- Rekt Capital analyzes Bitcoin’s potential drop to $37,000.
- Historical patterns suggest Bitcoin’s price fluctuation near $41,000 support level.
- Market optimism rises with upcoming Bitcoin halving and potential SEC ETF approval.
Rekt Capital, a well-known anonymous cryptocurrency trader and analyst, has published an examination of Bitcoin’s forthcoming action based on the past patterns of the original digital currency. This examination stems from Bitcoin’s recent approach in December 2023, revisiting an essential historical support level.
Specifically, the analyst pointed out that Bitcoin
Rekt Capital noted that after those retests, Bitcoin’s value plummeted below $40,000, reaching $37,354.28 and $37,492.21 in 2021 and 2022, respectively. Consequently, the analyst suggested that Bitcoin’s latest approach, near the $41,000 support level, could drive its value down to around $37,000.
Despite this, Rekt Capital described the possible substantial drop to $37,000 as a beneficial pullback that might propel Bitcoin to unprecedented price levels. For example, in 2021, after Bitcoin fell to $37,354, it initiated an upward trend, resulting in its value reaching a record peak within the $60,000 bracket. This pattern can be seen in the graph included in Rekt Capital’s Twitter post.
In 2022, a comparable retest happened with Bitcoin reaching $37,492, and the asset subsequently saw substantial price drops. These declines were due to the prevailing bearish trend in the market at that period.
Nonetheless, the mood in the cryptocurrency market is quickly shifting towards optimism, as the Bitcoin halving is anticipated to occur in April of the current year. Furthermore, there is an expectation within the cryptocurrency community that the U.S. Securities and Exchange Commission (SEC) will give its approval to a Bitcoin-based exchange-traded fund (ETF) within this month.
Disclaimer: The insights, perspectives, and data presented in this price analysis are published in good faith. Readers must conduct their own research due diligence. Any decision made by the reader is solely their responsibility, and Crypto Outlooks shall not be held responsible for any consequential or incidental harm or loss.
