Ljubljana, Slovenia – May 12, Bitcoin gold cryptocurrency trading chart on smartphone close-up.
the Bitcoin price It has been on a downtrend since hitting a new high of $73,000, sparking a flurry of speculation about where the cryptocurrency asset will go next in the short term.
In the past few days, the recent decline in Bitcoin has led to a general rebound in the cryptocurrency market. With the Bitcoin Halving event fast approaching, many cryptocurrency analysts are predicting a further decline in the price of BTC in the near future.
Bitcoin is preparing to enter the “danger zone” before the halving event
Popular cryptocurrency trader and analyst Rekt Capital did just that subscriber A bleak prediction for Bitcoin with the cryptocurrency community on social media platform
The analyst’s predictions came in light of BTC experiencing a significant decline in the past few days. According to the expert, two days from now, Bitcoin will officially enter the danger zone (orange).
This is the starting area for previous corrections seen before the Bitcoin halving, which is expected to happen in April. Before the halving, these corrections consistently signaled periods of significant market corrections for the digital asset.
Rekt Capital also noted that pre-halving corrections have historically been observed in BTC 14 to 28 days before the event. The price of Bitcoin saw a decline of about 40% before the halving occurred in 2016.
Meanwhile, in 2020, cryptocurrency assets fell more than 40% ahead of the occasion. At present, we have less than 30 days left before this year Bitcoin halving It is happening; However, the coin’s price fell by more than 11% in the past week, indicating further correction in the coming weeks.
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In a couple of days, Bitcoin will officially enter the “danger zone” (orange) where the historic pre-halving correction began. Historically, Bitcoin has conducted pre-halving corrections 14 to 28 days before the halving. In 2020, this trace was -20% deep, and in 2016, this trace was -40% deep. Currently, BTC is 30 days away from the halving and has fallen -11% this week.
It is worth noting that the cryptocurrency analyst has previously specified the time frame Bitcoin It is expected to top this bullish cycle. Rekt Capital believes the asset will peak in 280-350 days. Specifically, this could happen in mid-December this year, or mid-February next year.
4 distinct half stages
So far, the cryptocurrency analyst has done just that Highlight Several different stages for the upcoming Bitcoin halving; These include the pre-halving rally, the final pre-halving correction, the re-accumulation, and the parabolic uptrend.
According to Rekt Capital, there usually is March before half About 60 days before the event. As for the final correction before the halving, it usually develops after about 14 to 28 days.
Moreover, after the pre-halving pullback, a re-accumulation period follows for several months. Finally, the parabolic uptrend begins once Bitcoin exits the reaccumulation zone.
Featured image from iStock, chart from Tradingview.com