Bitcoin's Price Is Up 43% in 7 Days as Bull Frenzy Grips Market

Bitcoin’s surging price over the last week is reminiscent of the bull market frenzy observed a year and a half ago.

AccessTimeIconJun 26, 2019 at 11:00 a.m. UTC
Updated Sep 13, 2021 at 9:21 a.m. UTC


  • With bitcoin’s rise to 17-month highs, the Mayer multiple (a ratio of price to the 200-day moving average) is teasing a break above 2.40 – a level that has marked the beginning of speculative bubbles in the past.
  • BTC may see a short-lived spike to resistances at $17,230 (January 2018 high) and possibly to $20,000 (record high) if the Mayer multiple finds acceptance above 2.40.
  • The hourly chart is flashing signs of buyer exhaustion, however, so a correction to $11,000 cannot be ruled out.
  • A UTC close below the May 31 high of $9,097 would abort the bullish view.

Bitcoin’s (BTC) surging price over the last week is reminiscent of the bull market frenzy observed a year and a half ago.

The leading cryptocurrency by market value rose to a 17-month high of $12,936 on Bitstamp earlier today. At that price, the cryptocurrency was up $3,900 from the level of $9,036 seen a week ago.

Notably, with the near 90-degree rally to 17-month highs, the ratio of bitcoin’s price to the 200-day price average – known as Mayer multiple – printed a high of 2.42, a level which was last seen in early January 2018.

The Mayer multiple essentially quantifies the spread between the price and the 200-day MA. An above-1.0 ratio indicates BTC is in bull market territory above the 200-day MA, while a reading below one implies the cryptocurrency is in a bear market below the 200-day MA.

That said, over the years it has been observed that a reading above 2.4 signifies the beginning of a temporary speculative bubble – a self-feeding cycle of higher prices attracting more bids, leading to further rally.

Daily chart


The Mayer multiple rose above 2.4 on Mar. 4, 2013, when the price was trading at $36.00, representing 176 percent gains over lows near $13 seen in December 2012. More importantly, the cryptocurrency rallied more than 600 percent to $259 in the following four weeks before falling all the way back to $45 on April 12.

Further, prices rose from $11,000 to $20,000 in 16 days following the ratio’s rise above 2.4 percent on Dec. 1, 2018. Again, the bubble was short-lived, with prices falling to $12,000 on Dec. 22.

On similar lines, BTC had gone ballistic, rallying by more than 300 percent to $1,163 in three weeks following the Mayer multiple’s move above 2.40 on Nov. 7, 2013. By Dec. 18, however, the price was trading at lows near $350.

So, if history is a guide, then the fear of missing out may kick in once the Mayer multiple finds acceptance above 2.40, leading to further price rise toward the record high of $20,000.

As of writing, bitcoin is trading at $12,521, representing 10 percent gains on a 24-hour basis. Meanwhile, the Mayer multiple is seen at 2.40.

The cryptocurrency has pulled back from 17-month highs hit earlier today, leaving signs of bullish exhaustion on the short duration chart.

Hourly chart


Bitcoin created a doji candle with a long upper shadow earlier today. The doji candle – a sign of bull indecision or exhaustion – is backed by highest sell volume (marked by arrow) since June 6.

Such candles often mark a local top, according to Alex Kruger, a prominent fundamental and technical analyst.


As a result, a deeper pullback, possibly to the psychological support of $11,000 cannot be ruled out – more so, as a widely followed long-term indicator is reporting extreme overbought conditions.

Weekly RSI


The 14-week relative strength index (RSI) is currently hovering above 81.00, the highest level since mid-December 2017.

While the case for a minor pullback is looking strong, the overall outlook will remain bullish as long as the price is held above the May 31 high of $9,097 and the cryptocurrency could chart another meteoric rise toward $20,000 if the Mayer multiple rises above 2.40.

Disclosure: The author holds no cryptocurrency at the time of writing

Green arrow image via CoinDesk archives; charts by TradingView


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.