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Bitcoin bubble top prediction through Delta Cap / Realized Cap convergence.

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drc_convergence

Bitcoin bubble top prediction through Delta Cap / Realized Cap convergence.

So far, when Bitcoin bull markets reach their end in a fantastical peak of irrational exuberance, it looks like the Delta Cap (by David Puell) and the Realized Cap (by Coinmetrics) converge. I have quantified that and reached the conclusion that when the Delta Cap to Realized Cap ratio reaches above 0.87 it is a strong indicator of the top beeing imminent (within days). The ratio has never reached 0.90. Now this is only n=4, but worth keeping an eye on for the next bull run.

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Bitcoin bubble top prediction through Delta Cap / Realized Cap convergence.

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