Bitcoin Enters Danger Zone Post-Halving, Analyst Warns Of Potential Downside
Following the halving event on April 19, the price of Bitcoin has displayed a puzzling performance. BTC initially gained nearly 10% to trade as high as $67,020 on April 24. However, in the last two days, the digital assets price has declined by 6.49%, falling below the $63,000 price mark.
As expected, such negative performance has drawn attention from investors and market speculators. In particular, renowned analyst with X handle Rekt Capital has provided a theory on Bitcoins price fall and perhaps an insight into the future price movements of the crypto market leader.
BTC Potential Price Decline Ahead?
In an X post on April 26, Rekt Capital stated that Bitcoin has now entered the Post-Halving Danger Zone. The analyst described this phenomenon as a period during which Bitcoin has historically experienced price corrections after the halving event. Rekt Capital noted that in 2016, Bitcoin recorded these price retraces in the three weeks following the Halving event. During this time, the tokens price declined by 11%.
The analyst postulates that Bitcoin is now in the Post-Halving Danger Zone of the current bull cycle following its price fall over the last two days. It is worth stating that if Bitcoin mirrors past price movement in this phase, the token could be heading for $60,000. However, Rekt Capital states that if the crypto market leader experiences such a fate, it will be within the next two weeks.
At the time of writing, Bitcoin trades around $62,672 with a decline of 2.44% in the last day. This price fall underscores BTCs negative performance in the last month in which it has lost 11.16% of its market value.
BTC trades at $63,023 on the daily chart | Source: BTCUSD chart on Tradingview.comBitcoin ETFs Record Minor Inflow; Net Outflows Hit $217 Million
According to data from SoSoValue, the Bitcoin Spot ETF market recorded net outflows to the tune of $217 million on April 25. Unsurprisingly, Grayscales GBTC accounted for $138 million of these figures as its total outflows now approach $17 billion.
Notably, for the first time ever, Fidelitys FBTC and Valkyries BRRR produced net outflows estimated at $22 million and $20 million, respectively. Meanwhile, ARK Invests ARKB and Bitwises BITB also experienced a loss in investment on Thursday.
Interestingly, all other Bitcoin Spot ETFs recorded zero net flows except Franklin Temptons EZBC, which saw a net inflow of $1.87 million. At the time of writing, the BTC spot ETFs have a combined value of $128 billion, reflecting a remarkable growth since their trading debut on January 11.
Text source: NewsBTC
