Currency Analysis #7 – Bitcoin Price Prediction For 2014

This is Tai Zen – currency analyst for prisonorfreedom.com. It’s a blog where we talk about the tools, the techniques, the strategies and the technologies that are available to help people find freedom in their life and specially in health, wealth and relationships. In this episode of currency analysis. I’m going to talk about the wealth aspect and in particular about Bitcoin and what I project to be the Bitcoin price for 2014.

Today objective will be to analyze the long term trend of Bitcoin and then to predict the price of Bitcoin 2014 and figure out what the price targets are going to be and let me go ahead and put price target here and estimate the time that it’s going to take to reach that price target. Let’s go ahead and get started!

I like to use tradingview.com and do my analysis. I’m going to do two types of analysis here. I’m going to do one with just the price chart here. And then if we have time I’m going to, I might do it in the log scale. Alright, so let’s see how long this is going to take.

What I did was I used a daily chart BTCUSD pair on Mt. Gox, if you want to learn, you can follow along and do your analysis on Bitstamp or BTC-eor one of the other exchanges and then follow along with me. So I drew a trend line here – a channel and I use the bottom of this low and then draw a parallel trend line over here to this side.

When I draw the trend line, I just do it on the majority hits rule when it touches the most poins. If you want to learn more you can watch one of my previous videos on how to draw a trend line.

So I drew my trend line here and if you’ll notice back here, this is the 266 high before and I drew a green line here to represent the area of the high and if we move it down here, you will notice that somewhere around the 180 level.

What I’m looking at guys is how price came up there to test a new high, pulled back and then launched all the way up. So the launch of this move begins somewhere around here around 210 in the low 200 and then from there, it shot all the way up to 1240, pulled back, came up and pulled back again and came down to about 534 and 454, there’s like $100 range down here, somewhere in that area.

If you have been following Bitcoin since its inception, then you will know that every time Bitcoin reaches a new high back at around $16 in the 266 level, it pulls back about 80%. In this particular case, it did not pull back that far, so that’s a good sign that we’re gaining strength each pull back is less and less now and the time that it takes for Bitcoin to reach new highs is also less and less.

Zoom out a little bit, we notice that the time it took from the time it set its previous new high in April to the new high that was done in the end of November here was about a good 6-7 months.

You’ll notice also that that distance of 7 months now is going to be reduced because if we look at it here from the time it set a new high here to the time it was going to touch over here and then shoot back up again; it’s way less than 7 months.

It looks like it’s going to be 1 maybe 2 months and what I’m looking at is the vertical gridlines, if we move this, you’ll notice that– If we count these vertical gridlines and go back in time, we can count 1 column, 2 columns 3, 4, 5, 6, 7, and maybe almost 8 columns which represents 8 months.

Let me double-check that again, 1, 2, 3, 4, 5, 6, 7, it’s about 7 and a half, 8 months. If you’ll notice the price of Bitcoin is coming over here instead and it’s going to hit this and that’s going to happen within two months before the price shoots up. Now, is that a guarantee?

Of course, it’s not a guarantee Bitcoin is a uniquely new trading instrument or financial instrument, there’s nothing in the world or in the history of humans that has ever traded like Bitcoin before because it’s the first deflationary, decentralized and international universal currency that humans have ever had.

So if anybody tells you they can give it a good prediction or whatever or they know, they’re full of B.S – full of bullshit. So we know that within another month at most–so we draw a vertical line here guys, let’s do that so you guys can see what I’m talking about, so there’s no confusion. I’m just going to eyeball it right there is one vertical line and right there is another month.

So now we know that from a guesstimate, from the analysis here that if it’s going to start to rise somewhere within the next month. In other words, somewhere in another month, we can expect the price of Bitcoin to start rising again. We’ll go to put one month to see what the time that it’s going to take is going to be. Now we have to know how far the price is going to rise before we can determine how long it’s going to take.

So if we do a projection here of how high the vertical distance that price move— What I like to do is this, I like to draw a box from here to here, the way I see it and then there’s no right or wrong about this, because nobody knows all right. I’m just using my years of experience trading the stocks, futures and forex and applying it towards this.

