Articles abound with stories of Bitcoin target projections of over 300,000. Projecting so far out is an interesting intellectual exercise. But, let’s look at a long term chart of Bitcoin using monthly data.
If this is an ascending triangle with an upside breakout, and if price can get above the all time high that is the high of the pattern, then a projected dollar move based on the widest part of the triangle is around 30,000.
Now, we are using a log chart because the price swings have been so large that it makes sense to do so. If we project the price move based on the percentage gains that span the width of the triangle, then we end up close to 100,000. If we take a projected move based on the size of the rally into the triangle, then yes, we are around 200,000. Could it be possible?
By
Alex Cole
