Bitcoin is following a similar trajectory to its performance after the 2016 Bitcoin halving event, according to crypto traders. One indicator suggests that it may be approaching its local bottom, while another indicates that it could reach $350,000 at the peak of this cycle.
A pseudonymous crypto trader known as Rekt Capital stated that Bitcoin is mirroring its 2016 history, as it has experienced a downside wick below the bottom of its re-accumulation range within three weeks after the Halving. The current re-accumulation range is any price below $61,081, which Bitcoin is currently trading below, at $60,901.
Rekt Capital further highlighted that Bitcoin is currently in the “last pre-halving retrace” stage, which, in 2016, led to a 48% surge just six months later. The price drawdown from the all-time high chart suggests an even more ambitious price increase, with Timothy Peterson, founder and investment manager at Cane Island Alternative Advisors, estimating that Bitcoin’s current price may rise nearly sixfold by the beginning of 2025. Peterson predicts that the peak value of this cycle could be between $175,000 and $350,000 within the next nine months.
Additionally, the daily 100 moving average, a key technical indicator for predicting long-term Bitcoin price trends, indicates that Bitcoin’s price may be hovering around its local bottom. Another pseudonymous crypto trader, Daan Crypto traders, drew parallels to a similar formation seen after the approval of 11 spot Bitcoin exchange-traded funds in January. They emphasized that while there is support, bulls need to put in some work.
It is important to note that this article does not provide investment advice or recommendations, and readers should conduct their own research before making any investment or trading decisions.