NVDA Q3 Earnings Alert: Why our AI stock picker is still holding Nvidia stockRead More

Bitcoin Skyrockets 350% From Cycle Lows: Analyst Notes Historical Trend

Published 07/12/2024, 09:42 PM
Updated 07/13/2024, 02:45 AM
© Reuters.  Bitcoin Skyrockets 350% From Cycle Lows: Analyst Notes Historical Trend
BTC/USD
-
COIN
-

U.Today - According to crypto analyst Lark Davis, at the handle "TheCryptoLark" on X, Bitcoin is up 356% since this cycle's low.

In a tweet, Cryptolark noted that Bitcoin's current price performance is remarkably similar to what was seen in the last two market cycles. BTC has surged 356% since this cycle's lows, closely aligning with the 351% and 361% increases recorded at the same points in the previous two cycles. "Looks like we're right on track with the previous two cycles," the crypto analyst added.

Glassnode's recent analysis matches this same view. In a tweet, Glassnode noted that the Bitcoin market cap has climbed by more than $1.13 trillion, or +370%, as of the current ATH set in March 2024 since the cycle low in November 2022. The overall market capitalization of digital assets is now around $2.56 trillion, with Bitcoin accounting for more than half of that at $1.33 trillion.

Bitcoin has also remained the largest digital asset for the past 16 years, accounting for more than 52.7% of total industry value.

History repeating itself?

In a recent analysis, Glassnode evaluates Bitcoin's price performance in the 365 days following the prior four halving events, using 2016 and 2020 as relevant benchmarks.

Following the halving, the 2016 and 2020 cycles enjoyed several months of quiet performance before posting spectacular peak returns of +350% and +650%, respectively. The Bitcoin market in 2024 followed a similar trend in the weeks following the fourth halving in April 2024, with BTC prices fluctuating within a few percentage points since the event.

However, the 2024 uptrend has seen comparatively minor drawdowns as compared to prior bull markets. Prices have fallen by 20.3% from their local high, marking the most severe correction since November 2022. Previous cycles witnessed substantially deeper corrections, ranging from 25% to 35% in 2016-2017 and 50% to 63% in 2020-2021.

At the time of writing, BTC had dropped 2.32% in the previous 24 hours to $57,280.

This content was originally published on U.Today

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.