- Bitcoin price has risen since the calendar flipped despite the weekly death cross that happened earlier last week for the first time in its history.
- Historically, Bitcoin price has rallied exponentially a few months after the halving event, which is expected in mid-April next year.
The Bitcoin market has consolidated $23k in February compared to a 40 percent spike in January. With looming global crypto regulatory scrutiny, cryptocurrency traders have been observed taking profits at higher rates in the recent past. According to on-chain analytic firm Santiment, more Bitcoin and Ethereum traders have been selling their coins at a loss in the past week. Nevertheless, long-term holders have been observed stashing more coins and transferring their digital assets to non-custodial wallets.
The Bitcoin market has outpaced traditional equities, including the Nasdaq and the S&P 500, in gains during the past year. Moreover, more institutional investors and countries have focused on the digital asset industry, where Bitcoin has the highest dominance of approximately 42 percent.
Closer Look at Bitcoin Analysis
Bitcoin price has risen since the calendar flipped despite the weekly death cross that happened earlier last week for the first time in its history. A death cross involves the 50 and 200 MA, whereby they cross one another to form a resistance trendline. Nonetheless, BTC/USD daily timeframe has recorded a golden cross that has significantly bolstered the bull thesis. Moreover, Bitcoin price has been forming higher highs and higher lows on the daily time frame, which is significantly considered a rising trend.
Having rebounded from the $25k level severally in the past two weeks, Bitcoin bulls will need to act on this resistance zone before continuing towards $30k. A breakout towards $30k is highly plausible based on a historical study after Bitcoin hit rock bottom during the bear markets.
However, the daily RSI indicator – a prevalent crypto trading indicator – has been depicting a possible Bitcoin correction in the coming weeks. Notably, with Bitcoin price forming possible double tops on the daily time frame, the daily RSI has indicated a falling divergence. Additionally, the daily RSI is retesting the 50-point level, whereby a further dip could entail an imminent price correction.
Notably, Bitcoin price is about a year away from its halving event, which reduces its market supply by half. With the demand for more Bitcoins on the rise, the overall effect is expected to rejuvenate the bulls.
March is just around the corner
Historically, #BTC has broken out past its Macro Downtrend around 366-396 days before the Halving
This March, it will be ~396 days before the Halving$BTC #Crypto #Bitcoin pic.twitter.com/RkZhUjAxJc
— Rekt Capital (@rektcapital) February 26, 2023
Historically, Bitcoin price has rallied exponentially a few months after the halving event, which is expected in mid-April next year. Meanwhile, crypto asset analysts forecast a multi-quarter consolidation to occur, acting as the base for the next bull market. As a result, volatility on either side is expected to spike in the coming months.
