How long will Bitcoin’s re-accumulation phase last? appeared first on Coinpedia Fintech News
In a recent analysis, cryptocurrency analyst Rekt Capital took a deep dive into Bitcoin’s current market dynamics, revealing a possible extended re-accumulation phase following the recent halving event. The analyst highlighted that Bitcoin has transitioned from a pre-halving retracement phase to a re-accumulation period. This phase, characterized by sideways consolidation, is crucial in setting the stage for the next upswing in Bitcoin’s price.
Rekt Capital revealed key support and resistance levels, indicating that Bitcoin is currently consolidating in a range, with resistance above at around $70,000 and support below at around $66,000.
Comparing to historical patterns, the analyst referenced the re-accumulation ranges observed after the halving events in 2020 and 2016. In 2020, it took Bitcoin 160 days from the halving event to breakout, while in 2016, a similar range lasted 154 days.
Given these historical precedents, Rekt Capital speculates that the ongoing re-accumulation phase could last up to 150 days or even longer, potentially extending into late September or early October. The analyst said a re-accumulation period of more than 200 days could be an ideal time for Bitcoin's market cycles to realign with historical norms and slow the pace of acceleration in the pre-halving period.
In addition, Rekt Capital explains the importance of Bitcoin going through a period of underperformance followed by outperformance, highlighting the need for the current re-accumulation phase to balance the rapid acceleration before the halving.
The analysis concludes with a call for caution and patience, noting that while Bitcoin has achieved significant milestones before the halving, it may need to achieve equally significant achievements after the halving to sync with historical trends. The analyst believes that an extended re-accumulation phase could catalyze the achievement of this balance, potentially leading to a more sustainable bull market trajectory.
