Bitcoin

Rekt

Echoes

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 <p class="paragraph">Bitcoin (BTC) has rallied past the $60,000 mark, marking a significant recovery from its drop below $57,000 prior to the recent Federal Open Market Committee (FOMC) meeting. This rebound could signal the end of the post-<a rel="noopener noreferrer nofollow" title="halving" href="https://thebittimes.com/tag/halving.html">halving</a> “danger zone,” a period typically marked by sharp volatility and price declines.</p>
 <p class="paragraph"><em>Rekt Capital</em>, a prominent cryptocurrency analyst, suggests that Bitcoin’s ascent past $60,000 marks the end of the so-called “danger zone,” a high-volatility period following a <a rel="noopener noreferrer nofollow" title="halving" href="https://thebittimes.com/tag/halving.html">halving</a> event. The “danger zone” refers to the first three weeks after a Bitcoin <a rel="noopener noreferrer nofollow" title="halving" href="https://thebittimes.com/tag/halving.html">halving</a> event, historically characterized by market instability and prices falling below the reaccumulation range.</p>
 <h2 class="wp-block-heading" id="h-echoes-of-past-bull-runs-in-bitcoin-s-recovery">Echoes of past bull runs in Bitcoin’s recovery</h2>
 <p class="paragraph">According to his May 6 blog post, historical data from past cycles support the notion that substantial price increases often follow once Bitcoin exits this danger zone.</p>
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    </path> <path d="M15.996 18.6668L20.4626 14.2815C20.738 14.0166 20.9571 13.6989 21.1068 13.3473C21.2564 12.9957 21.3336 12.6176 21.3336 12.2355C21.3336 11.8534 21.2564 11.4752 21.1068 11.1236C20.9571 10.7721 20.738 10.4543 20.4626 10.1895C19.9074 9.64148 19.1587 9.33422 18.3786 9.33422C17.5985 9.33422 16.8498 9.64148 16.2946 10.1895L15.996 10.4801L15.6973 10.1881C15.1423 9.64023 14.3938 9.33301 13.614 9.33301C12.8341 9.33301 12.0856 9.64023 11.5306 10.1881C11.2552 10.453 11.0361 10.7707 10.8865 11.1223C10.7368 11.4739 10.6597 11.852 10.6597 12.2341C10.6597 12.6162 10.7368 12.9944 10.8865 13.346C11.0361 13.6975 11.2552 14.0153 11.5306 14.2801L15.996 18.6668Z" fill="#EF4444"> 
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 <figure class="wp-block-image size-large"><img decoding="async" width="1024" height="720" src="https://cdn.thebittimes.com/images/2024/05/07/177a9b7d3b09c34375852caf8cae4a35.webp" alt class="wp-image-174375" srcset="https://cdn.thebittimes.com/images/2024/05/07/177a9b7d3b09c34375852caf8cae4a35.webp 1024w, https://cdn.thebittimes.com/images/2024/05/07/177a9b7d3b09c34375852caf8cae4a35.webp 300w, https://cdn.thebittimes.com/images/2024/05/07/177a9b7d3b09c34375852caf8cae4a35.webp 768w, https://cdn.thebittimes.com/images/2024/05/07/177a9b7d3b09c34375852caf8cae4a35.webp 1536w, https://cdn.thebittimes.com/images/2024/05/07/177a9b7d3b09c34375852caf8cae4a35.webp 1800w" sizes="(max-width: 1024px) 100vw, 1024px">
  <figcaption class="wp-element-caption"><em>Post-<a rel="noopener noreferrer nofollow" title="halving" href="https://thebittimes.com/tag/halving.html">halving</a> price booms. Source: Rekt Capital/TradingView</em> <br>
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 <p class="paragraph">Rekt Capital’s <a rel="noopener noreferrer nofollow" title="Category Analysis" href="https://thebittimes.com/analysis.html">Analysis</a> finds parallels between today’s market dynamics and those from the bull cycle eight years ago, shortly after the 2016 <a rel="noopener noreferrer nofollow" title="halving" href="https://thebittimes.com/tag/halving.html">halving</a>, when Bitcoin’s value eventually surged by nearly 3,000%. Similarly, current patterns suggest a strong rebound and optimistic future movements for Bitcoin’s price.</p>
 <p class="paragraph"><br>Complementing these insights, <em>Ali Martinez</em> on X (formerly Twitter) pointed out that despite Bitcoin’s recent rally from $57,000 to over $64,000, the MVRV 90-day ratio indicates that Bitcoin is still in a prime buying zone, suggesting that the price could climb even higher before facing any significant corrections.</p>
