BTC Log Regression & Fib MultiplesThe "Zero Line" is a calculated Logarithmic Regression of Bitcoin over the last decade. Above the zero line are rainbow lines. Each color represent a specific Fibonacci multiple of the log regression. From purple to red, the regression is multiplied by the common Fib ratios (.09, .14, .236, .382, .5, .618, .786, .85, .9). As you'll notice, it does a fantastic job of predicting price reversals and long-term S/R.
This regression has been valid for the last 10 years, until shit hit the fan on March 12-13. I had a hunch that the regression wasn't invalid, rather the "Zero Line" was, in fact, just another multiple in a series of Fibonacci multiples. Consequently, I extended the aforementioned multiples from 0 --> 1, BELOW the Zero Line from 0 --> -1 (-.236, -.382, -.5, etc.). The result was as I expected, the crash was not an invalidation of the regression, but simply an unprecedented move to a lower Fibonacci level.
If you look closely, the dump to $3600 tapped the -38.2% level on the nose. As it retraced to higher levels, it touched higher negative levels, such as -14% and -9%.
Now we are at a crossroads. If Bitcoin breaks below 8540 we will enter the negative domain once again. If we treat 8450 as support then we will stay in the positive domain a bit longer. Watch over the next 24 hours, from May 1-2, to see if we are going to into the light, or back into the darkness.
I linked the script to this indicator below. Stay frosty.
