#BTC This is a monthly display of Bitcoin (BTC) price on the BLX (Bitcoin Liquid Index) using the TradingView platform. The chart shows BTC price behavior from 2010 to the present, highlighting growth and correction cycles. Below is a detailed explanation:
🔍 Key elements of the chart:
1 Logarithmic scale (right):
◦ The price of BTC is indicated on a logarithmic scale (base 10), making it easier to analyze large percentages of growth/decline.
2 Growth cycles (blue rectangles):
◦ Marked with vertical arrows pointing up and accompanied by numbers indicating price increases (in percentages and absolute values).
◦ For example:
▪ First cycle: growth from ~2$ to ~1140$ (56,795.63%).
▪ Second cycle: growth from ~150$ to ~19,386$ (11,829.53%).
▪ Third: rise to ~63,566$ (1,878.54%).
▪ Current: up to ~93,822$ (564.71%).
3 Time intervals (horizontal arrows):
◦ Show the duration of each cycle in days and number of bars (months).
◦ For example:
▪ The first cycle lasted 731 days (24 bars).
▪ Second — 1,065 days (35 bars).
▪ Third — 973 days.
▪ Current (as of the time of the chart) — 974 days.
4 Correction phases (pink zones):
◦ Marked by a decline after the peak and indicate the phases of a 'bear market'.
5 Volume (trading volume):
◦ Indicated under each phase — shows market participant activity in millions.
6 Current price at the time of the chart:
◦ 68,844.64 USD (black line).
📈 What the chart demonstrates:
• The cyclicality of BTC growth. After each strong rise, a prolonged correction follows, but the overall trend is upward.
• Decrease in ROI (return on investment) in each new cycle. ROI becomes lower in each subsequent cycle:
◦ From ~57,000% to ~11,800%, then to ~1,800%, and now ~564%.
• The duration of cycles is approximately the same: about 3 years of growth + 1 year of correction.
• Hypothetical continuation of the cycle: the chart seems to predict that the current bullish cycle may continue, possibly until 2025.
🧠 Possible conclusion:
• The chart serves as a tool for technical analysis and the assumption that BTC cycles repeat approximately every 4 years (possibly linked to halvings).
• This may be useful for long-term investors to identify potential growth and correction zones.