BTC price continues at $69,855 for the day, and altcoins are consolidating. What about the scenario for the halving? After months of Bitcoin‘s continuous rise, investors are now more convinced of further price increases. Historical data also suggests that BTC‘s price could continue to rise during the halving period.
Bitcoin April Predictions
Since September 2023, Bitcoin has consistently been surpassing its previous month’s peak, and this continued in March. Now, in the final hours of the first quarter of the year, the price is at the threshold of $70,000. Has there ever been such a strong period of rise before?
BTC last saw a 7-month rising streak in 2012 when its price climbed from $4.89 to $12.37. It was noteworthy that the price experienced a 10% drop after this rally. Analysts at crypto firm Matrixport said that there was a 10% drop in the following month in 2012, and then positive returns continued for six consecutive months.
Accordingly, the Bitcoin rally could continue after a short break. The fact that the price has entered a consolidation period after experiencing a similar 10% loss in the current period also makes this view promising.
Cash Flow and Crypto
Accelerated cash flow is essential for a rally, and we have seen strong demand through the ETF channel supporting the price for a long time. Moreover, the expectation that macroeconomic easing will now begin is also laying the groundwork for more optimism in risk markets, specifically for BTC.
According to data compiled by CryptoQuant, the US-based crypto exchange Coinbase recently saw the largest USD Coin (USDC) stablecoin flow of $1.4 billion. Analysts think that this increase in US-based stablecoin deposits reflects growing participation in the crypto market.
The growth in stablecoin deposits is laying the groundwork for new rallies in Bitcoin and altcoins. On the other hand, demand through the ETF channel has been much larger than the daily issuance for a long time. This points to a period where the supply shortage, further impacted by the halving of block rewards in April, can be better understood. Historically, the halving event has always triggered strong rallies in BTC prices.
