Bitcoin Pre-Halving Rally Strengthens: Analysts Eye $58,000 Target

Bitcoin price prediction shows remarkable strength and significantly shrinks the chances of a major correction occurring before the much-anticipated pre-halving rally kicks in. If anything, many analysts believe BTC may have already confirmed the early stages of this pre-halving uptrend.

The $52,000 mark, which has become a key support level for Bitcoin, is a level on which the most optimistic intraday traders keep a careful eye. Satisfying this zone substantially raises the potential upside of Bitcoin; concern exists regarding the psychological resistance level of $53,000, as substantial liquidity is anticipated up to around $53,400 in this region. A price magnet may be a successful retest and breakthrough over this barrier. It may open the door for a quick push toward the $58,000 goal.

Investors are keen to spot opportunities as Bitcoin gradually moves closer to the halving hype cycle and event. They want to accumulate before time runs out and the frenzy begins. The halving, which reduces BTC miner rewards by half every four years, will occur in April 2024.

Crypto trader and analyst Rekt Capital suggests the transition to the pre-halving rally phase has already started. With rewards cut in half, supply tends to shrink post-halving drastically. A supply crunch and rising Bitcoin demand intensified with an institutional focus on spot ETF, accelerating market dynamics significantly. This makes many believe the next substantial rally could be the ‘mother’ of all bull runs several months after the event.

#BTC

It's now fully confirmed

Time has officially run out

Bitcoin has now completely transitioned into the Pre-Halving Rally phase$BTC #Crypto #Bitcoin https://t.co/Egqxs9ritl pic.twitter.com/VSRkbXLAvB

— Rekt Capital (@rektcapital) February 19, 2024

Investors Embrace Bitcoin ETFs, Analysts Eye 5-10% Allocation

Traditional investors are impressively warming up to crypto by introducing spot Bitcoin ETFs in the US market. So far, the cumulative total net inflow has crossed the $5 billion mark, with around $1.47 billion in total value traded, according to data from SoSoValue. Index funds like the Byte BOLD Index are doubling their efforts to increase exposure to Bitcoin, with BTC holdings now accounting for 25% of the fund, while gold comprises the remaining 75% of the portfolio.

Leading analyst James Van Straten believes more high-profile index funds, hedge funds, pension funds, and similar will soon consider allocating at least 1% of their portfolios into Bitcoin. However, he expects this allocation “will inevitably increase to 5-10%,” given crypto assets’ growing acceptance and performance.

Bytree BOLD Index is 25% #Bitcoin, 75% Gold.

I am not commenting on the weighted percentage.

I think this Index is indicative of what is to come.
In 2021, it was 18%. #Bitcoin is now up to 25% allocation.

Pensions, etc, will start to allocate a mere 1% into the #Bitcoin… pic.twitter.com/EPLnSSe7H6

— James Van Straten (@jvs_btc) February 19, 2024

Bitcoin price today is $ 51,951 with a 24-hour trading volume of $ 39.46B and a market cap of $ 1.02T the BTC price decreased by 0.92% in the last 24 hours.

Historically, Bitcoin’s price has often surged to new highs after halving events, yet this trend isn’t guaranteed to persist. Investors should cautiously consider various factors when speculating on BTC’s price, only risking what they can afford to lose.

Related Reading | Grayscale Bitcoin ETF Bleeding Continues: Experts Warn of Persistent Outflows