Investor Trace Mayer said he believes Bitcoin is currently underestimated and that its target price for next February (only four months) is $ 27,395 per Bitcoin. It bases this forecast on the steady increase in Bitcoin's 200-day moving average.
Trace Mayer, J.D. was one of the "first popular bloggers to publicly recommend Blockchain technology" according to his website. At the time, Mayer recommended that his followers acquire Bitcoin, the price per coin was only US $ 0.25.
Like most early Bitcoin supporters, Mayer is extremely wealthy, having recently challenged Roger See to a bet of 25,000 BTC. There are few people in the world with enough cash to make $ 121 million bets. In addition to its early adoption and recommendation from Bitcoin, Mayer provided investment for Kraken, BitPay and Armory.
Technical Analysis: What are moving averages?
Technical analysis is the art of trying to determine the future price movement of an asset based on its history. While many claim that it is merely a pseudoscience, others believe that technical analysis has its roots in human psychology. Analysts are clear in pointing out that their work is based on probability, so it is possible to say that the price will probably go up or down, but the unpredictability of the markets prevents it from being a certainty.
Mayer's 200-day moving average is simply the average price of Bitcoin in the last 200 days. Every day, the oldest day data is removed, the closing price of the most recent day is added, and the metric is recalculated. As the 200-day moving average is weighted with these old price data, a gain market is significantly behind the current price. The objective of the measure is to show the general trend of the price movement.
In the case of Bitcoin, the 200-day moving average continues to increase, indicating that we remain in a high market (the timing is on the bulls side). If the moving average decreases, this would be a sign of weakness and possible reversal. The current price should remain within a certain reach of the moving average. If the price is much higher, the gains are probably unsustainable.
Mayer is forecasting the 200-day moving average will continue to rise, and that Bitcoin will remain at a reasonable level above the measure. Only time will tell if Mayer is right or wrong, but the story certainly seems to be on your side.
Trace Mayer, J.D. was one of the "first popular bloggers to publicly recommend Blockchain technology" according to his website. At the time, Mayer recommended that his followers acquire Bitcoin, the price per coin was only US $ 0.25.
Like most early Bitcoin supporters, Mayer is extremely wealthy, having recently challenged Roger See to a bet of 25,000 BTC. There are few people in the world with enough cash to make $ 121 million bets. In addition to its early adoption and recommendation from Bitcoin, Mayer provided investment for Kraken, BitPay and Armory.
Technical Analysis: What are moving averages?
Technical analysis is the art of trying to determine the future price movement of an asset based on its history. While many claim that it is merely a pseudoscience, others believe that technical analysis has its roots in human psychology. Analysts are clear in pointing out that their work is based on probability, so it is possible to say that the price will probably go up or down, but the unpredictability of the markets prevents it from being a certainty.
Mayer's 200-day moving average is simply the average price of Bitcoin in the last 200 days. Every day, the oldest day data is removed, the closing price of the most recent day is added, and the metric is recalculated. As the 200-day moving average is weighted with these old price data, a gain market is significantly behind the current price. The objective of the measure is to show the general trend of the price movement.
In the case of Bitcoin, the 200-day moving average continues to increase, indicating that we remain in a high market (the timing is on the bulls side). If the moving average decreases, this would be a sign of weakness and possible reversal. The current price should remain within a certain reach of the moving average. If the price is much higher, the gains are probably unsustainable.
Mayer is forecasting the 200-day moving average will continue to rise, and that Bitcoin will remain at a reasonable level above the measure. Only time will tell if Mayer is right or wrong, but the story certainly seems to be on your side.