Bitcoin‘s long-term prospects remain robust despite a potential downturn in its immediate future, according to the latest analysis from prominent trader Mikybull Crypto.
Sharing his thoughts on X (formerly Twitter) on April 17, he confirmed that Bitcoin’s current trajectory aligns with the typical patterns observed in past bull cycles.
Currently, Bitcoin is attempting to recover from a significant 15% drop from its peak values.
This setback has introduced the possibility of the cryptocurrency falling below the $60,000 mark, contradicting earlier optimistic forecasts and leading to a range of lower price targets.
Mikybull Crypto maintains that this downward trend is typical of Bitcoin’s market behavior, especially around its halving events, which historically have not been immediately beneficial for its price.
“Bitcoin is experiencing normal correction as it always did every halving month in preparation for cycle top,” he noted, adding that the current market pattern resembles the re-accumulation phase seen in December 2023, which eventually led to a surge up to $73,000 in 2024.
The analysis highlighted a Wyckoff schematic indicating a potential upward breakout.
This approach aligns with the upcoming block subsidy halving on April 19, which could set the stage for a subsequent rally.
Mikybull Crypto pointed out significant bid liquidity around $57,000 as a key area for potential accumulation and clearing of about $2.2 billion in long liquidation pools, according to data from CoinGlass.
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Further market insights were shared by Skew, another noted trader, who observed the sensitivity of perpetual swaps to spot price movements, suggesting potential volatility around these liquidity zones.
This sentiment was echoed in recent price movements that saw Bitcoin dip below $61,000, marking its lowest point since March 20, as reported by Cointelegraph Markets Pro and TradingView.
In a broader context, Bloomberg Intelligence’s senior commodity strategist, Mike McGlone, highlighted the comparative risks between Bitcoin and traditional assets like gold, suggesting potential broader market implications if Bitcoin begins to underperform significantly compared to gold.
Despite these short-term challenges, Mikybull Crypto emphasized the strong fundamental outlook for Bitcoin, stating, “Bitcoin from a macro perspective is looking solid and on track which shows that the cycle top in this cycle is far from being reached.”
This reassurance reflects a confidence in Bitcoin’s resilience and its ability to navigate through customary market cycles to realize long-term gains.
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