The latest technical analysis of Bitcoin (BTC), which was compiled by CitiFX for its institutional clients, points to a potential rally of $ 318,000 in December 2021.
In the alleged customer note that Twitter commentator Alex saw on November 14, Citibank CEO Tom Fitzpatrick examines the long-term trend in Bitcoin’s price, which has been described as “unimaginable combinations with agonizing adjustments to follow.”
Especially so far, the duration of Bitcoin’s three major bulls has increased. Originally it was a 10-month period from 2010 to 2011, then it was a two-year period from 2011 to 2013 and finally it was a three-year period from 2015 to 2017.
On the other hand, Fitzpatrick claims that the correction period after the last two uptrends has remained stable at around 12 months.
This, according to the analysis, places us in the middle of a rally that started in early 2019 and will likely run for four years until the end of 2022.
Arguably, such an extended bullish trend would lead to higher levels, and to chart “what looks like a well-defined channel” over the past seven years, Fitzpatrick made his forecast of a bitcoin price of $ 318,000 in December 2021.
While admitting that this figure may seem very unlikely, he notes that it “will only rise 102 times from low to high (the weakest rise yet in percentage) at a time when Bitcoin’s state may be at its most compelling.”
These arguments include the change in monetary policy of the US Federal Reserve system that occurred during the coronavirus pandemic. This was marked by a large and continuous increase in the production of new money, with less intent to contain it when the economy and employment improved again.
Cointelegraph contacted Citibank for more comments on the report, but it did not receive a response at the time of publication.