Bitcoin Pre-Halving Period Nearing its End: Analyst Predicts Bullish Rally Ahead
Crypto News – Historically, Bitcoin’s market price movements have adhered to recognizable patterns leading up to the four-year halving events. Typically, there’s a mid-cycle peak followed by a substantial pullback, often up to 30%, before the actual halving and the subsequent bullish phase.
On January 30, a prominent crypto analyst known as “Rekt Capital” suggested that the pre-halving phase, which tends to see these pullbacks, is nearing its end, giving us just two more weeks before the anticipated Pre-Halving rally period begins.
The upcoming halving event is less than three months away, expected around April 22. Comparing it to the previous cycle in early 2020, when Bitcoin was trading around $9,500, it’s worth noting that this time there are no pandemic-induced black swan events on the horizon, unless unforeseen cataclysmic events transpire in the next couple of months.
Analysts initially predicted a correction down to the range of $34,000 to $36,000 as the excitement around ETFs waned. However, Bitcoin briefly dipped below $40,000 for just a few days last week, defying those expectations.
The analyst also outlined five phases of the Bitcoin halving cycle, which include a 126-day pre-halving period, followed by a 63-day pre-halving rally. We are currently in a 77-day pre-halving retrace phase. After the halving, there’s typically a 147-day accumulation period, followed by a parabolic uptrend that can last up to a year.
Numerous price predictions have emerged for Bitcoin post-halving, with notable figures like SkyBridge Capital’s founder, Anthony Scaramucci, suggesting a potential price target of $170,000.
Meanwhile, observations from Dragonfly managing partner ‘Haseeb’ indicate that retail investors have yet to fully participate in the current market cycle, as evidenced by the decreased popularity of the Coinbase app compared to previous highs.
BTC Price Outlook
As of the time of writing, Bitcoin is trading at $43,422, marking a 3% increase for the day. It reached an intraday high of $43,730 during the Tuesday morning Asian trading session. Furthermore, Bitcoin has gained 9% since its dip below $39,000 following the launch of ETFs and is now approaching resistance levels just above $44,000.