Bitcoin January slump nothing new in ‘post-halving years’ — Analysts

Key Points

  • Bitcoin has fallen 10% this month, but analysts note that January slumps are common in post-halving years.
  • In past post-halving years, Bitcoin has seen drops between 25% and 30% in January.
  • Despite the January dip, Bitcoin has historically recovered and surged significantly later in the year.
  • Analysts suggest that the current cycle has more potential for growth, with predictions of Bitcoin reaching over $200,000 by the end of 2025.

Summary

Bitcoin has experienced a 10% decline this January, but according to analysts, such a downturn is not unusual in the first month following a halving event. Historical data shows that Bitcoin typically sees a significant drop in January during post-halving years, with declines of 25% to 30% observed in 2017 and 2021. Despite these initial slumps, Bitcoin has historically rebounded strongly, with notable surges of 130% in 2021 and 2,400% in 2017. Analysts like Axel Bitblaze and Crypto Rover have pointed out that these dips are part of a larger pattern, suggesting that the current cycle still has room for substantial growth. Predictions for Bitcoin's future value range from a potential high of over $200,000 by the end of 2025, to a possible low of below $70,000 if a similar magnitude of pullback occurs as seen in previous cycles. The overall sentiment remains optimistic, supported by increasing adoption, supportive government policies, and the introduction of Bitcoin ETFs.

cointelegraph
January 13, 2025
Crypto
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