Some events pushed Bitcoin price up to $8350 last week, including the Iranian attack over US Bases in Irak and a bull sentiment. A correction took place, and now we are hovering at 8K at press time. But Bitcoin halving is on its way with bad news according to some experts.
But multiple analysis about the near future about Bitcoin’s price is not very promising. They are claiming that the next target will be near $5000.
Pre-Halving Bitcoin Price Crashes:
The feelings consist of Jacob Canfield’s compelling historical pattern. The top crypto expert at TradingView retorted bitcoin might fall to $5,000 ahead of the halving event in May 2020, recalling similar price activity of the digital currency from the last two times.
During the months before to the last two halvings, the appetite of traders for bearish positions soared. That meant a steady decline in the bitcoin price. For example, a bitcoin-to-dollar exchange rate had fallen by up to 27 percent the day before the first halving.
Similarly, ahead of its occurrence, during the second halving, we saw two separate price crashes of 27 percent each.
Every time the price fell, traders were finding a substantial region of accumulation – support – towards the 200-day-moving average (MA) slope of bitcoin.
Each time, the outcome of Bitcoin halving was a significant upside price surge, including one that involves the wild bull run by bitcoin towards now, which is an all-time high of $20,000.
For this analysis to be wrong, I would need to see a daily close ABOVE the 200MA and $10,000 to make a higher high and invalidate the total structure. We can still pump up to $9950 and still be on pace for this analysis if we close below the 200MA.Mr. Canfield statements
We have not yet seen the sell-off capitulation volume like we saw before, and we have been making lower high after lower high from the $13.8k level. We may range for the next several months forming more lower highs until we get a $6400 level break down to $5k.