Bitcoin Halving: Friend Or Foe? Expert Unveils When Exactly 'We Could See A Big Dip'

by Murtuza Merchant, Benzinga Staff Writer
February 22, 2024 11:17 AM | 2 min read | Make a Comment
Zinger Key Points
  • Analyzing daily charts, Svenson suggests a pullback to $47,000 would serve as a new support level, indicating a healthy correction.
  • The anticipated correction is seen as a constructive pullback, potentially setting the stage for Bitcoin to establish higher lows.

Cryptocurrency expert Kevin Svenson predicts a significant downturn for Bitcoin BTC/USD investors.

What Happened: Svenson's analysis hinges on the Bitcoin halving, a pre-programmed reduction in the rewards for mining new blocks, which historically influences the price due to its impact on supply.

According to Svenson, "We could see a big dip...after the halving running up towards our short-squeeze target of maybe $60,000."

He suggests that the excitement and bullish momentum leading up to the halving could be swiftly followed by a correction, with prices potentially retracting to as low as $44,000.

This prediction comes amid a backdrop of increasing momentum as the Bitcoin community anticipates the upcoming halving event.

Also Read: Bitcoin Whales Feasting: 25,300 Bitcoin Accumulated On Record-Breaking Single-Day Influx

Why It Matters: The significance of Svenson's prediction lies not just in the numbers but in the broader implications for the cryptocurrency market.

Halving events have traditionally been turning points for Bitcoin's value and have been followed by price surges.
For the upcoming halving, some analysts have suggested a price target of $87,000. Others, like Grayscale, think Bitcoin could surge even more, as the halving is "actually different" in light of spot ETF demand.
Svenson's forecast of a post-halving dip goes against the consensus opinion and offers a cautionary tale for those betting on a continuous bull run, suggesting that the path forward may include substantial corrections.

What’s Next: As the Bitcoin community braces for the halving, the market remains on edge, with investors keenly watching for signs of the predicted movements.

Svenson's insights suggest a strategic approach to the coming months, advocating for preparedness in the face of potential volatility.

While the exact trajectory of Bitcoin's price remains uncertain, the anticipation of the halving event continues to fuel speculation and debate within the cryptocurrency space.

Price Action: At the time of writing, Bitcoin was trading at $51,550, up 1.1% over the past 24 hours, according Benzinga Pro.

Read Next: Bitcoin To $1M? 'Fiat Currency Is Not Going To Work,' Predicts This Former Pentagon Advisor

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