Bitcoin (BTC) price dipped below a key trendline as analysts are eying a potential correction below $55,000 before BTC can rebound.
BTC price below key post-halving trendline
Bitcoin's price fell below a key growth trajectory line based on previous BTC halving cycles.
Related: More ‘extreme fear’ than FTX crash — 5 things to know in Bitcoin this week
Recovering above this trend line, which is around $63,000, could put Bitcoin back on track to new highs, according to crypto research platform Econometrics, which wrote in an Aug. 12 X post:
“Bitcoin has dipped below its historical post-halving growth trajectory range. If it returns to this range before year-end, we're looking at a high likelihood of a six-figure value for one BTC.”
Provided that Bitcoin would follow the same trajectory we’ve seen during previous halving cycles, BTC could reach over $140,000 during the cycle top in 2025.
Will Bitcoin revisit $55K before more upside?
Bitcoin price could still correct below $55,000, based on the upcoming release of the Consumer Price Index on Aug. 14.
A higher-than-expected reading could lead to another correction, according to pseudonymous trader Crypto Bullet, who wrote in an Aug. 12 X post:
“What a monster bullish weekly candle! Long wick, green body. Strong recovery… While I think it’s possible to test $53-55k one last time if CPI comes in hot on Wednesday, I can’t be bearish here.”
However, Bitcoin miner reserves fell to 1.8 million BTC, which is lower than miner reserves at the beginning of March, when Bitcoin hit its all-time high, noted verified CryptoQuant author Binhdangg, in an Aug. 12 X post.
Decreasing miner reserves means less upcoming Bitcoin sell-pressure since miners rely on selling Bitcoin for operations costs.
Yet, Bitcoin needs a confirmation above $60,600 for more upward momentum, according to popular crypto analyst Rekt Capital.
The analyst wrote in an Aug. 10 X post:
“Bitcoin is doing all the right things to confirming $60,600 as support so as to position price for a revisit of $65,000+ over time.”
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
