Bitcoin's price briefly dipped below $60,000 just days before Bitcoin's long-awaited halving. However, many traders remain optimistic about Bitcoin's long-term price prospects based on historical chart patterns and institutional inflows.
Despite the recent price correction, Bitcoin has regained the key moving average indicator that signaled the start of gains during previous market cycles, according to popular cryptocurrency analyst Moustache, who wrote in an April 16 X post:
"A lot of people are expecting much lower prices, but I'm not... BTC regained the [blue] line last month, now it's retracing. When it happened in 2012, 2016 and 2020, bitcoin was just getting started."
According to popular cryptocurrency analyst Rekt Capital, who wrote in an April 17 X post, Bitcoin was in the "danger zone" before halving for a month from March 14:
"It's been a month since Bitcoin was in the "danger zone" (orange). In that time, Bitcoin has retreated twice -18% in March, and now almost -16% so far.
The pseudonymous analyst added that Bitcoin may already be entering a phase of renewed accumulation, in a video published April 17 on X:
"We saw the rebound take place before the halving, as a 17% drop has already occurred, so we may be slowly moving into a period of re-accumulation.
After Bitcoin's correction, key technical indicators reset , suggesting that Bitcoin is no longer overbought, as it fell to 41 on the daily chart, down from 58 on April 8.
Bitcoin's price has fallen more than 7% over the past week. According to John Patrick Mullin, CEO and founder of Mantra, who said the main reason for the deductions may be the recent geopolitical tensions between Iran and Israel:
"This week there was a major event involving Iran and Israel. Cryptocurrency markets move faster than any other in the world, so events like this reverberate almost immediately, as we just saw. I will say, however, that there was a rebound immediately afterwards, which is very optimistic in the long run."
