Bitcoin's Pre-Halving Rally Is Just Starting, Says Crypto Analyst – Here's His Outlook

A popular crypto analyst believes that Bitcoin's (BTC) pre-halving rally is still in its early stages.

Pseudonymous crypto trader Rekt Capital tells its 57,300 YouTube subscribers that Bitcoin's pre-halving rally could continue for weeks based on historical patterns.

The Bitcoin halving is scheduled for April, when BTC miners' rewards will be halved.

Rekt Capital says:

“The key takeaway here is that this pre-halving rally has technically just begun and it is a bit too early to talk about a final pullback before the halving. This pre-halving retracement typically occurs a few weeks before the halving event. And that just means we may have a few more weeks to go, whether we stay at the highs for a few more weeks, reaccumulate to highs before the retest or the retracement, or maybe we see a little more limited upside before then see this retreat taking place.”

Source: Rekt Capital/YouTube

The trader believes that a conservative estimate for a Bitcoin correction ahead of the halving event could mean a decline of between 15% and 20%.

“In general, we should see at least two to three weeks more upside, three weeks in general – whether it's upside or renewed accumulation at the highest level, whether it's limited upside. However, we are not yet in the final retracement phase before the halving. And if we talk about retracement periods, it was a 19% retracement in 2020…

But in 2016 we saw… 29% if we only consider candle bodies. So at this point in the cycle we can expect a value between 19% and 30%.

And then this cycle itself, maybe you want to be a little more conservative and just say 15% or 20%. However this retrace plays out, it will be the last retrace before the halving, and it will be the last opportunity for bargain buying before we move into this period of post-halving re-accumulation, which will happen after the halving will be pretty take a long time.”

Bitcoin is trading at $50,767 at the time of writing, down slightly in the last 24 hours.

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