LIB: Golden Ratio Multiplier

2019年9月24日

Indicator Overview
The Golden Ratio Multiplier explores Bitcoin's adoption curve and market cycles to understand how price may behave on medium to long term time frames.
To do this it uses multiples of the 350 day moving average (350DMA) of Bitcoin's price to identify areas of potential resistance to price movements. Note: multiples are of the 350DMA's price values rather than its number of days.

The multiples reference the Golden Ratio (1.6) and the Fibonacci sequence (0, 1, 1, 2, 3, 5, 8, 13, 21). These are important mathematical numbers.

These specific multiplications of the 350DMA have been very effective over time at picking out intracycle highs for Bitcoin price and also the major market cycle highs.

As Bitcoin becomes adopted over time, it's market cycle highs hit decreasing Fibonacci sequence multiples of the 350DMA. This is because the explosive growth of Bitcoin on a logarithmic scale is slowing over time. As it's market cap increases it becomes more difficult for the same growth rates to continue.

If this decreasing Fibonacci sequence pattern continues to play out as it has done over the course of the past 9 years, then the next market cycle high will be when price is in the area of the 350DMA x3.

The Golden Ratio Multiplier is an effective tool because it is able to demonstrate when the market is likely overstretched within the context of Bitcoin's adoption curve growth and market cycles.

2020年12月10日

版本注释

Addition of resolution=""

2021年8月1日

版本注释

Addition of 350DMA

2024年7月17日

版本注释

The Golden Ratio Multiplier is a Bitcoin chart that explores Bitcoin's adoption curve and market cycles to understand how price may behave on medium to long term time frames.

To do this it uses multiples of the 350 day moving average (350DMA) of Bitcoin's price to identify areas of potential resistance to price movements.

The multiples reference the Golden Ratio (1.6) and the Fibonacci sequence (0, 1, 1, 2, 3, 5, 8, 13, 21). These are important mathematical numbers.

These specific multiplications of the 350DMA have been very effective over time at picking out intracycle highs for Bitcoin price and also the major market cycle highs.