An analyst who weathered Bitcoin’s pre-halving correction last year believes BTC is about to enter another explosive phase of the market cycle.
The analyst under the pseudonym Rekt Capital tells Its 105,000 YouTube subscribers are convinced that, based on historical precedence, Bitcoin could see a massive breakout soon, after the recent correction.
However, he warns that a serious correction could follow the next big rally, based on Bitcoin’s usual cycle patterns.
“We are about to enter another parabolic phase in the cycle. That second upward trend in price development that will take us in price development and to new record highs. And then of course we have to prepare again for that course correction… It will take several weeks and there is a good chance that it will be deeper than this 17% pullback that we saw…
That second price correction could be very different, it could be much deeper and I am sure it will capitulate many retail investors in the market.”
The trader also expects Bitcoin to enter a third price discovery phase after the potentially severe correction based on previous cycles.
“It will most likely not be the end of the cycle in its entirety, and we still have a third uptrend in price development ahead of us. So if we look at roughly where we are in this market cycle, we are in the parabolic phase of the cycle. And if we look at where we are month-to-month, we are in the third month of the uptrend in price development in the parabolic phase of the cycle.”
Bitcoin is trading at $104,565 at the time of writing.
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Generated image: Midjourney