A prominent figure in the cryptocurrency community suggests that the markets have yet to fully absorb the impact of Bitcoin's recent halving, which halved the rewards for BTC miners.
In a recent video update to his 77,000 YouTube followers, the pseudonymous trader Rekt Capital highlights Bitcoin's historical tendency to initiate a parabolic surge following a halving event.
However, Rekt Capital observes that the actual adjustment to the halving typically occurs several months after the event itself.
He explains, "The Bitcoin halving isn't fully priced in. Historically, after a halving, we've witnessed remarkable upside potential at this stage in the cycle. While we've already seen new all-time highs, we've been in a consolidation phase for some time, and breaking out to new highs again is just a matter of time."
Rekt Capital emphasizes that this analysis isn't on a logarithmic scale, implying that he doesn't anticipate Bitcoin's price surging to extremes like $400,000. Instead, he notes a historical pattern of more than 150 days of consolidation before a breakout triggers a sustained parabolic rally lasting several months.
He recently stated that Bitcoin had exited the "danger zone" where corrections typically occur in its market cycles. However, he suggests that significant breakout rallies to new highs may not occur until around September of this year.
May 2024, Cryptoniteuae