Bitcoin Price to Drop More Before Hitting New High Post Halving

Published by

Zameer Attar

April 18, 2024

As cryptocurrency enthusiasts prepare for the TOKEN2049 event in Dubai amid heavy flooding, Bitcoin’s (BTC) price has continued to signal midterm weaknesses. According to the latest market data, the flagship coin has slipped around 3 percent in the last 24 hours to trade at about $62,366 on Wednesday during the early New York session.

Furthermore, the cryptocurrency market recorded minor outflows of about $126 million last week, fueled by the GBTC’s daily selloffs. With the fourth Bitcoin halving less than three days from happening, overall crypto volatility is expected to remain high.

Bitcoin Halving Impact

The heightened demand for Bitcoin from institutional investors will worsen the demand vs supply shock after the upcoming halving. According to a popular crypto analyst alias PlanB, all Bitcoin price increases will again be around the halving impact. As a result, the crypto analyst has set a price target of at least $100k by the end of this year and over $300k in 2025.

Bearish Outlook Before Rebound

According to a reputable crypto analyst alias Mikybull Crypto, Bitcoin price is likely to retest the support level of around $59k in the coming weeks before rebounding to a new high. Moreover, the daily Bitcoin’s Relative Strength Index (RSI) has been forming a bearish divergence amid the ongoing horizontal consolidation.

The crypto analyst noted that Bitcoin’s Open Interest (OI), and funding rate have been at lower levels since the beginning of the year. With a possible $2.2 billion crypto liquidation if Bitcoin price drops to $57k, the crypto analyst is confident of a strong bullish implosion after the halving event.

Zameer Attar

Zameer is a financial analyst and writer with a particular interest in cryptocurrency markets. He has been studying cryptocurrencies and their market behavior for several years and deeply understands the factors that affect the price of cryptocurrencies. His expertise lies in his ability to use both technical and fundamental analysis to make informed predictions about the future direction of cryptocurrency prices. He has a strong understanding of market sentiment and uses this to inform his trading decisions and price predictions.