Wednesday, February 8, 2023
    HomeBitcoinThis Historical Event Is Driving Bitcoin (BTC) Price Lower, What's Next?

    This Historical Event Is Driving Bitcoin (BTC) Price Lower, What’s Next?


    Bitcoin (BTC) did not cross an vital $50,000 resistance mark regardless of rising above the $48,000 stage earlier this month. The token’s latest losses noticed it fail a vital check, the place it was anticipated to stabilize above the $50k stage earlier than the mid-halving correction occasion on April 11.

    If the token had strengthened, it might have damaged the cycle of worth weak point stemming from a halving of rewards for mining.  However the token’s worth dived under the $42k stage, elevating considerations over the onset of one other bear market.

    Mid-Halving Correction Drives Bitcoin (BTC) Worth Decrease

    Final week, on-chain analytics platform Santiment announced the numerous mid-halving correction occasion scheduled on April 11. In accordance with the Santiment research, the bitcoin worth usually takes 515-545 days to achieve an ATH after a halving.

    Within the final two cycles, the Bitcoin (BTC) worth had reached an ATH after 518 days after which went right into a correction after failing to interrupt the vital resistance stage. From this mid-halving correction, the BTC worth strikes into an extended bear market.

    Bitcoin (BTC) Mid-Halving
    Bitcoin (BTC) Mid-Halving. Supply: Santiment

    Nevertheless, Santiment mentioned the Bitcoin cycle may very well be completely different this time because the variety of addresses had been  considerably higher- about 900k, whales are accumulating Bitcoin, and traders are extra mature.

    Sadly, the present Bitcoin (BTC) worth development appears to comply with the earlier historic patterns as the worth has plunged under the $42k stage. Furthermore, Bitcoin has even did not stabilize above the robust resistance stage of $45k. Thus, Bitcoin (BTC) worth shifting above $50k just isn’t doable this week or month. Subsequently, the worth is anticipated to interrupt the following assist stage of $37k quickly. And, if it fails to rise above the $37k stage, the Bitcoin will transfer right into a bear market.

    Different Components Pushing Bitcoin (BTC) Worth Beneath Strain

    In accordance with CoinMarketCap, the Bitcoin (BTC) worth has tumbled almost 10% within the final week and almost 3% within the final 24 hours. The value motion has modified in a downwards course from the $47k stage, with the present worth buying and selling at $42,244.

    Furthermore, the Bitcoin worth has been beneath strain as a result of upcoming Fed rate of interest hike amid rising inflation and the crypto market correlation with the Nasdaq 100 index. Each moved briefly under their 50-day shifting common at present.


    The introduced content material might embrace the private opinion of the creator and is topic to market situation. Do your market analysis earlier than investing in cryptocurrencies. The creator or the publication doesn’t maintain any duty to your private monetary loss.

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