Bitcoin And Block Height Seem To Be Correlated According To Crypto Analyst
- Bitcoin and block height seem to be correlated but without establishing causation
- Halving events seem to be one of the most important price increase drivers in the market
According to the cryptocurrency analyst Plan B on Twitter, there seems to be a correlation between block height and the price of the most popular digital asset. The popular Bitcoin (BTC) Core developer, Jimmy Song, requested the community if there was a close relation between Bitcoin price and block height. Plan B answered immediately after with a graph showing this relation.
Bitcoin Block Height vs Bitcoin Price
Plan B, a recognized analyst in the cryptocurrency market, answered Jimmy Song back with the graphic requested. Apparently, it seems that there is a positive correlation between Bitcoin price and block height. In addition to it, the chart includes information about the months left until the next halving of Bitcoin.
x-axis block height
y-axis bitcoin price in USD pic.twitter.com/oXYconJzQt
— PlanB (@100trillionUSD) July 19, 2019
Although there is a positive correlation between these two variables, this does not mean that there is a causation. Block height does not help Bitcoin price grow. However, as block height increases, the price of the digital asset expands due to other reasons.
Indeed, the graphic shows that halving events tend to be very bullish for the most popular digital currency in the space. A few months before the halving and after it, the price of the digital asset grows at very fast rates. However, two years before a halving event, the price of the digital asset tends to correct the previous bull market.
Crypto analysts consider that we are in a new bull market that is expanding and growing. In the coming months, we may be able to see a continuation of this growing trend in the near future if Bitcoin is able to surpass $13,700, the previous high reached in more than a year.
At the time of writing this article, Bitcoin is being traded around $10,675 and it has a market capitalization of $190 billion, according to data provided by CoinMarketCap.