Analysts say the halving event has caused Bitcoin (BTC) to fall nearly 15% from its all-time high of $73,738 over the past six days. ) prices are expected to rise significantly.
In a March 19 post on We speculated that 12 months would be the best period. The “risk reward” time frame for investors.
Edwards hypothesized that inefficient miners would be shut down following the Bitcoin halving event. The halving event is scheduled to take place sometime between April 18th and 20th.
According to CoinGecko, Bitcoin briefly fell to $61,593 on March 20th and is currently trading at $62,690. data.
Edwards said the correction does not appear to be over yet, but remains optimistic about long-term price trends.
“The reality of much lower supply growth and the release of pent-up Tradfi demand will begin what will be the best 12-month risk-reward period in history for Bitcoin.”
While Edwards focused on the halving as the main trigger for Bitcoin price fluctuations, CryptoQuant founder and CEO Ki Yong-joo said: claimed The Bitcoin market is being stimulated by spot Bitcoin exchange-traded fund (ETF) flows rather than a halving event.
“After the halving, mining costs will double, so miners need to maintain a constant price to ensure mining profitability,” Ju said.
“The direct cost per coin goes up to about $37,000, but at $63,000 it’s no longer an issue for them,” he added.
Crypto Analyst Rekt Capital informed X’s 430,000 followers say they believe Bitcoin has room to fall further.
“Bitcoin will reverse deep enough to convince us the bull market is over and the uptrend will resume.”
The analyst is highlighted BTC has already entered the “danger zone” and the retrace before the historic halving has begun.
Related: Will the Bitcoin halving bring more institutional investors into cryptocurrencies?
Bitcoin’s price fell by about 50% in the months before the halving in 2020, but the decline was exacerbated by the COVID-19 pandemic in March.
However, it spent the remainder of its halving consolidating around $10,000 before the bull market resumed in 2021.
Looking back even further, Bitcoin prices fell 33% around the time of the halving in 2016, then rose towards the end of the year and entered a bull market in 2017, peaking at $20,000.
However, 2024 is largely uncharted territory for halvings, as halvings have historically occurred well below BTC’s relative peak price and lacked significant institutional support from spot Bitcoin ETFs. .
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