One analyst who follows closely says Bitcoin (BTC) has reached a point in the market cycle that has historically coincided with significant price corrections.
In a new video update on YouTube, the pseudonymous analyst Rekt Capital told his 63,500 subscribers that approximately two to four weeks before the Bitcoin halving, when miners' rewards are halved, the major cryptocurrency assets enter a “zone “Risk” is where you are exposed to price retracements.
Reckitt Capital says,
“Well, 28 to 14 days before the halving event gives us a danger zone of sorts. This is a historical danger zone where Bitcoin will likely reach the local top of the previous rally phase before seeing a pre-halving bounce.
So you can see that this orange danger zone is still quite far away. In fact, currently, the size of the pre-halving danger zone is 28 days, so to speak, and we are about the same amount away from the pre-halving danger zone.
So, it's also 28 days away, which still means we have a few more weeks left in the pre-halving rally, which makes sense because we're technically halfway through this pre-halving rally.
Of course, the fact that we are halfway through this rally does not necessarily mean that we will continue to fall because we have already seen great price action, but even in the rally phase before the halving, you can see this 4% decline has already occurred and declines can generally occur as We saw in 2020 – these kind of bearish wicks and reaccumulation periods.
The halving is expected to take place in mid-April.
At the time of writing, Bitcoin is trading at $69,572.
Never miss an opportunity – sign up to get email alerts delivered directly to your inbox
Check price action
Follow us TwitterAnd Facebook and Telegram
Browse Hodl's daily mix
 
Disclaimer: The opinions expressed in The Daily Hodl are not investment advice. Investors should conduct due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please note that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the purchase or sale of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated image: mid-flight
