As the countdown to Bitcoin’s halving event continues, investors are eagerly awaiting the potential market impact. Top cryptocurrency expert and trader Benjamin Cowen has raised a red flag by highlighting a trend that could lead to a significant decline in BTC’s price post-halving. Cowen suggests that if Bitcoin follows a previous pattern, there may be a correction in the crypto asset’s value.
Potential Market Correction
According to Cowen, if Bitcoin continues to mirror its trajectory during past halving events, there could be a downward trend in BTC’s price. While Cowen acknowledges that historical patterns may not repeat precisely, he believes it is essential to put the idea out there in case it happens again. A pseudonymous user commented on Cowen’s post, reminding him about the arrow backup, to which Cowen responded indicating that the outcome of the next phase could depend on the state of ALT/BTC pairs.
The Bitcoin halving event is predicted to take place within the next 11 days, and many experts believe that it could lead to a significant price surge for BTC in the near future. However, Cowen’s recent prediction has sparked a debate in the crypto community, with analysts like Peter Brandt supporting his insights. Brandt noted that previous Bitcoin bull markets have shown similar fundamental trends leading up to halving events.
As the halving event approaches, the cryptocurrency data analytics platform Kaiko has provided insights into the short-term impact of previous halvings on Bitcoin’s price. While historical data shows that Bitcoin tends to rise 9-12 months after halving events, the short-term effects have been inconsistent. Despite this, the overall sentiment is generally bullish towards Bitcoin post-halving.
At the time of writing, Bitcoin’s price has increased by 8% in the past 7 days, reaching $70,770. However, its overall market cap is down by over 2%, while its trading volume has increased by over 8% in the past day. This recent market movement indicates a level of volatility and uncertainty leading up to the halving event.
It is important to note that the information provided in this article is for educational purposes only. NewsBTC does not provide investment advice, and investors are advised to conduct their own research before making any investment decisions. As with any investment, there are risks involved, and it is crucial to be informed and cautious when navigating the cryptocurrency market.
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