Halving, not a bullish event... BTC could fall to $50,000 in the coming weeks
The Bitcoin halving event is reportedly less than 24 hours away. Cryptocurrency market analytics firm 10X Research has released a report that says the Bitcoin halving is not a bullish event. "The bullish cycles following past halvings have been the result of the macro environment, not the halving," said Markus Thielen, founder of 10X Research. "There have been bearish signs in the crypto market recently. It is almost certain that the price will fall in the short term. The forces that drove prices to the $40,000 to $70,000 range are no longer there. The euphoria of the January ETF launch has already passed. In recent weeks, BTC spot ETFs have seen very little new inflows," said Mr. Khan. "We expect the crypto market to remain weak due to macroeconomic uncertainty. There is a possibility that the price of Bitcoin could fall to the $50,000 level in the coming weeks."
Deutsche Bank is also bearish on the price after another halving event, stating in a report that "BTC halving is already partially priced in. Therefore, a massive post-halving rally is unlikely. Nevertheless, expectations of an ETH spot ETF approval, a Fed rate cut, and changes in the regulatory environment are expected to keep prices high for the foreseeable future. The surge in layer 2 and DeFi activity is also improving network usability, which is positive for the crypto ecosystem, including Bitcoin." "Historical patterns show that the number of private addresses increased by 52%, 37%, and 3% in the first 150 days after the first, second, and third halving, respectively. This suggests that the halving has engaged retail investors." Deutsche Bank also expects the mining landscape to change after halving. Countries with relatively low energy costs, such as South America, Asia, Africa, and the Middle East, are becoming more attractive to miners, according to the bank.
