Bitcoin’s price holds steady at $69,855, while altcoins remain in consolidation. Past data indicates a possible uptrend during the halving period. Investors remain optimistic about continued price growth following the recent surge.
Today, Bitcoin’s price remains stable at $69,855, while altcoins are in a consolidation phase. Looking ahead to the halving, investors are increasingly confident about the potential for further price hikes. After witnessing months of consistent growth in Bitcoin’s value, historical data supports the notion that its price could continue to ascend during the halving period.
Bitcoin’s Remarkable Rise in 2023-2024
Since September 2023, Bitcoin has consistently exceeded its previous month’s peak, a trend that persisted into March. As the first quarter of the year draws to a close, Bitcoin’s price is hovering around the $70,000 mark.
This period of sustained growth recalls a similar phenomenon observed in 2012, when Bitcoin experienced a seven-month rising streak, soaring from $4.89 to $12.37. Notably, this surge was followed by a 10% price drop. However, analysts at crypto firm Matrixport highlight that despite this setback, Bitcoin recorded positive returns for six consecutive months thereafter.
Drawing parallels to historical patterns, it’s plausible that Bitcoin’s rally could resume after a brief hiatus. The current consolidation phase, following a comparable 10% decline, further bolsters this optimistic outlook.
Factors Driving Bitcoin Rally
Accelerated cash flow plays a pivotal role in fueling a rally, and the cryptocurrency market has witnessed robust demand through the ETF channel, bolstering prices over an extended period. Furthermore, the anticipation of macroeconomic easing is fostering increased optimism in risk markets, particularly for Bitcoin (BTC).
Recent data compiled by CryptoQuant reveals that Coinbase, a prominent US-based crypto exchange, recorded the largest inflow of USD Coin (USDC) stablecoin, amounting to $1.4 billion. Analysts interpret this surge in stablecoin deposits as indicative of growing participation in the crypto market.
The influx of stablecoin deposits is laying the groundwork for potential rallies in both Bitcoin and altcoins. Meanwhile, demand through the ETF channel has consistently outpaced daily issuance, signaling a period of supply shortage exacerbated by the impending halving of block rewards scheduled for April. Historically, the halving event has invariably sparked strong rallies in Bitcoin prices.
⚠️Disclaimer
This content aims to enrich readers with information. Always conduct independent research and use discretionary funds before investing. All buying, selling, and crypto asset investment activities are the responsibility of the reader.