Crypto Analyst Says The Bitcoin ‘Summer Chop’ Is Nearing Its End, Here’s Why
September 05 2024 - 6:30AM
NEWSBTC
Summers have historically been very bearish for the Bitcoin price,
and the year 2024 has been no different. Since summer began in
June, the price of Bitcoin has been very weak, with multiple flash
crashes rocking the pioneer cryptocurrency at various points. So
far, the Bitcoin price has gone from over $70,000 to below $50,000
at one point. However, this could all be coming to an end as a
crypto analyst has pointed out similarities with the summer of 2023
that suggest a recovery is imminent. When The Summer Chop
Might End Crypto analyst Crypto Jelle, comparing the number of days
that previous summer chops have lasted, has come up with a likely
timeline for when the Bitcoin price decline could come to an end.
Mainly, he takes into account the performance of Bitcoin in the
summer of 2023 and how many days it lasted before it officially
came to an end. Related Reading: XRP Price To $8: Analyst Says
Repeat Of 2017 Could Drive Rally According to the post, the summer
chop of 2023 actually lasted a total of 219 days, or approximately
seven months. Given that trends like these tend to mirror each
other, there is a chance that the current summer chop could last
around the same time as that of 2023 did. The analyst points out
that the current summer chop has been going on for 190 days, or
approximately six months. Going by the duration of summer 2023, it
means there is still around one month left to go before the bearish
phase is finally over. This suggests that the month of September
will continue to be choppy for the Bitcoin price. However, the good
news is that it is likely the last month of downtrend before
another rally begins. “If this chop-season lasts as long as the
previous one, it will end around the start of October,” the crypto
analyst stated. Day 190 of chop-season today. The previous summer
chop lasted for 219 days, after which price more than doubled in
the months that followed. If this chop-season lasts as long as the
previous one, it will end around the start of October.#Bitcoin
pic.twitter.com/dXYMVCbmM9 — Jelle (@CryptoJelleNL) September 4,
2024 Bitcoin Open Interest Flush Good For Price Another crypto
analyst who has predicted a potential surge in the Bitcoin price is
@CredibleCrypto on X (formerly Twitter). The analyst had previously
predicted a drawdown for the cryptocurrency. By the middle of the
week, the Bitcoin price had completed the drawdown, prompting the
analyst to move to the next phase of the prediction. Related
Reading: Bitcoin Short-Term Holder Behavior Reminiscent Of 2019 As
BTC Remains Below $60,000 According to him, the drawdown below
$57,000 could mean that the BTC price is now ready for a recovery.
He explained that “Didn’t get that move up first unfortunately but
we have now hit my downside target so hopefully this just means we
are now ready for that relief rally sooner rather than later.” The
price crash also saw a massive wipe of open interest (OI) from the
market, but the crypto analyst believes that this could be good,
although buyers are yet to arrive. “Nice wipe on OI here but no
immediate signs of buyers stepping in just yet,” Credible Crypto
said. “Let’s see how things develop.” Featured image created with
Dall.E, chart from Tradingview.com
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