and linear scale chart.
For more insights on the difference between an linear scale and logarithmic scale, check Yuzuki's Idea at this link.
Note that I used Godmode 3.1 with ISMA indicator for this analysis. I just modified its settings to suit my preference.
That's it friends, I'm looking forward for your comments on this analysis.
This is just a guide, not a trading advise.
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