Mayer Multiple is a common term in the Crypto Twitter. This term, often applied in the BTC market, was designed by Trace Mayer. He is a top Bitcoin investor. Mayer Multiple basically refers to the price of Bitcoin over the 200-day SMA. It then creates a gauge if the coin is overbought, oversold, or neutral.
Risk Management Tool
Mayer Multiple is also a great risk management tool. It can assist investors to either increase or decrease their Bitcoin exposure. That is according to a crypto analyst, CryptoWolf. He suggested that BTC is in a long tome hold zone, and buy zone when under $0.60.
It is alternatively in high-risk area when rated above 1.90. This also suggests a great reduction of exposure. The crypto analysts went ahead to suggest that anything above 2.40 for the coin implies that it is in a highly-risk area.
The Mayer Multiple Right Now
The Mayer Multiple right now has another suggestion. It implies that this leading crypto asset is in no man’s land. At the moment, the Mayer Multiple is hanging somewhere in the region of 0.75. This means that Bitcoin has not yet entered the much-expected long-term buy zone.
The Mayer Multiple has not yet entered the long-term buy zone. However, there are still certain signs that this could be the time to start using BTC as a long-term position.
Bitcoin Now In Long-Term Buy Zone
Bitcoin has just reentered its extended logarithmic buy zone. This is according to Dave the Wave, a prominent crypto trader in the market. He is also a pseudonymous analyst that pronounced the collapse to the $6,700 range months.
This logarithmic buy zone marked the bottom in 2018 December. There is a declining triangle currently meeting the buy zone, which is also bullish in nature. Dave describes this as the heart of a diamond set-up, which is expected to break upwards in the coming year (2020).
Who Is Buying?
There is one question that Dave rhetorically asks with all these in mind. Dave the Wave wants to know who is buying. The crypto trader might not be the only one claiming that the right time to buy the coins is now.
The other person is Hans Hauge. He works at the Ikigai Asset Management as a senior quantitative researcher. He recently gave a number of reasons why he is still bullish on Bitcoin. One of the reasons is associated with the Reserve Risk Indicator.
This indicator enables traders to visualize the confidence amongst long-term BTC holders. This is relative to the price of the coin at a particular given time. The indicator suggests that there is a forming long term buying zone. It also suggests that the price holding is definitely stringer when placed on a macro scale.