Bitcoin (BTC) is facing a “strong bullish wave” if a classic BTC price indicator repeats past breakouts.
In a Quicktake article on November 18, blockchain analytics platform CryptoQuant highlighted a rare golden cross in Bitcoin’s Puell Multiple.
Puell Multiple Nears BTC Price Breakout Line
Bitcoin investors stand to benefit from an average 90% price increase if the Puell Multiple makes a rare breakout.
Analyzing the behavior over the past five years, CryptoQuant points out that the indicator has only crossed the 365-day moving average three times. During each of these events, the BTC/USD price “experienced significant price increases.”
“Puell Multiple helps us understand market cycles from a mining perspective,” Burakkesmeci, a CryptoQuant contributor, concluded.
“This is a key indicator to evaluate the profitability of mining operations.”
Bitcoin Puell Multiple chart. Source: CryptoQuant
Puell measures the daily value of Bitcoin mined against a 365-day moving average to provide insight into miner stability. When this value crosses the moving average resistance, it often coincides with a rapid increase in BTC price.
A Puell golden cross in March 2019 was followed by an 83% rally. January 2020 saw a 113% gain, while the most recent cross in January 2024 produced a 76% gain.
“This data shows that after the Puell Multiple is above the SMA365, an average increase of about 90% in Bitcoin price has occurred historically,” the post calculated.
In conclusion, CryptoQuant mentioned that favorable macroeconomic conditions are helping to strengthen the case for an “inevitable” surge.
“All of these data points and the macroeconomic framework suggest that a strong bullish wave could be coming,” the post asserted.
RSI Signals Bitcoin Bull Market Is Just Beginning
As TinTucBitcoin reported, many analysts now believe that Bitcoin’s biggest rally is still ahead, despite BTC/USD gaining more than 40% in Q4 so far.
The market's “supply-string” phase has begun, lasting about 300 days before a new macro top is established.
Locally, expectations of Bitcoin hitting six figures for the first time in history are growing, with concerns that “FOMO” from retail investors could cause a significant correction.
“Many people are going to become very familiar with the phrase ‘Fear of Missing Out’ (FOMO) very quickly in this Bitcoin cycle,” popular commentator Preston Pysh, co-founder of The Investor’s Podcast, predicted this week on X.
Earlier this month, anonymous analyst PlanB, creator of the Stock-to-Flow family of BTC price models, saw the main FOMO wave peaking in early 2025.
PlanB referenced the relative strength index (RSI), which has typically hovered above the “overbought” level of 70 during Bitcoin’s rallies. The monthly RSI measured 74.4 on November 18, according to data from Bitcoin News and TradingView.
BTC/USD 1-month chart with RSI data. Source: TradingView
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