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Bitcoin (BTC) Price Enters 'Overvalued' Zone: Charles Edwards of Capriole Investments

News
Mon, 06/01/2020 - 15:04
Vladislav Sopov
Charles Edwards, a seasoned crypto analyst and leader of the Capriole Investments digital assets fund, has shared an update on his 'Energy Value' prediction of Bitcoin
Bitcoin (BTC) Price Enters 'Overvalued' Zone: Charles Edwards of Capriole Investments
Cover image via twitter.com
Contents

Charles Edwards, author of the Energy Value model of the Bitcoin (BTC) price, noticed an interesting moment on its chart. And it doesn't take a great analyst to figure out whether it is, in fact, bearish or bullish.

Welcome back to the bullish market

As per the chart revealed by Mr. Edwards, the current Bitcoin (BTC) price was below its 'Energy Value' for nine months in a row. It entered this territory of undervaluation before the 'Xi Spike', in late Q3, 2019.

Charles Edwards: Bitcoin (BTC) enters overvalued zone
Image via Twitter

According to this model, the Bitcoin (BTC) price overperformed its 'Energy Value' levels only in periods of prominent bullish rallies. E.g. this rule proved accurate in the 2016-2017 run as well as during the short but significant mid-2019 rally.

Also, the 'Energy Value' figures are lagging behind Bitcoin (BTC) price movements. This means that when the Bitcoin (BTC) price crosses the 'Energy Value' moving average from the bottom, the bullish rally has already gained some steam.

At press time, the Bitcoin (BTC) Energy Value is sitting at $11,111 while its SMA level is at $9,098. The Bitcoin (BTC) price is eyeing $9,600 on major spot exchanges.

$100,000 for Bitcoin (BTC), but be patient

The 'Energy Value' model of the Bitcoin (BTC) price is a unique six-digit prediction based not on the sentiment of a toxic Bitcoin (BTC) maximalist but on sophisticated calculations. As previously reported by U.Today, Charles Edward studied the energy fundamentals of the Bitcoin (BTC) network to explain its price movements.

This prediction says we should get prepared for a $100,000 Bitcoin (BTC) price by the year 2025 or 2026.

It is worth noting that Mr. Edward masterfully described the nature of the correlation between crypto and stock prices in periods of high market volatility.

According to his estimations,

When markets are in Extreme Greed: investors are attracted to risky assets and Bitcoin performance correlates with equities, or when markets are in Extreme Fear: investors dump risky assets and Bitcoin performance correlates with equities.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)

Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director

News
Mon, 07/13/2020 - 14:38
Vladislav Sopov
John Lilic, managing director at ConsenSys decentralized development studio, has shared an over-bullish prediction for Ethereum (ETH) progress
Ethereum (ETH) Market Cap May Become Equal to Bitcoin's (BTC): ConsenSys Director
Cover image via stock.adobe.com
Contents

John Lilic leads international business development in the ConsenSys leading blockchain development studio. He is also an expert in energy markets and cryptocurrency segments. He tracked the progress of Bitcoin's (BTC) and Ethereum's (ETH) market capitalization statistics, coming up with an extravagant prediction.

Bitcoin (BTC) should get ready for parity

Mr. Lilic outlined that Ethereum (ETH) is showcasing much healthier dynamics than its competitor is. For instance, the flagship cryptocurrency still surpasses Ethereum (ETH) by 6.3x in terms of market capitalization, while simultaneously collecting 20% fewer fees than Ethereum (ETH).

John Lilic of ConSensys foresees parity of Bitcoin (BTC) and Ethereum (ETH) market capitalizations
Image via Twitter

Also, Ethereum (ETH) is demonstrating much more impressive price dynamics this year. It gained almost 37% against Bitcoin (BTC) in 2020. That said, Ethereum (ETH) looks severely undervalued to the top manager of ConsenSys.

However, Ether is on the path to eliminating this discrepancy. Eventually, the top two cryptocurrencies may reach market capitalization parity, concludes Mr. Lilic.

Related Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains
Related
Bitcoin (BTC) and Ethereum Have (ETH) Recovered From Black Thursday, Who Else? Coinmetrics Explains

As covered by U.Today Crypto News recently, Coinmetrics on-chain research team called Bitcoin (BTC) and Ethereum (ETH) the unique crypto behemoths that have managed to recover from Black Thursday.

Bitcoin (BTC) is losing supremacy in "fee race"

Should Ethereum (ETH) overcome its undervaluation, its price may be over $1,550 based on liquid supply and current Bitcoin (BTC) market capitalization.

Recently, it was unveiled that Ethereum (ETH) blockchain continues to surpass Bitcoin (BTC) in terms of network fees for more than 30 days in a row. Ethereum (ETH) is seeing this advantage for the first time in its history.

As U.Today Crypto News reported previously, ex-Messari analyst and angel investor Qiao Wang identifies two main catalysts of Ethereum's (ETH) price run in the mid-term perspective.

Related Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang
Related
Ethereum (ETH) Price Two Bullish Signals, According to Investor Qiao Wang

According to Wang, the upcoming rally may be fueled by a long-awaited transition to Proof of Stake and fixing the monetary policy of Ether token.

About the author

Blockchain Analyst & Writer with scientific background. 5+ years in IT-analytics, 2+ years in blockchain.

Worked in independent analysis (Crypto Briefing) as well as in start-ups (Swap.online, Monoreto, Attic Lab etc.)