With Bitcoin's halving countdown nearing 90 days, traders are preparing for a potential post-halving correction of 7% to 30% within a month. Historical trends from previous halvings suggest that Bitcoin's price peak could occur between April and October 2025. On-chain metrics for BTC signal a buy-the-dip opportunity for traders.
Currently, Bitcoin is trading around $42,000, showing slight recovery from the recent low of $42,276. The uncertainty arising from Federal Reserve Chair Jerome Powell's indication that a rate cut in March is unlikely has caused some anxiety among market participants. This sentiment, coupled with the anticipation surrounding the upcoming halving event and on-chain BTC metrics, will influence Bitcoin's price movement in the near future.
On-chain metrics present a short-term bullish perspective for Bitcoin's price, prior to the anticipated "sell the news" effect associated with similar events in the past. In addition, the declining BTC exchange reserves since May 1, 2023, are reducing the selling pressure on the asset, potentially paving the way for price gains.
As the halving event draws nearer, traders should expect the potential for a temporary price dip following the event, followed by a subsequent market peakâa historical pattern observed after previous Bitcoin halvings in 2012, 2016, and 2020. These trends indicate that monitoring on-chain metrics and market dynamics will be crucial for assessing potential short-term gains and investment opportunities.
