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The Bitcoin (BTC<\/a>) block reward halving is set to occur on May 12 and traders have mixed opinions on the direction of\u00a0BTC price<\/a>\u00a0following the event. Some believe that a \u201csell the news\u201d type drop will occur after the event while others foresee bullish continuation.<\/p>\n If BTC, the top listed asset on\u00a0CoinMarketCap<\/a>, rises in price after the halving and breaks out of its 315-day cycle wherein it saw five consecutive failed attempts at an extended rally, a powerful upsurge could occur.<\/p>\n The upcoming Bitcoin\u00a0halving<\/a>\u00a0is the only mechanism that exists which affects the production and supply of BTC. Given that Bitcoin is a deflationary currency due to its unalterable monetary policy, anything that affects its supply will have an eventual impact on its price.<\/p>\n Traders have come to\u00a0anticipate a sell-off following the halving<\/a>\u00a0because it is an event that is set in stone. A halving occurs once every four years and previous halvings were triggered in 2012 and 2016.<\/p>\n In previous halvings, the price dropped afterward, recovering over the months that followed and eventually reaching new highs 10 to 11 months later.<\/p>\n The highly expected nature of the halving increases the probability of a market dump in the aftermath of its activation. But, if that does that happen, BTC can potentially rally towards the macro range high at $11,500 and $12,400.<\/p>\n A chart shared by a crypto trader called \u201cGalaxy\u201d portrays the possible price trend if it does not correct after the halving.<\/p>\n \u201cThe fact that BTC is going to $13K simply cannot be ignored,\u201d\u00a0<\/em><\/strong>said<\/a>\u00a0the trader while exploring the scenario of Bitcoin if it cleanly breaks out of the $9,500 to $9,900 resistance area.<\/p>\n Such a scenario playing out for Bitcoin in the short-term would result in the dominant cryptocurrency\u00a0entering an entirely new price cycle<\/a>\u00a0and securing a fresh start to a new multi-year range.<\/p>\n The probability of an extended Bitcoin rally immediately after the halving without any correction still remains low.<\/p>\n Another crypto trader known as \u201cByzantine General\u201d stated that virtually every major technical indicator suggests a pullback for Bitcoin is due following a 150 percent price surge since March.<\/p>\n \u201cSell signals. Sell signals everywhere. Currently flat, waiting for a good setup,\u201d<\/em><\/strong> the trader\u00a0said<\/a>.<\/p>\n Other sell signals that may threaten the recovery of Bitcoin include the Relative Strength Index\u00a0overhead resistance dating back to 2017<\/a>\u00a0and record-high sales that occurred in the over-the-counter market when BTC was at $9,400. Both strengthen the argument for a post-halving drop.<\/p>\n While selling pressure in the cryptocurrency market outweighs buying demand, there is still a possibility that a post-halving upsurge happens. Historically, Bitcoin has shown that it can remain bullish despite glaring sell signals<\/p>\n Source:\u00a0https:\/\/cointelegraph.com\/news\/sell-the-news-why-the-post-halving-bitcoin-price-drop-isnt-guaranteed<\/a>\nWill bullish momentum continue post-halving?<\/h2>\n
<\/p>\nMost technical indicators signal a pullback<\/h2>\n
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