As the crypto world braces itself in the aftermath of Bitcoin's fourth halving, investors are eagerly seeking insight into the future trajectory of BTC prices. Following recent fluctuations in the global cryptocurrency market, many are considering a pressing question: Will Bitcoin price fall below the critical $60,000?Take a closer look at the analysis provided by Recto Capital and explore potential scenarios.
Over the past 60 days, Bitcoin has been in the $60,000 to $70,000 range. This consolidation phase is reminiscent of the price pattern observed after the 2016 halving event, rather than his recent 2020 halving event.
Danger zone after Bitcoin halving
In parallel with historical data, Rekt Capital introduces the concept of a “post-halving danger zone.”
The “post-halving danger zone” proposed by Rekt Capital is based on price trends observed in 2016, which suggests that Bitcoin could fall further towards or below its current range of lows of $60,600. If you experience it, it suggests that it is likely to occur within the next two years. About a few weeks.
This concept stems from the precedent set after the halving in 2016, when Bitcoin exhibited downward volatility and was approximately -11% below its lowest range.
draw parallel to Danger zone before half-life Rekt Capital, discussed before the fourth halving event, highlights the accuracy of such indicators in predicting market movements. The -18% decline witnessed in March occurred approximately 30 days before the halving and is consistent with insights gleaned from historical data.
Bitcoin price market performance
Bitcoin has shown price fluctuations over various time periods. It is currently trading at $61,759.50, down 1.19% over the past day. Last week, BTC fell by 6.58%, while during the month it fell by 11.83%.
However, year-to-date performance shows that its value has increased by 111%. BTC is the leading cryptocurrency with a market capitalization of approximately $1.22 trillion and controlling the market by 53.4%. In the past four hours, the coin's trading volume increased by 31.5% to reach $27.87 billion. This indicates active trading activity regarding the coin.
Bitcoin has also traded between $61,795.46 and $64,703.33 over the past day. It hit an all-time high of $73,750.07 on March 14, 2024, but the price has since declined by 15.23%.
Bitcoin’s 2024 trend reflects pre-halving in 2016
Interestingly, Bitcoin's behavior in 2024 mirrors the trend observed in 2016, before the halving. This similarity has led analysts to consider the possibility that Bitcoin continues to repeat 2016-like price trends in the weeks following the halving event.
Immediately after the halving in 2016, Bitcoin witnessed downside volatility, indicating a potential scenario for price movements in 2024. Investors are advised to remain cautious during the halving, given BTC's current lows that have persisted since the halving. Uncertainty looms over the market.
The 5% decline in Bitcoin prices over the past seven days highlights the importance of closely monitoring these trends. The cryptocurrency market has experienced a modest recovery of 0.58%, but the creeping fear of a potential drop below $60,000 casts a shadow of uncertainty on investors.
conclusion
Rekt Capital provides valuable insight into Bitcoin price movements after the fourth halving event. By comparing with historical data and introducing concepts such as post-halving danger zones, investors will be able to better understand the dynamics of the crypto market. While Bitcoin goes through this phase of consolidation, investors must remain vigilant and make strategic decisions to deal with market volatility.
