Noted cryptocurrency analyst Rekt Capital has expressed confidence that Bitcoin (BTC) is at the cusp of a significant rally as it approaches its upcoming 4th block reward halving. He suggests that there is potential for Bitcoin and other cryptocurrencies to climb even higher in the impending weeks. This optimism is rooted in the historical performance of Bitcoin leading up to past halving events.
Anticipating an Extended Bitcoin Price Spike
In a recent YouTube presentation, Rekt Capital observed that historically, Bitcoin’s upswing in value tends to sustain for weeks ahead of its block reward halving. Bitcoin’s upcoming halving, expected in April, will slash the miners’ block reward by 50%. The analyst predicts a continued rally before a likely retreat or adjustment ensues, mirroring the pattern seen in previous cycles where the dip occurred weeks before the halving event.
Rekt Capital speculates that any pre-halving downturn will likely fall within the 15 to 20 percent margin. He views such a decline as a pivotal buying opportunity, likely to be the final one before a post-halving accumulation period, potentially heralding long-term gains.
Historical Pullbacks as Indicators
The analyst draws parallels with past halving cycles, pointing to a 19% retracement in 2020 and an approximate 29% fall in 2016. His projected pullback range for the current cycle aligns with these historical figures and suggests an advantageous juncture for investment before the market enters the post-halving stage.
Currently, Bitcoin stands at a trading value of about $51,000, showing marginal depreciation in the last day. Nevertheless, Rekt Capital’s analysis indicates that the leading cryptocurrency’s value is likely to surge further up until mid-April, in anticipation of the halving event.