A famous crypto analyst believes that Bitcoin (
BTC
) is currently in a significant consolidation phase and is poised for a major breakout in the coming months. Rekt Capital, a pseudonymous trader with a large following on social media, suggests that Bitcoin’s consolidation phase may continue for another three months, based on historical data.
“Bitcoin has been consolidating within this re-accumulation range for three months now. Historical trends indicate that this could potentially last for another three months. Therefore, it would not be surprising if the price faces resistance at the range high,” Rekt Capital shared with his followers.
According to the analyst, if history repeats itself, a breakout from the re-accumulation range could occur in September 2024. Additionally, he notes that Bitcoin’s current cycle is slowing down compared to previous cycles, especially after the rapid acceleration earlier this year.
“In March 2024, Bitcoin hit new all-time highs, marking a 260-day acceleration in the current cycle compared to traditional halving cycles. However, the cryptocurrency has now been hovering between $60,000 and $70,000 for three months. This has reduced the cycle acceleration to around 170 days,” Rekt Capital explained.
He also suggests that a delayed breakout from the resistance range would be beneficial for the overall cycle, aligning it more closely with past cycles and potentially setting the stage for a strong bull run.
“Bitcoin’s struggle to break out is actually positive for the cycle. Historically, Bitcoin has never broken out this early after a halving. A premature breakout could shorten the bull market. The ongoing consolidation is helping Bitcoin realign with historical halving cycles for a more typical bull run,” Rekt Capital added.
As of the time of writing, Bitcoin is trading at $66,681, showing a slight decrease in the last 24 hours. For more updates and insights, subscribe to receive email alerts and follow The Daily Hodl on social media platforms.
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