Hannah Phung is a Lead Analyst at On-Chain Analytics Platform SpotOnChainRecently, she gave her view on what impact the Bitcoin Halving event could have on Flaghsip’s crypto price. It adds fuel to the fire of debate over whether the Halving could be a cause for concern. Bitcoin’s price to rise to $100,000.
Bitcoin’s price increase might not happen immediately
Phung mentioned during an interview BeInCrypto has found that Bitcoin tends to go up in price 6 to 12 months after its release. Halving This will not happen immediately. It is clear from past events such as Bitcoin’s halving. significant price gains One year following the first Halving, Bitcoin’s price increased by over 8,000%. Bitcoin’s price increased by over 8,00% in one year following the November 28th, 2021 first Halving.
Source: Milk Road
BTC’s price increased by 284% after the third halving event, on May 11, 2020. Phung noted further that Bitcoin’s gains in price come from the decrease in Bitcoin miners’ supplyThis increases scarcity, and therefore its price.
NewsBTC in February reported Bitcoin’s supply was outpacing demand by a wide margin. Many crypto analysts made bullish predictions about Bitcoin’s potential price increase when the miners’ reward is further reduced in half at the end of this month. MacronautBTC is one analyst that raised the possibility that Bitcoin would rise to $237,000.
The Bitcoin Halving could be Different
The crypto market is not known for its ability to keep up. historical patternsPhung said that markets can be unpredictable and this Halving could differ from previous ones. This cycle is also different because Bitcoin has hit the a new all-time high (ATHBefore the Halving.
The analyst also acknowledged the fact that Bitcoin is a volatile market. “much larger and more established compared to earlier halvings.” Phung admits that she does not know the exact date of the price hike, but still anticipates it. She said the timing could be sooner or later than normal.
Crypto analyst Rekt Capital When he spoke about his thoughts, he echoed the same sentiments as to how this cycle could be different. analysis He explained the phases in detail. He stated specifically that the Reaccumulation phase “may not last very long before additional uptrend continuation” Since this is the very first time that the range of Re-accumulation will revolve around a brand new ATH.
Bitcoin Price Could Be Determined by Market Sentiment After Halving
Phung elaborated further on the way the sentiment of the markets after the Bitcoin halving can provide insight into the future trajectory of Bitcoin. She believes that crypto investors The halving of Bitcoin supply is likely to be bullish, given the importance of this event.
Once the initial excitement of the half-off wears off however, there are several metrics that can be used to gauge the impact, including price charts, volume traded, discussions on social media, data from the chain, like addresses and active addresses. exchange supplyIt will be necessary to analyze to see if investors remain bullish.
Phung said that, this time round, it is possible that the Bitcoin price spike that happens immediately following the halving of the currency may last longer than usual. institutional investors They have now been involved in the creation of a “more mature market.”
Source:| Source: BTCUSD on Tradingview.com
Chart from Tradingview.com, image from Bitcoin News
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