The fluctuations in the price of Bitcoin have marked the pace of the crypto market and the sentiment of the community. While some are pessimistic about the slowdown in the rally, some analysts believe that the flagship cryptocurrency is just gearing up to hit higher notes.
Next Stop: Bitcoin’s “Parabolic Advantage”
Crypto analyst and trader Rekt Capital believes that Bitcoin (BTC) is currently entering a period of consolidation. In a X messagethe trader highlighted that BTC saw “re-accumulation ranges” during the previous halvings.
The analyst shared his chart for Bitcoin phases during the ‘Halving’, which he has previously used to explain that BTC had the ‘Last Pre-Halving Retrace’ before April 19.
At the time, the analyst pointed out that the reaccumulation phase was next. Bitcoin experienced one during the previous halving, as shown in the chart.
The reaccumulation consisted of two consolidation periods, followed by the “Post-Halving Parabolic Upside,” where BTC reached the all-time high (ATH) of the last cycle of $69,000.
Bitcoin phases during the "Halving". Source: Rekt Capital on X
Rekt Capital highlighted that the flagship cryptocurrency has already experienced five reaccumulation ranges during this cycle. As with the previous cycle, the final reaccumulation phase appears to have begun during the “Pre-Halving Rally” phase. According to the analyst, this will be followed by the “Parabolic Upside” if history repeats itself.
Analyst Mikybull appears to share a similar view to that of Rekt Capital, as he emphasizes that Bitcoin’s “parabolic rally is loading.” The outbreak of reaccumulation is set to be “explosive,” and “not many people are prepared for this,” he added.
The analyst explained that “on a macro scale, the RSI is at the same level as in 2017, followed by a huge rally to the top.” Based on this, he believes the current consolidation comes from institutions preparing for “a huge rally to the top of the cycle.”
Analyst Determines Crucial Level for Bitcoin Breakout
A day before Bitcoin’s “halving,” the cryptocurrency faced a correction that shredded 7% of its price within a few hours. BTC went from swinging between the $64,000-$63,000 price range to trading below the $60,000 support zone.
Since then, the largest cryptocurrency by market capitalization appears to have steadily recovered from its decline. Over the weekend, Bitcoin regained the $65,000 support level before testing the $66,000 level, which it regained on Monday.
Over the past few days, BTC has fluctuated between $66,000 and $67,000. However, it has failed to successfully test the resistance level of the $67,000 price range.
According to crypto analyst Bluntz, these are Bitcoin’s most recent performances suggests that the price will continue to move sideways between $66,000 and $67,000.
However, he also believes that BTC is “expecting a breakout soon” as the chart shows a bullish pennant pattern. According to the analyst, once we reach 67k, the entire market will fly above the last ATH.
At the time of writing, Bitcoin is trading at $66,665, up 7.5% from a week ago and up 66.22% in the past three months.
Bitcoin's performance in the weekly chart. Source: BTCUSDT on TradingView
Featured image from Unsplash.com, chart from TradingView.com
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