Bitcoin (BTC) faces a “double bubble” and you’ll see two price highs this year, new data suggests.
In one TweetOn August 18, Charles Edwards, CEO of the investment company Capriole, emphasized that 2021 shares an important similarity with the 2013 double-top bull cycle.
Bitcoin price is preparing for a second surge
Bitcoin price has split opinions on whether its bull run in 2021 looks more like 2013 or 2017., the other two years immediately after the halving of events.
Looking at a metric, Unrealized Gains and Losses (UPL), the answer can be simple. According to Edwards, only 2013 delivered similar results for the profitability of currencies.
“There is new evidence of a double bitcoin bubble”he summarized.
At the highs of the previous cycle, jumps could never keep profits and unrealized losses above 0.5. Only the double bubble from 2013 and the current one have been successful.
Such an outlook also takes into account a popular stock price model that calls for an average BTC / USD value of $ 100,000 or more this year.. Its creator PlanB had previously given a year-end low of 135,000 US dollars as the “worst-case scenario” for Bitcoin.
The results are not the only ones leading to the conclusion the “double bubble”.
The dedicated monitoring tool The Bitcoin Bubble Index describes a two-phase price increase again this year.
Contextualize, The Bubble Index hit its all-time high of 119 on April 14 when the BTC / USD pair hit its current all-time high of $ 64,500. It currently measures 110, roughly the same as its high when Bitcoin is at $ 44,500.
In May, when Bitcoin headed to local lows of $ 29,000, Data from on-chain analytics company Glassnode suggested this year would be similar to 2013.