Murad Mahmudov, a former Goldman Sachs analyst and the current Chief Investment Officer (CIO) at multi-strategy crypto hedge fund Adaptive Capital, explained on Monday (August 12) why believes that the price of Bitcoin (BTC) is going to $100,000.
According to data from CryptoCompare, at press time (12:08 UTC on August 13), Bitcoin (BTC) is trading at $11,234, down 1.11% in the past 24-hour period:
Part of the reason for the current mood in the market could be yesterday's decision by the U.S. Securities and Exchange Commission (SEC) to postpone making a decision on all three pending Bitcoin (BTC) exchange-traded fund (ETF) proposals.
The three pending Bitcoin ETFs were proposed by Bitwise Asset Management (filed with NYSE Arca), VanEck/SolidX (filed in February with Cboe Global Markets), and Wilshire Phoenix (filed with NYSE Arca).
The final decision for the first two proposals are expected by October 13 and October 18 respectively, while the new deadline for the third proposal is September 29 (although the Commission could delay again by another 150 days).
So, right now, you might be feeling skeptical about Mahmudov's $100K price prediction for Bitcoin.
However, Mahmudov says that although this might be a choppy week for Bitcoin, traders should not be focusing on "short timeframes", and that his intuition tells him that "there is steady accumulation happening at these levels":
At first glance this looks like a weak chop for the next week or so, but my intuition tells me there is steady accumulation happening at these levels.— Murad Mahmudov 🚀 (@MustStopMurad) August 12, 2019
Don't try to outsmart yourself on short timeframes, zoom out & think big. In my view, BTC is going to $100K per orangecoin. pic.twitter.com/uccAgZdcXo
He then went on to explain the reasoning for his Bitcoin price prediction using technical analysis:
Locally a derisked long would be a 4H RSI reset & a breakout of the black diagonal, which pretty much aligns with the wedge breakout.— Murad Mahmudov 🚀 (@MustStopMurad) August 12, 2019
200MA/EMA/RSIbands+Weekly support all point to 10.8 but you may get a wick at most given the orderbook support across exchanges.
A number of confluences pointing to that level on the Daily as well. Goes without saying that this is not financial advice, but If I were a betting man, I would be patiently and slowly adding at every key support. pic.twitter.com/mJJLv6rXDJ— Murad Mahmudov 🚀 (@MustStopMurad) August 12, 2019
Although we have had predictions of $100K for Bitcoin before, such as the one made by Anthony Pompliano (aka "Pomp"), Co-Founder and Partner at Morgan Creek Digital Assets, on June 24 (when he said that BTC would reach $100K by 31 December 2021) in his daily newsletter "Off The Chain", this is one of the first $100K price predictions made using technical analysis rather than fundamental analysis or sentiment analysis.
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