Cryptocurrency expert Benjamin Cowen has recently brought attention to a potential pattern that could lead to a significant decline in the price of Bitcoin following the upcoming halving event. Although Cowen acknowledges that historical patterns do not always repeat precisely, he believes it is important to prepare for such a scenario in case it does.
Cowen’s prediction has caused quite a stir in the cryptocurrency community, with some analysts like Peter Brandt supporting his insights. Brandt pointed out that previous Bitcoin bull markets have shown similar fundamental trends, hinting at the possibility of a significant drop in BTC price post-halving.
Cowen also suggested that the outcome of the next phase in Bitcoin’s price trajectory could depend on the performance of ALT/BTC pairs. If these pairs have not collapsed by the time of the halving event, there could be a potential upward movement. However, if they have broken down, a new pattern may emerge, leading to a different market scenario.
As the Bitcoin halving event approaches, data analytics platform Kaiko has outlined the historical short-term impact of halvings on BTC price. While short-term effects have been inconsistent, historical data suggests that Bitcoin tends to experience a bullish trend 9-12 months post-halving, potentially leading to a notable price surge in the long term.
At present, Bitcoin’s price has seen an 8% increase in the past 7 days, reaching a value of $70,770. However, its overall market cap has decreased by over 2%, while trading volume has surged by more than 8% in the past day. These fluctuations indicate a certain level of uncertainty in the market leading up to the halving event.
It is important to note that all information provided in this article is for educational purposes only. NewsBTC does not endorse any specific investment decisions, and investing in cryptocurrencies carries inherent risks. It is advisable to conduct thorough research and consult with financial advisors before making any investment decisions based on the information presented here. Remember, all investments are subject to market volatility and uncertainty.
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