A pattern is forming in Bitcoin if you know where to look so could this signify what will occur next for this highly traded cryptocurrency.
In April 2021 price declined from circa $65,000, dropping 55% to below $30,000 in June 2021. Then after a rally, price declined from just under $70,000 in November 2021 to circa $33,000 in January 2022 and this drop was 51%.
The percentage moves is the first of the similarities between the two declines as they both saw a drop of just over 50%. Price pulled back around $36,000 in both cases and the duration of the declines was not far apart. The first decline lasted 10 weeks and the second one was 11 weeks.
Bitcoin is making good progress now and the next hurdle in the way if price is going to keep heading up, is the 50 simple moving average followed by the $50,000 round number. Let’s see how this cryptocurrency performs over the next few months.
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