SCBTC - Has the bottom been hit?
Updated
On October 30th of 2017 Siacoin hit its relative bottom price of about 40~41 satoshis with a supply of ~30.49 Billion Siacoins.
Here we are now fast approaching March 9th of 2020 when the Siacoin supply will reach ~43.72 Billion.
How does our current bottom relate to the bottom of 2017? I consider the inflation of Siacoin and adjust the price accordingly.
This price adjustment is seen with the red line, calculation for this line is shown in red as well.
(Please note, I don't consider the inflation of Bitcoin.)
The price has fallen below the red line, thus a new bottom has been discovered. This bottom is revealed by the double bounce off the 16 satoshi line.
With this observation in mind, I would like to think that the price can only go up from here.
However, will the price test a max? If so, what is this max? In the past it has been around 600 satoshis, so with inflation in mind can we achieve 420 satoshis?
(70% of 600 is 420)
Or perhaps will we stop at a modest level such as 41 or 60 considering that volume has dropped significantly.
I will wait to see what the volume does. If it picks up considerably then I would expect a test on the max.
If the volume stays low... then I may sell at a moderate price level.
Please feel free to share any thoughts on this.
Here we are now fast approaching March 9th of 2020 when the Siacoin supply will reach ~43.72 Billion.
How does our current bottom relate to the bottom of 2017? I consider the inflation of Siacoin and adjust the price accordingly.
This price adjustment is seen with the red line, calculation for this line is shown in red as well.
(Please note, I don't consider the inflation of Bitcoin.)
The price has fallen below the red line, thus a new bottom has been discovered. This bottom is revealed by the double bounce off the 16 satoshi line.
With this observation in mind, I would like to think that the price can only go up from here.
However, will the price test a max? If so, what is this max? In the past it has been around 600 satoshis, so with inflation in mind can we achieve 420 satoshis?
(70% of 600 is 420)
Or perhaps will we stop at a modest level such as 41 or 60 considering that volume has dropped significantly.
I will wait to see what the volume does. If it picks up considerably then I would expect a test on the max.
If the volume stays low... then I may sell at a moderate price level.
Please feel free to share any thoughts on this.
Note
KST indicator recently has shown a reversal in momentum. Stochastic RSI is in oversold territory. Perhaps Siacoin is in for an upswing in the near future? Do realize that I have specific setting on these indicators.
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