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Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident

Bitcoin Could Go ‘Bananas’ If Price Closes Above This Level, Top Analyst Says

Keshav Verma
Keshav Verma
4 days ago
2 mins read
Bitcoin

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An analyst has explained how Bitcoin has been tracking Gold for a while now, which could provide hints about what may be next for BTC.

Bitcoin Has Been Following In Gold’s Footsteps on 2-Day Timeframe

Last year, Capriole Investments founder Charles Edwards shared in an X post how Bitcoin was following the same structure as the Gold all-time high (ATH). Below is the chart that the analyst posted back then.

Bitcoin Vs Gold
How BTC’s 2-day price trajectory in 2024 stacked up against the historical action of Gold’s 1-week value | Source: @caprioleio on X

From the graph, it’s visible that BTC was consolidating at its 2021 ATH in a manner similar to Gold’s movement around the 1980 ATH. The latter’s consolidation ended with it breaking out and rallying to a point two times higher.

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In a new post, Edwards has shared a late update on how things ended up playing out for Bitcoin.

Bitcoin Vs Gold New
The breakouts of BTC and Gold compared | Source: @caprioleio on X

As the consolidation around the respective ATHs already hinted, there indeed ended up being some similarity between the breakouts for the prices of the two assets as well.

But this is all in the past, where does the latest Bitcoin price action stack up against Gold? Here is another chart posted by the analyst, highlighting the point BTC is currently at:

Bitcoin Vs Gold Even Newer
BTC’s volatility appears to have been a magnified version of Gold lately | Source: @caprioleio on X

As Edwards has highlighted in the graph, BTC’s breakout since the consolidation phase around the ATH has continued to resemble Gold’s, except for the fact that BTC’s volatility has been roughly twice as high, in terms of both upward and downward moves.

That said, the cryptocurrency’s latest close has looked less promising than what the precious metal displayed at a similar stage in its structure. It’s possible that the two could diverge from here, but in the case that they don’t, Gold’s path may provide a glimpse into what could lie ahead for the coin.

As is apparent from the chart, the traditional safe-haven asset saw a significant surge from this point. Based on this, the analyst has noted, “close back above $110K and this will probably go bananas.” It now remains to be seen how things would play out for Bitcoin in the near future.

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In some other news, the institutional DeFi solutions provider Sentora has shared data related to how the cryptocurrency’s supply is currently distributed among the various segments of the sector.

Bitcoin Ownership Distribution
Looks like Satoshi’s holdings make up for 4.6% of the asset’s total supply | Source: Sentora on X

It would appear the individual investors control around 69.4% of the total potential Bitcoin supply. The ETFs and other funds own around 6.1%, while businesses about 4.4%. About 7.5% of all BTC that there ever will be has already been lost due to missing keys and/or being forgotten.

BTC Price

At the time of writing, Bitcoin is trading around $104,200, down more than 4% in the last week.

Bitcoin Price Chart
BTC has been going downhill in recent days | Source: BTCUSDT on TradingView
Featured image from Dall-E, Sentora.com, charts from TradingView.com
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Keshav Verma
Keshav Verma

Keshav Verma

Keshav is currently a senior writer at NewsBTC and has been attached to the website since June 14, 2021.

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Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to.

In terms of official educational qualifications, Keshav holds a bachelor’s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions.

Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true.

Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn’t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment..

Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form.

Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new.

As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money.

Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn’t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs.

Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.

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Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

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