Bitcoin Halving Is 200 Days Away, This Happens Every Time: Is It Time To Doubledown?
October 09 2023 - 6:00PM
NEWSBTC
Bitcoin is 200 days before halving, a supply shock that historical
patterns show that prices tend to rally, even clearing previous
all-time highs once it happens. In a price chart shared by the
“thescalpingpro” on X on October 9, the analyst appears to suggest
that the world’s most valuable coin is in the early stages of not
only breaking above 2021 highs but registering new highs after the
network halves in 2024. Early Signs Of Bull Rally: 200 Days Before
Halving Thus far, the trader notes that Bitcoin is down 60% from
previous all-time highs in 2021. This formation, the analyst says,
appears to replicate the same pattern before Bitcoin halved in
2019. Then, just like it is presently, the coin fell 60% from 2017
highs of around $20,000. Related Reading: Shiba Inu-Based BONE
Gearing Up For Massive Rally, Here’s Why As historical pattern
shows, Bitcoin prices tend to bounce back strongly after posting
sharp losses from previous highs. These upswings are often
accelerated by the halving event momentum, pushing prices further
away from cyclical lows. Every four years, Bitcoin halving
occurs, where the reward for mining a Bitcoin block is reduced by
half. This feature is built into the protocol to slow the issuance
of new Bitcoin. Due to the decrease in the number of coins released
to circulation during halving, inflation is reduced, which supports
prices, as previous price action has shown. Although the impact of
halving has been well studied, the sequence of events preceding
this event appears to be stirring demand. As aforementioned, 200
days before the 2016 and 2019 halvings, Bitcoin fell roughly 60%
from all-time highs. The asset’s prices are at a similar price
point precisely 200 days before halving. For this “near-perfect”
replication of events, “thescalpingpro” is bullish that the coin
might follow a familiar pattern of past cycles. Bitcoin Race To
$48,000 Before Halving? The spike to all-time highs and beyond, as
previewed, is a scenario that could happen once the halving
happens. Before then, however, another analyst is convinced the
coin could rally to $48,000. Related Reading: Time For
Self-Custody? Crypto Exchange Reveals Hackers Tried To Gain Access
159,000 Times The analysis is based on crucial support
and resistance levels formed by the Fibonacci retracement levels.
The analyst is convinced that the coin will retest the 61.8% of the
swing high low of the recent 2021 to 2022 range, placing Bitcoin at
$48,000 once it recovers. The race to this level will be
further driven by “halving momentum” and the “bear-to-bull
transition from various indicators,” including the Relative
Strength Index (RSI), Moving Average Convergence Divergence (MACD),
and the on-balance volume of major exchanges, which appear
oversold. Feature image from Canva, chart from TradingView
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