After yesterday’s attempt to test the level of $ 10,000 on Friday, the BTC fell to $ 9,200.

Some investors fear that volatility near key psychological resistance indicates that the BTC bearish trend will continue.

However, several factors at once indicate the opposite, giving the bulls hope for updating historical highs of about $ 20,000.

The key signal that preceded the past BTC rally

According to data provided by analyst Philip Swift, the Puell Multiple indicator, which reflects the ratio of the daily BTC issue in dollars relative to the moving average of the same metric, has just reached the key zone.

    The dynamics of the Puell Multiple indicator, according to LookIntoBitcoin

As you can see above, the multiplier entered the green area at the bottom of the graph. The indicator reaches this zone whenever Bitcoin approaches the macro bottom over the past eight years:

• When the BTC fell to $ 3,700 this year, the indicator hit the green line.
• Bitcoin bottomed out at $ 3,150 when, at the end of 2018,index Puell Multiple reached the bottom of the green area.
• Before the 2015-2017 rally, up to $ 20,000, this indicator was also in the green zone.

According to historical data, Bitcoin is on the verge of a long-term rally.

Strong technical signals on BTC charts

A few days ago, Alice Capital spokesman Alex Fiskam said that with the current rally, many “Indicators do not signal a peak, as was the case with previous tests of the long-term trend line”:

Kelvin Koch, a partner at The Spartan Group, a former Goldman Sachs partner, agreed with his colleague that the “hated rally” is starting. Moreover, while many market participants are watching him on the sidelines. This is indicated by the options market indicators, the relative strength index and the index of fear and greed of Bitcoin.

The demand for bitcoin is growing

In addition to these strong technical and intra-chain signals, analysts note an increased demand for the main cryptocurrency.

Well-known economist Alex Kruger noted that after the statements of the legendary macro investor Paul Tudor Jones, “demand will increase”:

A letter from Paul Tudor Jones is the most bullish thing ever written about Bitcoin, and its author is Tudor himself. I see this as a turning point. I think many macro investors will follow him.