Bitcoin Cycle Indicator Reveals Current Price Position
Crypto analyst Stockmoney Lizard has used his developed indicator, the Satoshimeter, to assess the current position of Bitcoin in the market cycle. According to the analyst, Bitcoin is currently in the mid-phase of its bull cycle, with significant upside potential towards $200,000 before a major correction occurs.
The Satoshimeter is an on-chain metric that is used to identify Bitcoin's stage in the present market cycle. Historically, readings around 1.6 on the Satoshimeter have typically marked major bear market bottoms, as seen in the price chart in the years 2011, 2015, 2019, and 2022. However, the current reading is elevated but stable in the mid-range, well below past cycle top extremes, indicating that Bitcoin is not yet overheated and its bullish structure remains intact.
With Bitcoin trading at around $113,759 (at the time of writing), this implies a potential rally of more than 75% in the current cycle to hit the $200,000 milestone. This view is supported by recent price action showing momentum gains above $120,000, but the Satoshimeter suggests that Bitcoin remains far from the euphoric peak typical of final bull cycle stages.
In summary, the Satoshimeter analysis suggests a long-term bullish trajectory for Bitcoin with substantial growth potential ahead. The indicator points to continued medium-term bullish potential rather than an immediate top. The Satoshimeter offers a nuanced look into Bitcoin's movements and price position, employing on-chain metrics to map out Bitcoin's cyclical behavior, identifying both long-term bottoms and tops.
Key Points
- Bitcoin cycle phase: Mid-cycle bull phase (intermediate)
- Satoshimeter reading level: Elevated but well below previous cycle tops (not overheated)
- Price projection: Potential stair-step rise toward $200,000 before correction
- Recent trading price: ~$113,759 to $123,000 area
- Expected rally magnitude: Over 75% increase from current levels
- Indicator use: On-chain metric assessing cyclical price behavior, identifying bottoms and tops
This analysis suggests a long-term bullish trajectory for Bitcoin with substantial growth potential ahead, in line with prior cycle dynamics observed by the Satoshimeter. The analyst anticipates a stair-step progression toward a potential high of $200,000 before a significant market correction sets in. The Satoshimeter indicator offers valuable insights into the current state of the Bitcoin market and its future prospects.
[1] Stockmoney Lizard, "Satoshimeter: Bitcoin's Mid-Cycle Bull Run," [website], [date]. [2] Bitcoin.com, "Bitcoin Price Hits New All-Time High Above $123,000," [website], [date]. [3] CoinDesk, "Bitcoin Price Drops 8.3% from All-Time High, Trading at $113,759," [website], [date].
- The Satoshimeter, an on-chain metric used by analyst Stockmoney Lizard to assess the current phase of Bitcoin's market cycle, has indicated that Bitcoin is currently in a mid-cycle bull run.
- Despite the elevated Satoshimeter reading, the Bitcoin market remains stable and far from being overheated, according to the analyst.
- With Bitcoin trading at around $113,759, this on-chain analysis suggests a potential rally of over 75% to reach the $200,000 mark.
- The recent price action above $120,000 supports this view, but the Satoshimeter indicates that Bitcoin is still far from reaching the euphoric peak typically seen in final bull cycle stages.
- In light of this analysis, the Satoshimeter points to a long-term bullish trajectory for Bitcoin, offering valuable insights into the current state of the bitcoin market and its future prospects, supporting continued medium-term bullish potential rather than an immediate top.
