Bitcoin's upward breakthrough is blocked. How do analysts view the market trend?

24-04-25 11:01

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Original title: "Range fluctuations continue, Bitcoin falls below $64,000 in the short term"

Original author: Mary Liu, BitpushNews

With the expected post-halving correction coming, the crypto market fell on Wednesday afternoon, and Bitcoin experienced a rapid sell-off and fell below $64,000 in the short term.

Bitpush data showed that after rising to around the $66,500 support level in early trading on Wednesday, Bitcoin short sentiment heated up and fell to a low of $63,560 in the afternoon, an intraday fluctuation of 5.25% from the high of $67,080. As of press time, BTC rebounded above $64,000, a 24-hour drop of 3.5%.

The altcoin market fell across the board. Most of the top 200 altcoins by market cap posted negative returns on Wednesday, with Meme coin Bonk (BONK) outperforming the pack with a 12.6% gain, Algorand up 11.2%, and dogwifhat (WIF) up 6.8%. Gnosis (GNO) was the biggest loser with a 13% drop, followed by Bittensor (TAO) down 10.5%, and SATS (1000SATS) down 9.6%.

The overall cryptocurrency market cap is currently $2.36 trillion, with Bitcoin’s dominance rate at 53.1%.

Secure Digital Markets commented: "This move occurred against the backdrop of continued strength in the US dollar index and 10-year Treasury yields, suggesting that caution should still be exercised when dealing with risky assets. For Bitcoin to attract further bullish momentum, it needs to decisively break through the $67,500 level."

In traditional markets, U.S. stocks opened higher, but stocks fell in the afternoon as traders worried about the economy and interest rates. As of the close, the Nasdaq rose slightly by 0.10%, the S&P was flat, and the Dow fell by 0.11%.

Bitcoin needs to remain at least $60,000

Market analyst Bloodgood said in the latest update: "Bears forced Bitcoin to set new lows, pushing it below $60,000 in a few hours. Lower lows on longer time frames do not bring good news for bulls; however, we see a hammer-like candle pattern, which usually leads to bullish continuation."

The analyst said: "Given that the halving takes place on a weekend, I expect the trend to reverse soon. If you look at the price action of previous halving events, you will see that the price always retraces 10-15% before or shortly after the halving event. After the pullback, we saw a few months of gains."

Nevertheless, Bloodgood pointed out that "the daily time frame is bearish. The series of lower lows and lower highs and declining volume means that further declines are possible in the short term unless something major happens. The level we must monitor is $60,000 because it is a level that must hold if we want to see gains."

While this cycle has proven to be different from previous halving cycles, Bloodgood said he still expects a parabolic move to occur at some point in the next 18 months.

He concluded: "The cryptocurrency cycle has always been centered around the halving, and while things may change at some point in the future, there is still no reason to abandon a pattern that has proven so reliable from the beginning. This cycle is certainly a bit unusual (as ATH does not usually occur before halving), but the default assumption should still be that the cycle is far from over."

Market analyst Rekt Capital said that Bitcoin is currently in a "re-accumulation range", which "tends to form a few weeks before the halving" and "mostly forms after the halving."

He said: "The range will be broken a few weeks after the halving. The goal now is to let Bitcoin move sideways to 'catch its breath' and let the market calm down after the excellent price performance before the halving."

Rekt Capital pointed out that the re-accumulation phase "may last for several weeks or even up to 150 days (or 5 months)", which may cause "many investors who bought Bitcoin after the halving to be eliminated by the market due to boredom, impatience and disappointment."

Rekt Capital believes: "Once Bitcoin breaks through the re-accumulation area, it will break through the parabolic uptrend (green). It is at this stage that Bitcoin experiences accelerated growth and enters a parabolic uptrend. Historically, this stage has lasted only more than a year (about 385 days), but because an acceleration cycle may occur now, this number may be halved in this market cycle."

Cryptocurrency analyst Bluntz said that Bitcoin's recent performance indicates that prices will continue to fluctuate sideways in the range of $64,000 to $67,000.

However, he also believes that Bitcoin “will break out soon” as the chart shows a bullish pennant pattern is forming. According to the analyst, “once $67,000 is breached” the entire market will rise to new highs above it.