#btc $BTC What impact will the halving have on the price of Bitcoin?
In 2016, the retracement depth before halving was -38%
In 2020, the retracement depth before halving is -20%
As the Orange pre-halving period slowly winds down, only 14 days remain…
Bitcoin is slowly preparing to transition into the pre-halving rally phase
Pre-halving rallies tend to occur about 60 days before the halving (light blue)
In anticipation of halving, investors 'buy the hype' to 'sell the news'
Short-term traders and speculators "buy into the hype" in the weeks leading up to the halving, hoping to profit from this hype-driven rally
These speculators then "sell the news" to realize profits, thus contributing to the pre-halving retracement that occurs only weeks before the halving event.
The pre-halving pullback could last for weeks, leaving investors questioning whether the halving is a bullish catalyst for prices
Once Bitcoin breaks out of the re-accumulation zone, it breaks out of the parabolic uptrend (green)
It is during this phase that Bitcoin experiences accelerated growth on its way to new all-time highs