Cycle Low Multiple

Cycle Low Multiple Explained

The Bitcoin Cycle Low Multiple chart divides bitcoin price history into ‘eras’. Each era represents the series of days within a block reward subsidy. Each new halving of the block reward subsidy marks the start of a new era.

1. Era 1 represents the days in bitcoin’s history when the subsidy was 50 bitcoins
2. Era 2 represents the days in bitcoin’s history when the subsidy was 25 bitcoins
3. Era 3 represents the days in bitcoin’s history when the subsidy was 12.5 bitcoins
4. Era 4 represents the days in bitcoin’s history when the subsidy was 6.25 bitcoins.
4. Era 5 represents the days in bitcoin’s history when the subsidy was 3.125 bitcoins. This is the current era.

As you move the cursor along the chart, you will see what multiple the price on that day was compared to the previous era’s lowest price. For instance, if you move your cursor to 100 days after a halving, you will see the following numbers.

1. 10.6 for Era 1
2. 3.9 for Era 2
3. 3.6 for Era 3

Since we are in Era 4, we cannot see a line to represent it. But we can see that the price 100 days after the last halving is 3.6 times the lowest price from Era 3. We can also see that the price 100 days after the era 3 halving was 3.9 times the lowest price from era 2. And finally, we can see that the price 100 days after the era before that was 10.6 times the lowest price from era 1.

How to Calculate Cycle Low Multiple

The calculation is pretty simple. Take the price on any given day (measured in days pre or post a given halving) and divide it by the previous eras lowest price. For example, if the lowest price in era 3 was $100, and the price 100 days after the latest halving was $500, then the era 3 multiple would be 5 (500 divided by 100 is 5).