Cryptocurrency analyst Rekt Capital has provide you with an intriguing narrative pointing to a number of tendencies within the present worth motion of Bitcoin which are much like the worth tendencies seen within the 2016 bull cycle, whilst market sentiments proceed to dwindle.
Bitcoin Traits Reiterating 2016 Sample
In line with Rekt Capital, greater than a month after the preliminary evaluation, Bitcoin retains demonstrating how a lot it intently resembles the cycle of 2016. Just like 2016, Bitcoin has skilled additional declines over the previous three weeks following the Halving under the Vary Low of its Re-Accumulation Vary also referred to as the Submit-Halving Hazard Zone
The publish learn:
Over a month later Bitcoin continues to show how it’s extra much like the 2016 cycle. Similar to in 2016, Bitcoin on this cycle is seeing further draw back under the Vary Low of its Re-Accumulation Vary within the three-week window after the Halving (i.e. Submit-Halving “Hazard Zone”).
On condition that Rekt Capital already addressed the idea of the Submit-Halving Hazard Zone, the analyst is just not shocked by this present worth lower. Throughout the 2016 cycle, about 21 days after the Halving occasion, BTC noticed a prolonged decline of 11% earlier than transitioning towards an upward path.
It’s price noting that Rekt Capital famous that if draw back volatility across the Re-Accumulation Vary Low goes to occur on this cycle, 2016 historical past signifies it might occur through the 15 days following the Halving. Because the current occasion was concluded about 12 days in the past, the skilled’s prediction may very well be realized within the upcoming days.
Associated Studying: Bitcoin Enters ‘Danger Zone’ Post-Halving, Analyst Warns Of Potential Downside
Whereas the Submit-Halving “Hazard Zone” ends in 15 days, 2016 knowledge means that there could also be some detrimental volatility within the interim, probably reaching the $60600 Vary Low.
Drawing consideration to earlier patterns, Rekt Capital highlighted the same sample between the 2016 and 2024 pre-Halving re-accumulation vary. After a breakout from the re-accumulation vary this yr, BTC witnessed a Pre-Halving rally, as was noticed in 2016.
Pre-Halving Retrace Motion
Similar to in 2016, as soon as the pre-Halving rally peaked, Bitcoin began its Pre-Halving retrace. Particularly, this occurred roughly 28 days previous to the Halving occasion in each 2016 and 2024.
A detrimental wick on the weekly candle signifies a major response within the first week of the pre-Halving Retrace in 2016. Nonetheless, this response was fleeting and got here earlier than an prolonged worth decline.
This cycle likewise noticed a robust early response from Bitcoin through a downward wick, however there are indications that this response may not have lasted lengthy. Thus, to keep away from a destiny much like that of 2016, Rekt Capital believes that BTC might want to preserve highs round $60,000 and past.
Featured picture from iStock, chart from Tradingview.com
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