App Store
Wallet

What is Bitcoin's 'Omega Candle'? Samson Mow Details Potential Next Market Phase

Dec, 23 2024 10:05
What is Bitcoin's 'Omega Candle'? Samson Mow Details Potential Next Market Phase

According to Samson Mow, a seasoned expert in the Bitcoin ecosystem, the digital currency is poised to enter a transformative phase marked by substantial price surges.

During a recent appearance on the Block Rewards podcast, Mow forecasted a shift from the current $10,000 daily price jumps, colloquially known as "god candles," to unprecedented $100,000 daily increases, or "omega candles."

Mow points out that in nations with weaker currencies than the USD, such significant spikes are already occurring regularly. He predicts that a $100,000 benchmark will accelerate Bitcoin's momentum, rendering smaller fluctuations of $500 or $1,000 insignificant.

A few weeks ago, Bitcoin experienced a near god candle with a $9,000 increase in one day.

The ensuing step, he asserts, is reaching the $100,000 mark. Mow notes the disparity in perception; while the fiat system withstands massive daily increments unchallenged, similar moves in Bitcoin draw surprise. This disconnect underscores the rapid but normalized growth of fiat currencies compared to Bitcoin.

More Theory

An 'Omega Candle' refers to what Samson Mow and some traders describe as Bitcoin's theoretical final major price surge that would mark its transition into a stable, mature asset. Unlike a 'God Candle' which typically describes a single massive green price movement on a chart, the concept of an 'Omega Candle' suggests a more permanent shift in Bitcoin's market behavior - theoretically marking the end of its volatile growth phase and the beginning of its era as a stable store of value.

While a God Candle is a technical chart pattern showing dramatic short-term price action, an Omega Candle represents a broader, more fundamental market transition.

A God Candle example for Bitcoin would be January 2, 2021, when BTC surged about 15% in a single day from around $29,000 to over $33,000, or October 25, 2019's famous 42% spike from $7,300 to $10,400 in just 24 hours after Chinese President Xi Jinping's blockchain endorsement.

However, there hasn't been a true historical example of an Omega Candle for Bitcoin yet - as this concept specifically refers to a theoretical future state where Bitcoin completes its transition from a volatile growth asset to a stable store of value. The closest pattern we've seen was during the 2020-2021 bull run when Bitcoin broke its previous all-time high of $20,000 and established itself in a new price range, but even this wasn't considered a true Omega Candle as the volatility continued.

This lack of historical precedent is actually central to the theory - the Omega Candle would represent a one-time, fundamental shift in Bitcoin's market behavior that hasn't occurred yet.

Interestingly, omega candles are already commonplace in countries with weaker fiat systems like Egypt, Turkey, and Argentina. But we are yet to see one of those for Bitcoin.

At the time of reporting, Bitcoin trades at $96,126.

Disclaimer and Risk Warning: The information provided in this article is for educational and informational purposes only and is based on the author's opinion. It does not constitute financial, investment, legal, or tax advice. Cryptocurrency assets are highly volatile and subject to high risk, including the risk of losing all or a substantial amount of your investment. Trading or holding crypto assets may not be suitable for all investors. The views expressed in this article are solely those of the author(s) and do not represent the official policy or position of Yellow, its founders, or its executives. Always conduct your own thorough research (D.Y.O.R.) and consult a licensed financial professional before making any investment decision.
Latest News
Show All News