Bitcoin Faces Pre-Halving ‘Danger Zone’
Bitcoin is on the brink of entering a pre-halving ‘danger zone’, a period historically marked by price drops leading up to its halving event. Analysts have observed a significant 40% price dip in the 14 to 28 days preceding previous halvings, such as those in 2016 and 2020. Despite this trend, industry leaders remain optimistic about Bitcoin’s future trajectory.
Crypto analyst Rekt Capital anticipates a ‘pre-halving rally’ approximately 60 days before the halving, followed by a ‘pre-halving retrace’ one to three weeks prior. Bitcoin’s recent surge, surpassing its previous all-time high of $68,990 in March, has surprised many. With the next halving scheduled in less than 33 days on April 20, according to CoinMarketCap, Bitcoin’s price has already retraced 8.5% from its peak of $73,835 on March 14, currently resting at $67,537.
CEO Perspectives on Bitcoin’s Future
Richard Teng, CEO of Binance, foresees Bitcoin shattering records and surpassing $80,000 by year-end. He attributes this bullish outlook to substantial investments from institutional players via new US exchange-traded funds, which collectively manage $57 billion, as reported by Dune Analytics. Kris Marszalek, co-founder and CEO of Crypto.com, views Bitcoin’s recent price correction as a positive development, alleviating excessive leverage. Marszalek notes a resurgence in Bitcoin’s momentum reminiscent of late 2020 and early 2021, when the cryptocurrency surged from under $20,000 to over $60,000 within three months. He predicts a gradual price increase for Bitcoin, emphasizing its long-term value as an asset suited for extended holding periods.
Conclusion
As Bitcoin navigates the pre-halving ‘danger zone’, industry experts maintain a positive outlook on the cryptocurrency’s future performance. Despite historical price fluctuations, the market remains buoyant with expectations of continued growth and record-breaking milestones on the horizon.
