Bitcoin: From 64,840 feet (updated)Continuing my (unreasonable?) interest in radial lines as a type of TA, here's an additional curious take on the familiar 12-year Bitcoin price chart. Explanation:
The yellow radial lines go from a low to the previous high. The convergence area is circled in yellow.
The orange radial lines go from a high to the previous low. The convergence area is circled in orange.
Notes:
The price action on this BLX Index records the daily *close* price. It does not record the daily highs or lows -- which is unfortunate since minor price differences can make a significant difference on these *long* radial lines.
It is striking that the orange radial lines converge on the area of Bitcoins origins (original date and price). Significance?
I don't put much faith in the last yellow radial line because of the very late 2023 date, but it does represent an interesting "idea". Based on the price action over the past four months, I believe Bitcoin will bounce off the lower parabola *much* sooner than 2023.
By the way: I'm somewhat critical of those who "fit" a couple of curved lines to Bitcoin's 12-year logarithmic price chart and call it gospel. Parabolas are a *specific* type of mathematical curve. Parabolas are "natural" functions that appear in nature and in many systems and processes -- even (surprisingly) in many that appear to be random and chaotic. The fact that one can fit mathematically-precise parabolas to the highs and lows of Bitcoin's 12-year price history is, in itself, surprising -- and adds some weight to the significance of such charts.
Sincerely,
Bullbearish
(I’m a Bull. But Bear happens.)
PS: Nothing I post should be construed as trading or financial advice.