Remember that the vertical lines represent one month, it’s safe to say that it took within a very short period of time – just 5 weeks or so to run up to 1240. So we place this right here. The price is going to start somewhere around here within another month.

Okay, if we project that out, we will see that the price of Bitcoin is going to shoot all the way up to somewhere up here within that period of time. So, right there is around $2,000. It’s safe to say that it’s going to be about $2,000.

So let’s just say that the price target is going to be between $2000 on the low end to– we don’t know what the high end is going to be until we do some further analysis. So that’s that’s what I see for 2014A minimum of a $2,000 Bitcoin based on that analysis and based on doing a just a regular linear a price action.

Now I’m going to switch this over to a logarithmic chart because a logarithmic chart allows you to see a long-term view of the analysis in a different line. So we have 2000 as the low. Let’s see what the logarithmic chart tells us.

Now, I do not personally use logarithmic charts for trading but I will use it for super-long-term trend analysis. A logarithmic chart allows you to see where price doubles. So if you imagine that each of these horizontal gridlines is half an inch than every half an inch the price will double.

Notice how it’s starting from $4 to $8 after every two horizontal lines. So basically it doubled in price every equal vertical distance. When we look at this from a logarithmic perspective, it allows us to project outward the time, so we use that same analysis here in the same launch time, we might move this from here down to here because the logarithmic scale shows at the launch begin down here.

But the logarithmic it changes the scaling of the box. If I try to put it here, it does not allow you to run all the way up to here. So we’re going to have to use these blue vertical lines as a guesstimate. We have to move this vertical up to the top of there. It’s hitting here and it’s hitting here all logarithmic chart. So based on this if we look at the time that it takes.

Remember that time on a logarithmic scale does not change. You’ll notice a green box getting taller and shorter, that’s because it’s logarithmic. I’m going to move this box over in this box is going to change shape and size as we’re on a logarithmic scale guys.

Let’s say that the price launches, hits, shoots up from there. Keep in mind guys that we do not have any months out here, so I have to guesstimate the time. On a logarithmic scale, those blue lines represent months and I’m just going to draw a line here guys to represent where it ends and I’m going to make it dark greens for its consistency. I cannot pull this box all the way up to here guys. Let’s try. Well, I guess it does.

So right where I project the price to come out on a logarithmic scale. So on a logarithmic scale, the price is projected to shoot all the way up to a $9,600 or $9,800 Bitcoin. So I see a $9,800 Bitcoin somewhere around there. So on a linear scale, we see 2000. And on the logarithmic scale, we see a $9,800 Bitcoin right there. So that’s going to be my price target.

I’m going to make it green like there and then the time that it’s going to take to reach a $9,800 is going to be from one month– This vertical distance is equal one month. So I’m saying 1, 2, that’s an awfully short period time, but keep in mind those two months. You have to add these four months on top of it. So from the high of last month 1, 2, 3, 3 and a half to 4 months. So in 3 and half to 4 months, that should be normal guys.

I know that it seems like it’s a very short period of time but based on the previous history, the last time it was over here 266 and it took about 7 months to get from here to here and now with all the news on the media hype and all the financial channel CNBCMSN and Bloomberg. They’re trying to get attention and traffic to their website and their TV channels.

So what they’re doing is they’re hyping up Bitcoin all the time so it’s kind of like free publicity for Bitcoin so I expect this is very realistic guys. This is very realistic for the price of Bitcoin to reach 2,500 to $9,800 within the next 4 months from the previous high.

So another 1,2, I would say sometime in the spring, which would be around– in the US where I’m at in Dallas, Texas. That would be some time for us– It’s January right now, so add another two months. It has to be sometime the beginning of April we should expect to hit there or by the end of the year.

So between April to the end of the year, we should expect to see the price hit $9,800. So that’s my projection and that’s my guesstimate for the price of Bitcoin. You can be super liberal on this and you can move the this out to the last previous high which is at 266.