 <figure class="wp-block-image size-large"><img decoding="async" width="1024" height="576" src="https://cdn.thebittimes.com/images/2024/05/07/fd6f6b9a272bd5926787c203c248e3c2.webp" alt class="wp-image-174376" srcset="https://cdn.thebittimes.com/images/2024/05/07/fd6f6b9a272bd5926787c203c248e3c2.webp 1024w, https://cdn.thebittimes.com/images/2024/05/07/fd6f6b9a272bd5926787c203c248e3c2.webp 300w, https://cdn.thebittimes.com/images/2024/05/07/fd6f6b9a272bd5926787c203c248e3c2.webp 768w, https://cdn.thebittimes.com/images/2024/05/07/fd6f6b9a272bd5926787c203c248e3c2.webp 1536w, https://cdn.thebittimes.com/images/2024/05/07/fd6f6b9a272bd5926787c203c248e3c2.webp 1800w" sizes="(max-width: 1024px) 100vw, 1024px">
  <figcaption class="wp-element-caption"><em>Bitcoin:MVRV Momentum(90-day). Source. TradingView</em> <br>
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 <p class="paragraph">Adding to the optimistic sentiment, Bitcoin analyst <em>Willy Woo</em> points out that the volume-weighted average price (VWAP) signals a promising horizon for Bitcoin prices.</p>
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    <p lang="en" dir="ltr">Seems like a good setup for #BTC to reach escape velocity.<br><br>Bull div with lots of room to run. pic.twitter.com/EtzGRQrg9a</p>— Willy Woo (@woonomic) May 6, 2024
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 <h2 class="wp-block-heading" id="a-closer-look-at-derivatives-data">A Closer look at derivatives data</h2>
 <p class="paragraph">Despite the bullish long-term outlook from trading volumes, the derivatives market presents a mixed sentiment. On one hand, there’s a robust increase in the trade volume for long positions in Bitcoin futures, jumping by 63.12% to $67.54 billion, which signals a strong bullish sentiment among some investors.&nbsp;</p>
 <p class="paragraph">On the other hand, a slight decrease in overall open interest by 1.94% to $30.25 billion suggests that some traders are opting to close their positions, potentially due to profit-taking or a strategic reduction in market exposure.</p>
 <p class="paragraph">The options market is portraying a more guarded approach, evidenced by a considerable 39.73% decline in trading volume. This reduction indicates a slowdown in speculative trading, yet the concurrent 2.18% rise in options open interest to $10.24 billion demonstrates that while fewer new trades are being initiated, existing positions are largely being held. This could imply that traders are seeking clearer signals before committing to new market moves.</p>
 <p class="paragraph">The complexity of market dynamics is further underscored by liquidation figures from <em>Coinglass</em>, with long position liquidations at $32.94 million surpassing those of short positions, which stand at $21.97 million. This highlights the risks involved despite the optimistic trading volumes, as recent higher liquidations indicate potential vulnerabilities.</p>
 <p class="paragraph">Overall, the interplay of increased bullish trading activity and cautionary market behavior points to a dynamic phase for Bitcoin. As it potentially moves past the volatility linked to its latest <a rel="noopener noreferrer nofollow" title="halving" href="https://thebittimes.com/tag/halving.html">halving</a>, Bitcoin seems set on a path of stability and growth, drawing attention from both established and new market participants.</p>
 <p class="paragraph">This balance of optimistic projections and inherent market risks sets the stage for an intriguing next phase in Bitcoin’s evolution, highlighting the cryptocurrency‘s enduring appeal and speculative potential.</p>
 <p class="paragraph"><strong><em>Disclaimer</em></strong><em>:</em><em> The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk</em></p>
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<p>Source: <a rel="noopener noreferrer nofollow" target="_blank" href="https://thebittimes.com/bitcoin-breaks-60-000-is-the-post-halving-danger-zone-over-tbt87649.html">https://thebittimes.com/bitcoin-breaks-60-000-is-the-post-halving-danger-zone-over-tbt87649.html</a></p>

Bitcoin breaks $60,000; Is the post-halving ‘Danger Zone’ over?

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