According to a new analysis, Bitcoin is expected to reach an all-time high by 2024, but the halving event will initially penalize investors. DecenTrader, in its latest market update published on February 2, forecasted that Bitcoin prices would exhibit classic halving year behavior. DecenTrader believes that before the markets start reacting to the upcoming block reward halving, Bitcoin will experience about a month of sideways price movement.
Noteworthy Statements for Bitcoin
Summarizing this year’s Bitcoin price roadmap, CEO and co-founder Filbfilb told readers to expect an increase in purchases about two months before the halving event, currently estimated to be around April 18. This will be followed by another sell-the-news event similar to last month’s launch of spot Bitcoin exchange-traded funds. Filbfilb made the following statements:
“There are about 75 days left until the Bitcoin halving event, which is expected to occur around April 18, 2024. Assuming simply, this is important because there will be a buying interest before the halving event. I expect this to happen around the second week of March or at least six weeks before the halving. This means that Bitcoin has about 30 days from now to go through its corrective phase before encountering the anticipated FOMO demand.”
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Speculators expect that the BTC/USD pair could reach a two-year high of $49,000 before the start of ETF mimic selling. However, afterwards, Bitcoin could embark on a journey to price discovery before the end of 2024, a phenomenon seen in the last halving year of 2020:
“There is a tendency for Bitcoin to release sell-the-news events in conjunction with the halving event, so keep this in mind. After the halving, it took 220 to 240 days for Bitcoin to reach all-time highs. I expect a similar outlook with Bitcoin reaching all-time highs by mid to late Q4 2024, which gives some time for a correction to test the investor’s return.”
US Financial Issues and Bitcoin
The timing of potential Bitcoin price volatility in the coming months is complicating the investment landscape in Q1 2024. During this period, beyond Bitcoin-specific factors, macroeconomic and geopolitical barriers are lining up to cause broader asset turbulence.
Among these, the weakness in the US banking system, which former BitMEX CEO Arthur Hayes believes will peak in March, is included. According to many analysts, a new all-time high for the BTC/USD pair is not expected until the end of 2025. According to Filbfilb, there is little reason to be overly optimistic about what the coming weeks will bring:
“It seems that many people are convincing themselves that Bitcoin will reach all-time highs before the halving event because this time is different. Personally, I expect it to be no different from previous examples; there is a mysteriously accurate market cycle pattern for Bitcoin, an asset class that stems from investor sentiment and to which many are emotionally attached.”
According to data from TradingView, the BTC/USD pair continues to trade just above $43,000 ahead of the February 4 weekly close.
