Analyst: Bitcoin January Price Fall Not Unusual
14 Jan, 2025 ● Crypto people
A significant Bitcoin correction during the first month of a year following a halving event is not unusual, as noted by analysts comparing past cycles.
“Bitcoin dumping in January has historically been a common occurrence in post-halving years,” crypto analyst Axel Bitblaze shared with his 123,000 X followers on Jan. 12, adding:
“We all know what happened after the 2017 and 2021 dumps.”
So far this month, Bitcoin has dropped 10%, sliding from its Jan. 7 peak of $102,300 to just under $92,000 before recovering slightly to around $94,000.
In January 2021, another post-halving year, Bitcoin experienced a 25% drop from over $40,000 to just above $30,000 by month’s end.
It subsequently soared 130%, reaching a new all-time high of $69,000 in November.
Similarly, in January 2017, following the 2016 halving, Bitcoin declined 30%, from $1,130 to $784.
However, it went on to gain 2,400% that year, achieving a record high of $20,000 by December.
Meanwhile, YouTuber and analyst Crypto Rover pointed out that Bitcoin has consistently declined in the first half of January over the past year.
“This is just a small dip compared to what we’ve seen before,” he commented.
“Bitcoin has NOT reached the ultimate hype/pump phase,” noted the Stockmoney Lizards X account on Jan. 12. “This cycle has more fuel in the coming 12 months.”
The analyst acknowledged that while each cycle has its nuances, factors such as mass adoption, pro-crypto governmental policies, and ETFs support the bullish outlook.
A 130% rally, akin to the peak performance in previous cycles, could propel Bitcoin from its current levels to over $200,000 by the end of 2025.
Conversely, a correction on par with January declines in past cycles might see prices dip below $70,000.
Sources:
https://cointelegraph.com/news/bitcoin-january-slump-nothing-new-post-halving-analysts
https://x.com/Axel_bitblaze69/status/1878416830223831463
