Earlier reports show that the recent crypto bull run that saw Bitcoin gain almost 20% since April 2 came to a pause today (after cryptos began to trade in the green). Many experts have been waiting for some positive news. It appears their prayers may have been answered as market strategy and research company Fundstrat has reported that an important technical indicator shows that the Bitcoin could be set to initiate a 193% surge. When you consider its current price levels going by this data you’ll discover that a 193% gain will see it reach $13,500.
Bitcoin (BTC) Price Today – BTC / USD
Fundstrat: BTCs Recent Rally Will Remain a Crucial Price Metric
According to Fundstrat, Bitcoin’s most recent rally above the 200-day MA will likely remain one of the most important metrics to watch in the leading digital currency moving forward.
According to a report by MarketWatch, Fundstrat recently did an analysis of Bitcoin’s average returns through a six-month period (whenever the crypto traded either above or below the 200-day MA.
When Fundstrat released this report on Tuesday, BTC’s 200-day stood at $4,620. This, in essence, means that a 193% price rally will lift the price of the digital asset to about $13,500. The last time such a figure was seen for Bitcoin was on January 15, 2018.
For now, the crypto market is in the red. Among the top three cryptos by market capitalization, the Bitcoin price is down 2.21%. It is trading at $4,927 according to CoinMarketCap. Ethereum is down 0.23% now trading at $163.64. As for XRP, the digital asset is up by 4.415% and is trading at $0.3677.
Fundstrat is Still A Bitcoin Bull
Tom Lee of Fundstrat he has begun to spread the Bitcoin gospel once again. In a recent segment on CNBC, the Fundstrat co-founder and head of research said he expects BTC to head higher. According to him, there is a broad range of factors to back his theory. In fact, Lee states that the current fair value of Bitcoin (BTC) could easily enter the quintuple-digit range. He believes that BTC is undervalued, despite Monday’s price surge and subsequent fallout.
According to Lee while the Bitcoin (BTC) has had it “rough in 2018” (a period that saw startups collapse, the overall market cap lose 85% in value, retail investors flee, and institutional players watching from the sidelines), 2019 already looks better. Before the recent surge above $4,200 and beyond, the Bitcoin (BTC) price was up by 11% already since the beginning of 2018.
Can the Macroeconomy Boost Bitcoin Price?
Lee’s makes his points known only weeks after he declared that the current state of the macroeconomy has the potential to push the Bitcoin price higher in 2019. Per previous reports from the firm, Lee who is also a prominent commentator cited that emerging markets, that have their value captured via the MSCI Emerging Markets Index, brought down Bitcoin (BTC) over 2018. This particular index fell by a whopping 27% in 2018, as Bitcoin (BTC) went to lose 70% of its value.
However, since Fundstrat is predicting that emerging markets will outperform the U.S. equities in 2019. When you go by this correlation, according to Lee, if Bitcoin “catches up” to the macroeconomy, it could reportedly reach $10,000 or even $20,000.