Bitcoin metric with ‘100% long hit rate’ predicts $23K BTC price floor

Bitcoin (BTC) might provide financiers an uncommon opportunity to purchase an assistance zone with a “100% long hit rate,” brand-new analysis says.In its latest update piece on Aug. 29, crypto asset supervisor Capriole Investments told investors to look for a BTC cost dip to $24,000. Capriole founder “really positive” in $23,000 BTC price assistance Bitcoin continues to track sideways around $26,000, but there is no shortage of market individuals predicting further BTC cost disadvantage.$25,000 stays a popular target, but for Capriole, long-term trend lines with an excellent history are of greater interest.Chief among them are Bitcoins weekly assistance zone at $24,000 and its so-called “Electrical Price” (EP). This refers to the typical miners electricity costs per BTC around the world and currently sits at just over $23,000. EP has served as strong support on long timeframes throughout Bitcoins history, with the dip to two-year lows in November 2022 being no exception. In late December in 2015, EP struck lows a little above $14,000. Capriole therefore describes EP as a “traditionally tough rate flooring and level with a 100% long struck rate.””Together these price points give very strong confluence from a basic and technical perspective to the opportunity that $23-24K presents, need to we arrive,” it discussed the technical weekly level and EP, respectively.In part of a subsequent X post, Capriole additionally explained the trend lines as “promising and rare structures” for Bitcoin “worth paying attention to.”Continuing, Capriole founder Charles Edwards said that $23,000 should serve as “rock strong assistance.””I am feeling very positive in $23K being a rock strong assistance and an extraordinary long-lasting opportunity if we arrive in the next couple of weeks,” he told X subscribers on the day. “Electrical Cost has a 100% hit rate through Bitcoins history. Its my preferred long-lasting Bitcoin metric.”Bitcoin production expense vs. electrical rate vs. BTC/USD chart. Source: Capriole InvestmentsBitcoin miner discomfort on the horizon?BTC/ USD traded near $26,000 at the Aug. 29 Wall Street open, per data from Cointelegraph Markets Pro and TradingView.Related: Wen moon? Bitcoin cutting in half cycle tips at Q4 as clever money purchases the rumorAnalyzing miners financial buoyancy, James Straten, research and information expert at crypto insights firm CryptoSlate, forecasted a rerun of BTC rate behavior from 2019, as the marketplace laid the foundations of its next bull run.”Bitcoin miner earnings is currently sitting at $25.5 M. Just sitting above the 365SMA of $22.5 M,” he kept in mind.”It looks very similar to the 2019 playbook. Need to break below soon.”Bitcoin miner revenue chart. Source: James Straten/XAccompanying data from on-chain analytics firm Glassnode revealed miners earning less than their annual average into 2020. Straten built on findings from Dylan LeClair, senior analyst at digital asset fund UTXO Management, who described the phenomenon as “custom.”This post does not contain financial investment recommendations or recommendations. Every financial investment and trading move involves danger, and readers must conduct their own research when making a decision.

Bitcoin (BTC) may provide investors an unusual chance to buy at a support zone with a “100% long struck rate,” brand-new analysis says.In its latest update piece on Aug. 29, crypto possession supervisor Capriole Investments told investors to enjoy for a BTC cost dip to $24,000.$25,000 stays a popular target, however for Capriole, long-term pattern lines with an outstanding history are of higher interest.Chief amongst them are Bitcoins weekly assistance zone at $24,000 and its so-called “Electrical Price” (EP).”Together these rate points offer extremely strong confluence from a fundamental and technical viewpoint to the chance that $23-24K presents, must we get there,” it wrote about the technical weekly level and EP, respectively.In part of a subsequent X post, Capriole additionally explained the trend lines as “promising and rare structures” for Bitcoin “worth paying attention to. Bitcoin halving cycle hints at Q4 as smart cash buys the rumorAnalyzing miners monetary buoyancy, James Straten, research and data expert at crypto insights firm CryptoSlate, forecasted a rerun of BTC cost habits from 2019, as the market laid the structures of its next bull run.

Other Questions People Ask

What does the Bitcoin metric with ‘100% long hit rate’ indicate about the $23K BTC price floor?

The Bitcoin metric with a ‘100% long hit rate’ suggests that the price floor for BTC is likely to hold around $23,000. This metric, known as the "Electrical Price" (EP), has historically served as a strong support level during market downturns. Analysts from Capriole Investments emphasize that this price point, combined with the weekly support zone at $24,000, creates a compelling opportunity for investors looking to enter the market.

How can investors utilize the Bitcoin metric predicting a $23K price floor?

Investors can use the Bitcoin metric predicting a $23K price floor as a strategic entry point for long-term investments. By monitoring price movements around this level, particularly if BTC dips towards $24,000, investors may find a favorable buying opportunity. The historical reliability of the EP as a support level adds confidence to this strategy, making it essential for investors to stay informed about market trends.

What are the implications of the Bitcoin price prediction for miners?

The Bitcoin price prediction of a $23K floor has significant implications for miners, particularly regarding their profitability. As noted by analysts, if BTC prices dip below this threshold, it could lead to increased financial strain on miners who are already facing challenges with earnings. Understanding these dynamics can help investors gauge market sentiment and potential future price movements based on miner behavior.

Why is the $23K support level considered 'rock strong' by analysts?

Analysts describe the $23K support level as 'rock strong' due to its historical performance as a reliable price floor in Bitcoin's trading history. The Electrical Price (EP) metric has consistently demonstrated a 100% long hit rate, reinforcing its significance as a support zone. This strong technical backing makes it an attractive level for investors looking for stability in their Bitcoin investments.

What should investors watch for regarding Bitcoin's price movements near the $23K floor?

Investors should closely monitor Bitcoin's price movements as it approaches the $23K floor, particularly looking for signs of buying pressure or resistance at this level. If BTC dips towards $24,000, it may present an ideal buying opportunity based on historical trends and the confluence of technical indicators. Staying updated on market sentiment and miner profitability can also provide valuable insights into potential price actions around this critical support zone.