And if you do that, then the price of Bitcoin will go up significantly. But I’m going to take a more conservative estimate and say that between spring sometime in April to the end of the year. I expect the price of Bitcoin to rise to between $2500 to hit this price target $9,800 between the month of April and December 2014.

So I hope that this currency analysis number 7 was able to help you guys out and understand how I do the price projection on this and if you have any feedback questions or comments, please leave it below if you want to donate to us to help us support our freedom blog. You’re welcome to do so at prisonorfreedom.com/donation. I

have several accounts there that you can donate and you are always welcome to track to see how the donations are being used. I normally state what it’s for so that not only are you supporting the donation but are you actually see what it is being used for. I DO NOT use any of the donations for personal use, I use it to promote Bitcoin, to promote the blog and to do everything to help support the blog.

Sharing is caring guys. It’s very important. If you find this video to be extremely useful to you. I invite you to share it with other people, share it on Reddit, share on trading view, share on Bitcointalk or on Facebook, and also, I hear a lot of success all the time from people on the trading view that my currency analysis videos are helping them out tremendously on their trading, please send me some testimonials, I’d like to share with other people.

Become a real freedom fighter guys, you know Bitcoin is the first technology that allows us to get our power back from Wall Street, you know for years now for nearly a hundred years the 1% on Wall Street has gained all the power and has maintained the power. And now thanks to Satoshi Nakamoto, he has allowed returning power back to the common people, to take away power from the 1% of Wall Street and give it back to the 99 percentile on Main Street.

So do your part don’t just be a user Bitcoin, but spread the word and let everybody know what it’s about and it is a real freedom fighter us. The way that you become a freedom fighter nowadays is not to wield a sword or a gun but to spread the knowledge and to share with people how to get away from the current financial system and free themselves and not be a slave to Wall Street or the big banks anymore.

Thanks for watching this video guys. I really enjoy sharing these videos with you and I hope that it benefits you in some way with your trading. Okay, and I’ll see you in the next video. Thank you.

Slide
Cryptocurrency Investing Blueprint™ Course Cover

We believe you should NOT be in front of the computer all day making short term, in and out trades. That is no different than having a “day job” at home instead of at the office. After completing the blueprint, you will learn how to PUT your money to WORK for you in the crypto market.

Slide
Cryptocurrency Investing Bootcamp - Tai Zen & Leon Fu Dot Com 6

If you want to GET RID of the anxiety, nervousness, self-doubt, and FEAR of picking the “wrong” cryptocurrency and losing your hard earned money… then don’t think twice about it; get the blueprint today because it’s the perfect fit for you.

Slide
Cryptocurrency Investing Bootcamp - Tai Zen & Leon Fu Dot Com 12

You will learn “The VC MAN Method™” that we developed that allows you to systematically identify “A” Tier cryptocurrencies worth investing in, that are not scams, by identifying the 5 Key Traits of a Profitable Cryptocurrency.

Slide
Cryptocurrency Investing Bootcamp - Tai Zen & Leon Fu Dot Com 6

You will learn how to properly exit a trade so that you will be profitable even when you are wrong over 60% of the time! Imagine being RIGHT less than 40% of the time in your crypto investing and still be profitable! You do not have to be RIGHT all the time to be successful in cryptocurrency investing!

Slide
Confident Bitcoin and Cryptocurrency Investor

If you have the burning desire to make Life Changing Profits™… Faster Than You Ever, if you are SICK & TIRED of struggling to figure things out alone or listening to people who don’t make a living from crypto investing… then this blueprint is a perfect fit for you.

Slide
Confident Bitcoin and Cryptocurrency Investor

YES, there is a guarantee! If the Cryptocurrency Investing Blueprint™ did not deliver on what was promised on this website, simply make a request within 30 days for a refund, and we will cancel your student access and REFUND you back 100% of your purchase in US dollars.

Now there’s no excuse! If you’re serious about making Life Changing Profits™ in crypto investing, then click on the link below and order your copy of the Cryptocurrency Investing Blueprint™ immediately!

Leave a Reply