he halving year has always been an important year for the crypto community. However, This most recent halving in April 2024, was recorder as the longest consolidation in bitcoin price. This has challenged historical patterns and investors expectation and took many by surprise.
Historical Context:
Data shows that previous halving years have seen Bitcoin appreciate in value within 298 days. Return index shows a declining trend from 2014 to 2018, and then rising up again in 2019 and 2020 with 4.05 in the halving year. On the same note, 2016 recorded the lowest return index of 2.26.
Unprecedented Pre-Halving High:
To everyone’s surprise, BTC achieved a new historical high before the halving, which has never happened in the history of Bitcoin, touching the highest price of $73,737.94 on March 14, 2024. Many argue that the recent for the early break of ATH was due to the approval of the ETF.
Extended Re-Accumulation:
The current sideways trading period has been for 176 days which is longer than the re-accumulation that follow halving of 2016 and 2020 both at 164 days. This makes this current cycle quite unusual, and took many investors by surprise. The sideways price movement of BTC is expected to extend for up to two more months resulting in the re-accumulation period to last up to 236.
Bitcoin's Extended Flat:
This may well have created the conditions for the next major move in the development of this cryptocurrency and the overall bitcoin space, beyond the normalization that has already challenged historical conventions of a mature, flat financial market.
