The CEO of on-chain data firm CryptoQuant, Ki Young Ju, has explained to his over 120,000 followers on Twitter how they can buy bitcoin at ‘global bottoms’ by taking advantage of price reversals and cryptocurrency exchange indicators.
According to the CEO, once the price of bitcoin experiences a significant pullback of over 30%, users should watch CryptoQuant’s exchange inflow 7-day moving average mean chart, to see when it starts cooling down after pumping. Smaller inflows into cryptocurrency exchanges should show selling pressure is dropping, and as a result the pullback should soon be over.
At this point, Ki Young Ju notes users should invest in the flagship cryptocurrency as a price reversal should soon follow.
Specifically, the analyst, later on, added the indicator is meant to track bitcoin whales specifically, as whales “tend to realize profits when retail investors are active in the market.” Ki Young Ju’s tweet was criticized by some users who claimed that only two data points would not be enough to price BTC price movements.
In response, the CEO shared a historical chart with data that seemingly shows that the two indicators are relatively accurate at predicting bitcoin market bottoms, as whales seemingly stop selling when the indicators cool down after surging.
Ki Young Ju has, as CryptoGlobe reported, accurately predicted last month the price of bitcoin would hit $50,000. The CEO predicted the price movement based on an influx of stablecoin deposits from whales, which he interpreted as a bullish signal.
Earlier this year, the CEO revealed he has “no doubt” the price of bitcoin will hit $100,000 this year. Earlier this month, BTC’s price hit a new all-time high above $61,800 before moving back down to $55,00 at press time, according to CryptoCompare data.
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