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<p>The post <a rel="nofollow" href="https://coinpedia.org/bitcoin/how-bitcoins-trajectory-mirrors-past-federal-reserve-cycles-decoding-btc-price-path/">Bitcoin’s Price Path in 2023 Mirrors 2019, Says Analyst</a> appeared first on <a rel="nofollow" href="https://coinpedia.org">Coinpedia Fintech News</a></p> 
<p>TedTalksMacro, a renowned cryptocurrency analyst, has compared Bitcoin’s current path to the September to November 2019 period. He found that there are striking similarities between the two time periods, including the Federal Reserve’s actions, the <a href="https://coinpedia.org/price-prediction/bitcoin-price-prediction/">Bitcoin price</a> movements, and the potential trajectory of the cryptocurrency market.</p> 
<h2 id="tracing-federal-reserve-cycles" data-name="tracing-federal-reserve-cycles" class="wp-block-heading"><strong>Tracing Federal Reserve Cycles</strong></h2> 
<p>In 2019, the <a href="https://coinpedia.org/news/ex-sec-enforcement-veteran-john-reed-cautions-fintech-experts-about-stringent-regulations-by-fed-fdic-and-occ/">Federal Reserve </a>orchestrated three rate cuts by October and expanded its balance sheet in September. Similarly, in 2020, swift quantitative easing (QE) countered unforeseen events driving an economic downturn.</p> 
<p>Fast-forwarding to 2023, the Federal Reserve again expanded its balance sheet in March, coinciding with market expectations of a substantial rate cut by year-end. Anticipation for 2024 prompts contemplation on whether rapid QE deployment will recur in response to a potential economic downturn, indicated by leading indicators.</p> 
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   <p lang="en" dir="ltr">Just like every other <a href="https://twitter.com/hashtag/Bitcoin?src=hash&amp;ref_src=twsrc%5Etfw">#Bitcoin</a>&nbsp; cycle, the current has it's nuances. However, I'd think we're currently trading in an environment akin to September – November 2019.<br><br>Fed in 2019:<br>– Cut rates 3x by October<br>– Began expanding balance sheet in September<br><br>Fed in 2020:<br>– rapid QE in… <a href="https://t.co/u4oSqgZYsM">pic.twitter.com/u4oSqgZYsM</a></p>— tedtalksmacro (@tedtalksmacro) <a href="https://twitter.com/tedtalksmacro/status/1696442613673713788?ref_src=twsrc%5Etfw">August 29, 2023</a>
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<p>Read More: <a href="https://coinpedia.org/bitcoin/bitcoin-price-reacts-to-fed-chair-jerome-powells-remarks-about-increasing-interest-rates/">Bitcoin Price Reacts to Fed Chair Jerome Powell’s Remarks About Increasing Interest Rates</a></p> 
<h2 id="bitcoins-price-trends" data-name="bitcoins-price-trends" class="wp-block-heading"><strong>Bitcoin’s </strong>Price Trends</h2> 
<p>In 2019, Bitcoin’s price experienced an 83% drop from its all-time high (ATH), reaching a nadir about 500 days prior to the 2020 halving event.</p> 
<p>Similarly, in 2023, a price floor materialized following a 78% plunge from the ATH, aligning with a timeframe of about 500 days preceding the <a href="https://coinpedia.org/bitcoin/bitcoin-price-prediction-2025-pantera-capital-predicts-btc-price-to-hit-150k/">2024 halving</a>. TedTalksMacro emphasizes that these cycles consistently involve new ATHs, echo bubbles, bear markets, and consolidation phases, each bearing nuanced distinctions driven by factors extending beyond pricing.</p> 
<h2 id="unprecedented-surges" data-name="unprecedented-surges" class="wp-block-heading"><strong>Un</strong>precedented Surges</h2> 
<p>The second surge during the 2021/22 period displayed heightened intensity compared to previous instances, attributed to the significant influence of FTX degeneracy, overshadowing the 2018 echo.</p> 
<p>Examining the anomaly of COVID’s unforeseen price fluctuations, TedTalksMacro contends that replicating such a scenario in the current cycle requires new black swan events, potentially involving global conflicts. Moreover, TedTalksMacro cautions against prematurely predicting fresh lows, as history consistently illustrates that betting against established trends is often fruitless.</p> 
<p>Also Read: <a href="https://coinpedia.org/news/top-reasons-why-blackrock-btc-spot-etf-approval-is-imminent/">Top Reasons Why Bitcoin Price Will Reach $300,000 by 2025</a></p> 
<p><strong>Looking Forward</strong></p> 
<p>Since March 2023, TedTalksMacro’s perspective has remained steadfast, indicating an impending consolidation phase as a probable precursor to new highs in late 2024 or 2025. Amid Bitcoin’s ongoing evolution, TedTalksMacro’s insights offer a vital framework for deciphering dynamic transformations within the cryptocurrency realm.</p>

Bitcoin’s Price Path in 2023 Mirrors 2019, Says Analyst

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