Here in my analysis i have used a48 simple moving average to show the price support of btcusd and surprisingly it had been a never broken support for bitcoin since 2011.
chart time frame: 1 month
technical indicator: 48 SMA
Logic behind using 48 SMA: As we all know bit coin halving cycle is a 4 cycle. so i wondered finding 4 year average price of bitcoin and for that i've used 48 SMA applied over a 1 month chart which is equivalent to finding average of 4 years (since 1 year =12 months so 4 years will have 48 months).
surprisingly as i started looking the chart since 2011 after its first big rally to over 1100 usd it retraced and took support exactly at 48 SMA near 200 dollars and price shoot again.
Then it rallied till 19600 usd and then btc crashed and it took support , once again at 48 SMA near about 3100 usd. it rallied again and during corona pandemic when everything crashed and bitcoin too, it crossed 48 SMA and retraced very quickly and given monthly close above 48 SMA. i.e. it still remained unbroken.
now in 2021 after its all time high of nearly 69000 usd it again started falling heavily no one knows where its going to stop but here comes 48 monthly SMA which is still below the current price and is at nearly 21900 usd and just below that is the support at 20000 usd so its going to be a crucial support for bitcoin and apparently for other alts as well.
chart time frame: 1 month
technical indicator: 48 SMA
Logic behind using 48 SMA: As we all know bit coin halving cycle is a 4 cycle. so i wondered finding 4 year average price of bitcoin and for that i've used 48 SMA applied over a 1 month chart which is equivalent to finding average of 4 years (since 1 year =12 months so 4 years will have 48 months).
surprisingly as i started looking the chart since 2011 after its first big rally to over 1100 usd it retraced and took support exactly at 48 SMA near 200 dollars and price shoot again.
Then it rallied till 19600 usd and then btc crashed and it took support , once again at 48 SMA near about 3100 usd. it rallied again and during corona pandemic when everything crashed and bitcoin too, it crossed 48 SMA and retraced very quickly and given monthly close above 48 SMA. i.e. it still remained unbroken.
now in 2021 after its all time high of nearly 69000 usd it again started falling heavily no one knows where its going to stop but here comes 48 monthly SMA which is still below the current price and is at nearly 21900 usd and just below that is the support at 20000 usd so its going to be a crucial support for bitcoin and apparently for other alts as well.