The post Bitcoin On Brink Of Breakout Like Gold In 2008: Hedge Fund CEO appeared on BitcoinEthereumNews.com.

In the latest edition of the Capriole Investments newsletter dated August 20, 2024, Charles Edwards, founder and CEO, draws striking parallels between the current market behavior of Bitcoin and the historical performance of Gold, particularly during its 2008 rally. Bitcoin Mirrors 2008 Gold Rush Edwards points out that Bitcoin has been consolidating around $60K, echoing the pattern Gold followed before its significant rally. “Bitcoin is under pressure, mirroring the longest period of consolidation at any ATH in its history,” Edwards notes, suggesting that this could be a precursor to a significant breakout. According to him, this pattern closely mirrors that of Gold in the late 2000s, when it consolidated for nine months around its 1980 ATH before launching a significant two-year rally in 2008. Edwards elaborates on the technical similarities, noting, “Gold’s first significant consolidation post-ETF launch preceded a rally that saw its value climb by 180% in just over two years. Today, Bitcoin exhibits similar market behavior in the aftermath of its own ETF launches and consolidations.” Related Reading Edwards notes that during Gold’s consolidation phase in 2008, the asset underwent a -33% drawdown, eventually marking what many investors consider a generational bottom. Bitcoin’s recent dip to $48,000—a -33% crash—strikingly aligns with this aspect of Gold’s historical price action. “The July 2024 Bitcoin dip saw a -28% drop to $53K, and the more recent August 2024 dip mirrored Gold’s final plunge, falling a mere half a percent short,” Edwards states, highlighting the precision of these parallels. Gold consolidation at 2008 ATH vs. Bitcoin consolidation at 2021 ATH | Source: Capriole Investments Based on these historical parallels, Edwards predicts that Bitcoin price could be “ripping straight to $140K with no dips by around May 2025.” While he acknowledges that a single datapoint does not mean that gold’s history has to…

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Filed under: News - @ August 20, 2024 11:22 pm