"Bitcoin-IF the current gains hold through end of Oct-is poised for the second-highest monthly close ever. $BTC Institutions are increasingly involved in Bitcoin ownership. Institutions mark the value of their assets monthly."
In addition to the rise in trading volume and growing institutional appetite, investors are referring to the logarithmic chart to forecast a broader rally.
The log price chart is the most widely used scale by most technical analysts.
A logarithmic chart simply means a chart that represents common percent changes with equal spacing in a scale.
Raoul Pal, the founder and CEO of Real Vision Group, says Bitcoin's monthly log chart is highly optimistic.
"Its a bitcoin kind of day. The monthly log chart with regression lines is really something to behold. One of the nicest, post powerful chart patterns I've ever seen."
The technical reason behind the optimism towards the monthly log chart is mainly its clean breakout.
On high time frame charts, like the weekly and the monthly chart, BTC always closed below $11,000, except for 2020.
Apart from the numerous bullish technical and fundamental catalysts, the timing of the current rally is also in favor of a major Bitcoin bull cycle.
According to data from Skew, Bitcoin had not had three positive consecutive quarters since 2017.
Top traders say Bitcoin log chart points to a 2017-style BTC bull run
Published on Oct 22, 2020
by Cointele | Published on Coinage
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