Bitcoin, the leading cryptocurrency, continues to hold strong above the $26,000 mark despite market sell-offs and a stronger U.S. dollar. This resilience is impressive for the crypto giant. At the start of the week, Bitcoin saw a slight increase, reaching approximately $26,515.
Amidst this turbulent backdrop, experts in the industry are analyzing Bitcoin’s potential price trajectory. One notable prediction suggests that Bitcoin could reach $48,700 before the upcoming halving. This projection is based on the historical trend where Bitcoin has gravitated towards the 78.6% Fibonacci retracement level prior to each halving. Looking back at the last four halving episodes, Bitcoin touched this critical point four months (2013), two months (2016), and twelve months (2020) ahead of each event. With the next halving approximately seven months away, speculations suggest that Bitcoin could hit the aforementioned Fibonacci level within this time frame.
Meanwhile, a recognized cryptocurrency expert named PlanB remains bullish about Bitcoin’s prospects. He recently reinforced his stance, recalling Bitcoin’s low of $15,500 in November 2022 and projecting a surge leading up to the 2024 halving. His post-2024 halving predictions range between $32,000 and a bullish $66,000. Moreover, he boldly predicts that Bitcoin could reach a staggering $1 million by 2025, supported by his historically accurate PlanB Stock-to-Flow (S2F) model.
On the other hand, “Rekt Capital” aligns more with past patterns, drawing similarities with the 2019 Bitcoin cycle. He suggests a potential decrease, predicting a low of around $20,300 by mid-February 2024. Considering the historical trends, Bitcoin’s peak is speculated to occur in either mid-September or mid-October 2025, based on the 518 to 546 days it historically takes post-halving.
For those unfamiliar, the Bitcoin halving occurs every four years and reduces the generation rate of new Bitcoins by half. This deflationary mechanism significantly impacts Bitcoin’s price due to the basic principle of reduced supply leading to increased demand. The next halving is scheduled for April 2024.
While debates continue regarding Bitcoin’s potential spike before the halving, the lingering question is whether this occasion will deviate from the historical norm.