Economist Henrik Zeberg has predicted a big Bitcoin rally, based on the BTC/SPX Ratio, which shows Bitcoin outperforming stocks. Bitcoin’s current price hovers near $27,500, potentially rising if it surpasses $27,700 resistance.Zeberg’s analysis centers on the BTC/SPX Ratio, an indicator juxtaposing Bitcoin’s performance against the S&P 500 index (SPX). He hints at a substantial Bitcoin rally, asserting that the upward trend is still in its infancy.The BTC/SPX Ratio serves as a pivotal yardstick for gauging the relative performance of Bitcoin in comparison to the conventional stock market. This ratio is ascertained by dividing the spot prices of Bitcoin and the S&P 500 index. The BTC/SPX Ratio is ascending, signifying Bitcoin’s superior performance in relation to the stock market.Drawing upon historical data, Zeberg alludes to a similar “bull” signal between April 2019 and May 2021. Bitcoin’s value multiplied sixfold during this interval, while the S&P 500 experienced a comparatively modest 41 percent uptick. Zeberg posits that based on the BTC/SPX Ratio’s performance, there is a strong likelihood that Bitcoin and other high-risk assets could witness substantial gains in the months ahead.Notwithstanding the optimism surrounding the bull signal of early February 2023, it is imperative to acknowledge the inherent unpredictability of the cryptocurrency market. The BTC/SPX Ratio may not invariably pinpoint precise market highs or lows, introducing an element of uncertainty regarding the possibility of another market correction before Bitcoin embarks on further price ascensions.In a climate conducive to market growth and with the BTC/SPX Ratio retaining its validity, it becomes complex to estimate the upper bounds of Bitcoin’s potential price surge. Drawing parallels with the preceding bull run, where Bitcoin’s worth multiplied sixfold, it is plausible to speculate that it could surpass the $200,000 threshold during this bullish cycle.Transitioning to the present, Bitcoin’s price analysis reveals a failure to sustain momentum above the $28,500 resistance level. Consequently, it initiated a corrective decline below $28,000 and dipped below the $27,500 level, breaching the 100-hourly Simple Moving Average (SMA). Bitcoin is consolidating its losses around the $27,500 support level, with minimal indications of further downward movements.Should Bitcoin surpass the $27,700 resistance, the next prominent obstacle lies at approximately $27,880 or the 50 percent Fibonacci retracement level. This could pave the way toward the $28,500 resistance and potentially the $29,200 level. Conversely, a failure to breach the $27,500 resistance could usher in additional downward pressure. Immediate support is envisaged at around the $27,200 level, followed by more robust support at $27,000. The primary support range is presently anchored around $26,800. A decisive breach and close below $26,800 might precipitate a descent toward $26,200, with $26,000 emerging as the next pivotal support threshold. Price oscillations could offer the prospect of renewed upward momentum toward the $28,500 resistance, with substantial gains potentially paving the way toward the $29,200 level.
This News Article was automatically generated by Bob the Bot (AI)
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Global |
| Countries | |
| Sentiment | neutral |
| Relevance Score | 8 |
| People | SEC, Henrik Zeberg, FCA, CySEC, FINRA |
| Companies | SEC, Coinbase, FCA, eToro, CySEC, FINRA |
| Currencies | Backed CSPX Core S&P 500, Ethereum, Bitcoin, US Dollar |
| Securities | None |
