Bitcoin’s Bullish Future: Why You Shouldn’t Panic Just Yet! 🚀

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What to know:

  • BTC‘s 200-week SMA is still playing catch-up to the dizzying heights of the 2021 bull market. 🐂
  • Historical data suggests bull markets like to throw a party, peaking when the average price finally decides to join the fun. 🎉

So, here we are, staring into the abyss of historical trends that hint at a bright future for bitcoin (BTC). Just when you thought inflation was going to rain on our parade, it seems like BTC has a few tricks left up its sleeve. 🪄

The 200-week simple moving average (SMA) of bitcoin’s price, which is like the wise old sage of the crypto world, currently sits at a respectable $44,200. This number, according to TradingView, is the highest it has ever been. But hold your horses! It’s still a far cry from the previous bull market’s peak of $69,000 back in the glory days of November 2021. 🐴

Now, why does this matter? Well, history has a funny way of repeating itself, especially when it comes to bull markets. They tend to wrap things up with the 200-week SMA finally catching up to the record prices of yesteryear. It’s like waiting for your friend to finish their drink before you can leave the bar. 🍻

Take, for instance, the last bull market that wrapped up in late 2021, where the 200-week SMA climbed to $19,000, which was the peak of the 2017 bull market. And let’s not forget the 2017 extravaganza, which ended with the SMA rising to a jaw-dropping $1,200. Yes, you read that right—$1,200! What a time to be alive! 🎊

If history is any guide, bitcoin’s current price range of $90,000 to $110,000 is likely to resolve in a bullish manner, setting the stage for the next big leap. Think of it as a spring coiling up, ready to launch you into the stratosphere. 🚀

And if you need more convincing, let’s talk options. The pricing on Deribit is giving us a thumbs-up for a bullish outlook. According to Amberdata, options with expirations of three months or longer are showing that call options are more popular than put options. It’s like everyone is betting on a sunny day at the beach, rather than a rainy one. ☀️

Moreover, most of the open interest is hanging out in call options at strikes higher than BTC’s current market price of $96,700. The $120K strike is the belle of the ball, with a notional open interest of over $1.8 billion. That’s a lot of confidence for a digital currency that was once worth less than a cup of coffee! ☕

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2025-02-14 10:37