Bitcoin (BTC) has been facing significant challenges recently as its price dipped below the $27,000 mark due to the Fed’s interest rate pause and the Bank of England’s rate cut. While it managed to hold above a crucial support level of $26.5k on Friday, the cryptocurrency market eagerly awaits a bullish catalyst to reverse the current bearish trend.
BTC Price Analysis
Crypto analysts at Rekt Capital have closely monitored Bitcoin’s price action and identified some interesting patterns. They suggest that Bitcoin might be gearing up for a price movement similar to what occurred in 2019. Their analysis notes that historically, September of the pre-halving year tends to be bearish for the crypto market, while October has often shown bullish tendencies.
Rekt Capital argues that there’s a high probability of Bitcoin experiencing a 10 percent breakout towards the $29.2k mark in October 2023.
They state, “If Bitcoin rallies +10% this coming October 2023, that would see the price revisit $29,200. In such a scenario, BTC could form a long upside wick beyond the Lower High resistance (yellow) before potentially rejecting again to confirm this current move as a relief rally.”
Bitcoin Halving Prediction
Looking beyond the short-term price movements, Rekt Capital also considers the upcoming fourth Bitcoin halving, approximately 220 days away. They highlight that extreme scenarios like a return to the all-time high (ATH) or a new bear market low are unlikely. As a result, they suggest that dollar-cost averaging (DCA) may be the best strategy for investors as they prepare for the potential upcoming parabolic move.
In summary, Bitcoin’s price remains uncertain in the short term, but Rekt Capital’s analysis suggests a possible bullish breakout in October 2023. However, they advise a cautious approach and recommend DCA as a prudent strategy given the upcoming halving event.
