A crypto expert and trader is sounding the alarm, suggesting that Bitcoin (BTC) might be in for another downward trend within the next fortnight.
Known by the pseudonym Rekt Capital, this analyst shares insights with his 74,300 YouTube followers, pointing out parallels between Bitcoin’s current correction and its behavior around the 2016 halving event. Back then, BTC experienced two waves of correction: one prior to the halving and another following it.
Drawing from historical data, Rekt Capital highlights the possibility of Bitcoin undergoing another downturn shortly after the recent halving event.
He explains, “Looking back at previous halvings, we notice that while some retracements occurred before the event, the bulk of corrections happened after. In 2016, about 28 days before the halving, we saw a significant pre-halving dip… And after the halving, the downward trend persisted for a few more weeks.”
Based on this analysis, the analyst predicts that Bitcoin could linger in a post-halving danger zone until next month, suggesting a timeline of around three weeks from the halving event.
He adds, “Considering the halving occurred last week, we’re looking at roughly a three-week period, maybe even shorter given today’s date… So we’re left with just over two weeks for this post-halving danger zone to play out, based on historical trends from 2016.”
Rekt Capital also notes that Bitcoin’s current support level around $60,000 could hold strong over the next couple of weeks, potentially signaling stability if maintained.
He concludes, “These next two weeks are crucial. If we can sustain this support level around $60,000 during this time frame, it could instill confidence that the re-accumulation phase is intact.”
As of now, Bitcoin is trading at $62,871, showing a decline of over 3% in the last 24 hours.
