Bitcoin

Rekt

<div class="intro-text"> 
 Bitcoin’s price surged above $65,000 on May 6, hitting $63,712, with <a style="color: #0000ff;" href="https://twitter.com/rektcapital/status/1787405529133838695?t=voPdmxZSCb2YQZF83TGMYA&amp;s=19">analysts suggesting</a> that the post-halving “danger zone” might be behind us and more gains could be on the horizon. 
</div> 
The “danger zone” refers to a three-week period after the halving, historically linked to price volatility below a particular range. 
Rekt Capital, a popular crypto analyst, <a style="color: #0000ff;" href="https://newsletter.rektcapital.co/the-bitcoin-post-halving-danger-zone-is-over/">noted</a> in a May 6 post that while the danger zone might technically last until the end of the week, the expected impact on price has already occurred.&nbsp; 
In his words: “Time-wise the post-Halving’ Danger Zone’ will continue for the remainder of this week, to see out its third final week in this post-Halving window. However, price-wise the anticipated effect has already occurred.”&nbsp; 
He compared this cycle to the 2016 bull run, where Bitcoin experienced an 11% drop 21 days after the halving, signalling a reversal. In this cycle, Bitcoin saw a 6% drop below its range 15 days after the halving, followed by a strong recovery. 
<blockquote class="pullquote align-center">
 “History did repeat because in this cycle Bitcoin produced a -6% downside wick below its respective Range Low in the 15 days after the Halving. Bitcoin has since rebounded strongly to the upside… The Bitcoin Post-Halving’ Danger Zone’ is over.” 
</blockquote> 
<a style="color: #0000ff;" href="https://twitter.com/rektcapital/status/1787405529133838695?t=voPdmxZSCb2YQZF83TGMYA&amp;s=19">noted</a> Rekt Capital in a May 6 X post: 
Another analyst, Willy Woo, <a style="color: #0000ff;" href="https://twitter.com/woonomic/status/1787399664486227991?t=tIEX90eqY04n-ux89z47Cg&amp;s=19">believes</a> that Bitcoin could see higher prices based on the volume-weighted average price (VWAP), indicating a potential for a significant price increase.&nbsp; 
He observed a bullish divergence, suggesting that there is plenty of room for further price gains. 
Woo <a href="https://twitter.com/woonomic/status/1787399664486227991?t=tIEX90eqY04n-ux89z47Cg&amp;s=19">wrote</a> in a May 6 X post: 
<blockquote class="pullquote align-center">
 “Seems like a good setup for BTC to reach escape velocity. Bull divergence with lots of room to run.”
</blockquote> 
Outflows from 11 United States spot Bitcoin exchange-traded funds (ETFs) have also contributed to Bitcoin’s recent correction. These ETFs saw nearly $900 million in net outflows over the past week, the highest since their launch, <a href="https://dune.com/hildobby/btc-etfs">according to data from Dune.</a> 
Moreover, data suggests that long-term holders (LTH) at the $70,000 price have stopped selling to new investors. This could signal the start of a new phase of active accumulation, as highlighted in a May 6 <a href="https://twitter.com/AxelAdlerJr/status/1787417824241009085?t=Azax4LsT31TRjw-gkFf1zw&amp;s=19">post by CryptoQuant author Axel Adler Jr.</a> 
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The post <a href="https://defi-planet.com/2024/05/analysts-suggest-the-danger-zone-for-bitcoin-distribution-has-passed/">Analysts Suggest the ‘Danger Zone’ for Bitcoin Distribution Has Passed</a> appeared first on <a href="https://defi-planet.com">DeFi Planet</a>.

Analysts Suggest the ‘Danger Zone’ for Bitcoin Distribution Has Passed

DeFi Planet

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