Bitcoin’s price action in the past 24 hours has been marked by a highly volatile phase that saw it briefly reach above the $106,000 mark. However, this was followed by a return to consolidation around the $103,000 price level. 

This intense volatility in the past 24 hours suggests that the Bitcoin price still has a long way to go before it reaches a price top. Amid this volatile movement, a new macroeconomic model, the Decode Macro Trend Oscillator (MTO), has pointed out when to expect Bitcoin’s price to top this cycle.

Decode’s Macro Trend Oscillator Model And Its Alignment With Bitcoin Peaks

The Decode Macro Trend Oscillator is a sophisticated tool designed by a Bitcoin analyst known as Decode on the social media platform X. The oscillator aggregates around 40 macroeconomic indicators, ranging from interest rates and global liquidity to industrial production and market volatility, into 17 carefully selected leading metrics.

These are then normalized and visualized as a histogram to produce a cyclical pattern that has historically aligned with Bitcoin’s major tops. A close look at the chart titled Bitcoin Liquid Index on the 1M candlestick timeframe reveals that the light green histogram bars have coincided with each of Bitcoin’s cycle peaks in 2013, 2017, and 2021.

These peaks are marked by vertical red lines, and the transitions from deep red to green territory on the oscillator appear to offer a visual cue for the end of bearish phases and the onset of price rallies. As of May 2025, the histogram remains in a deep red zone but has begun inching upward, with the most recent bar reading at -11.47, suggesting that macroeconomic conditions may soon start to favor a bigger rally for Bitcoin.

BTC Mode Configuration Fine-Tunes Cycle Top Prediction

Decode’s analysis goes beyond Bitcoin-specific indicators. In one of the accompanying charts of the S&P 500 Index of the 2M timeframe, a long-term comparison is made between the current global environment and the economic backdrop of the late 1980s and early 1990s. Interestingly, Decode’s macro trend oscillator proved reliable in estimating periods of downturns and expansions in both instances. 

In both instances, inflation pressure and declining consumer sentiment pushed the oscillator deep into negative territory for years. However, once the histogram flipped into the green, the economy and prices entered a prolonged phase of expansion.

The third chart offers a more detailed view of Bitcoin’s weekly trend, including an overlay of M2 money supply growth, which is another popular monetary metric. This view highlights how the Macro Trend Oscillator, when switched to a configuration Decode called “Bitcoin Mode,” fine-tunes its sensitivity to metrics that directly impact crypto markets. In this configuration, only a few of the full 17 metrics that best identify Bitcoin cycle tops are used.

As it stands, Bitcoin is still in the negative red histogram zone, even despite its rally in recent months. The first deep green histogram has yet to show up, not to mention the first light green bar that will mark the cycle peak. Based on this setup, the oscillator implies that Bitcoin still has a lot of room to run this cycle, and that a price top is unlikely to arrive in 2025.

At the time of writing, Bitcoin is trading at $103,300.

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Filed under: Bitcoin - @ May 20, 2025 1:30 am