If you are a Bitcoin investor who was eagerly waiting for some good news, we have some for you: the BTC price is facing a “double bubble” and it has all the chances of seeing two price tops by the end of 2021, according to analysts.
Charles Edwards, investment firm Capriole CEO, sent a tweet this Wednesday, highlighting the similarities between 2021 and 2013 and claiming that a double top bull cycle has all the chances of happening.
A second price peak could be ‘in the making’
So far, the BTC price managed to generate divided opinion over whether the bull run registered in 2021, at least until now, looks more like the one in 2013 or 2017, the two years that came immediately after block subsidy halving events.
And if one specific metric – unrealized profit and loss – is to be considered, the answer is actually simple, as 2013 was the year in which the results in terms of coin profitability were the same.
“In prior cycle tops, bounces were never able to hold unrealized profit and loss above 0.5. Only the 2013 double bubble and today have achieved this,” Edwards says.
So, when is this happening?
The current perspective on BTC price accommodates the well known stock-to-flow price model, which, to be more specific, involves an average BTC/USD reading of over $100,000 by the end of 2021. Even better, the price model’s creator, PlanB, previously predicted $135,000 as the minimum price for this year, calling it a “worst-case scenario” for Bitcoin.
Finally, according to a report from monitoring tool Bitcoin Bubble Index, a two-phase price peak could indeed happen this year!
So far, the Bubble Index managed to hit BTC’s all-time high of 119 on April 14, whem the BTC/USD pair was trading at $64,500. At the time of the writing, the Index is at 110, with one Bitcoin being valued at $44,500.