#2024WithBinance Prediction of Bitcoin's recession cycle based on weekly frame model
The image above illustrates the price volatility of Bitcoin (BTC/USDT) through growth and recession cycles. Based on historical data and moving averages (MA), several important observations can be made:
1. Strong growth cycle (Uptrend):
• Bitcoin has experienced strong growth phases, indicated by red arrows, often following accumulation periods or when prices hit a bottom.
• These phases typically occur after the market hits a deep support level or after momentum-driven events.
2. Recession cycle (Downtrend):
• After the price peak (red circle area), Bitcoin tends to enter a strong correction phase, usually lasting several months to a few years.
• The model in the image predicts that the nearest peak will form before BTC enters a significant decline, expected to hit the bottom around June 2025, with a price range fluctuating between 30,000 - 40,000 USD.
3. Supporting technical data:
• The 7 MA, 25 MA, and 99 MA in the weekly frame help identify long-term trends. When the price is below the 25 MA, the market tends to undergo deeper corrections.
• Trading volume decreases during correction phases, indicating a cooling off from investors.
4. Potential scenario for 2025:
• If the cycle repeats as in 2022, BTC may enter an accumulation zone at a low support level in the second half of 2025.
• This could be an opportunity for long-term investors to prepare for the next growth cycle in the following years.
Note: This is merely a predictive analysis based on historical data and does not guarantee actual results. Investors should consider.