A trader who accurately called Bitcoin’s (BTC) May 2021 crash believes that the king crypto just officially entered a bull market.

Pseudonymous analyst Dave the Wave tells his 140,900 followers on the social media platform X that Bitcoin’s moving average convergence divergence (MACD) indicator on the monthly chart has now flipped bullish after crossing over the zero level.

The MACD is a momentum indicator that can signal the reversal of an asset’s trend.

“BTC monthly MACD now crossing the zero-line into official bull territory.”

Source: Dave the Wave/X

Dave the Wave says that investors from traditional finance will increasingly invest in Bitcoin as a safe haven from uncertain macroeconomic conditions, similar to how gold is traditionally perceived.

He predicts that institutional investment in Bitcoin will send BTC’s market cap soaring to as high as $20 trillion, a more than 3,000% increase from its current value, in the coming decades.

“Yup, digital gold will come to function just as gold does (macro insurance) for the big money. This is what I mean by the capitalization of BTC where it will approach the market cap of gold…

At a conservative estimate (for institutional money) on track and still a far way to go before BTC starts to compare with gold’s market cap of 13 trillion (currently).”

Source: Dave the Wave/X

Bitcoin, with a market cap of $672 billion, is trading for $34,414 at time of writing.

Generated Image: Midjourney

The post Trader Who Called 2021 Crypto Collapse Says Bitcoin in Official Bull Market Territory – Here’s Why appeared first on Crypto News Australia.

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Filed under: Bitcoin - @ November 1, 2023 8:21 pm