The bitcoin breakout could occur in the next “handful” of days, said a Crypto Market Analyst (CMA). Fans of the cyclical hypothesis that has predicted Bitcoin downtrends may find support with an analyst who said BTC and other cryptos could be on the eve of a trend change.
In a Sept. 24 X post, Rekt Capital noted that in prior market cycles, BTC (tickers down $63,606) has typically emerged from re-accumulation zones between 154 and 161 days after halving. This cycle’s BTC halving occurred on April 20, 157 days ago, so we are within the breakout time frame. He added:
“Looking at history’s ‘Breakout Time,’ it predicts that bitcoins will break out.”
In the 2016 halving year, BTC exited the range-bound accumulation phase 154 days after the halving, while in 2020, it emerged 161 days post-halving.
The analyst highlighted that history doesn’t always repeat in a copy-paste manner, but if it were to do so in this cycle:
“Then Bitcoin should be bouncing off the lower boundary of this re-accumulation range in the coming few days this week.”
The analyst also compared cyclic returns, noting that September is typically bearish for Bitcoin, whereas the fourth quarter tends to yield better returns.
On Sept. 21, he stated:
“Who would have thought that Bitcoin would set its record-high average return for September in this cycle?”
Read also: Gold and Bitcoin Rally Together: Gold Hits $2,629, Bitcoin Climbs to $64K
BTC has gained about 9% this September, surpassing its second-best September performance in 2016, when BTC posted a 6% gain for the month.
There has also been a positive return for Bitcoin in the past eleven October months, with the current positive bull market of October 2021 showing gains of 40% this year and the giant leap of 48% in October 2017.
There has been some consolidation in Bitcoin’s price over the last six months, but a more substantial correction would be needed to reach new high ground over $73,738 to start a new run in a new range. It is currently 14.6% below that level and has been shown to closely follow the performance of the S&P 500 Index.
BTC price is down 1.7% in the past 24 hours and is currently priced at $62,863 at the time of writing, according to CoinGecko. It struggled to reach a maximum of $65,600 during September 23.