🚨📉 BITCOIN CASH GIVES WARNING SIGNAL AHEAD OF BTC HALVING EVENT! 🚨💥
As Bitcoin's fourth mining reward halving approaches in just eight days, the cryptocurrency market is on edge. Historically, such events have heralded bullish periods for Bitcoin, but its offshoot, #Bitcoin Cash (BCH), is painting a cautionary picture, urging traders to temper their expectations for an immediate price surge post-halving.
The rally in #BCH triggered by its parent blockchain's halving of per-block coin emission to 3.125 BCH on April 4, quickly lost steam as prices retreated by 15% to $604. Adding to the concern, notional open interest in BCH perpetual futures has plummeted by a staggering 70% to $376 #million in just seven days, with funding rates turning negative, indicating a shift in sentiment towards bearishness.
Algorithmic trading firm #Wintermute suggests that BCH's recent activity may foreshadow potential selling pressure for BTC post-halving. Analysts have long cautioned about a "sell the news" scenario for BTC, with JPMorgan anticipating a pullback to $42,000 once the halving hype fades.
Despite BTC's current price of $70,700, representing a substantial 67% year-to-date gain, concerns linger about post-halving miner sales potentially dampening bullish momentum. Markus Thielen, founder of 10X Research, estimates that miners could liquidate $5 billion worth of BTC after the halving, potentially leading to a sideways market for several months.
Will the bitcoin price skyrocket or crash after the halving event?
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