LIVEAnalyzing the market trends of the past three Bitcoin halving days reveals a consistent pattern: initially positive news surrounding the halving event ultimately led to a sharp downturn in prices.
During Bitcoin's first halving on November 8, 2012, the price remained relatively stable at $11.1, experiencing little change before and after the event. The second halving on July 9, 2016, saw the price at $666, marking a 14% decrease from two weeks prior. The most recent halving on May 11, 2020, witnessed a 20% drop from the preceding three days, with the price at $8221.
Observing Bitcoin's intraday performance until the afternoon, it's evident that the results have been disappointing. The activation of Bitcoin's trend still appears reliant on American traders. Now, let's delve into the current technical situation of Bitcoin.
Following a rebound in the early morning, Bitcoin experienced a breakthrough. However, during the European afternoon, the market saw a decline below the support level. Bitcoin has now temporarily fallen below the daily Bollinger Band, indicating a continued risk of decline.
Examining the resistance levels, both the 1-hour and 4-hour levels hover around $69,000, suggesting that short-term prices may not be suppressed. The middle line of the Bollinger Bands, standing at $67,500, serves as a pivotal point in the long-short game. A firm stance at this level could signify support and a return to the upper Bollinger Band's safe zone, potentially building a bottom. Conversely, failure to maintain this position could turn it into a short-term resistance, impeding Bitcoin's rebound.
A breach below $60,000 within the next 10 days appears feasible. However, restoring technical support will only strengthen the $60,000 support level over time. The longer Bitcoin remains stable above $60,000, the lower the likelihood of future declines.