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Bitcoin Breakout Potential Soars as Halving Cycles Align for a Possible $160K Rally in 2025

Bitcoin CFN
  • Bitcoin’s current parabolic phase could extend up to 385 days, mirroring post-halving growth patterns.
  • Post-2024 halving, Bitcoin may consolidate before a bullish breakout, with targets between $100K and $160K.
  • A Golden Cross in late September suggests continued upward momentum as Bitcoin hovers near $90K with key resistance at $95K.

Bitcoin has entered a critical phase in its price cycle, with Rekt Capital predicting a potentially year-long parabolic surge. Just two weeks into this phase, BTC’s upward momentum aligns with historic post-halving trends that have previously led to major price increases. The current phase, expected to last up to 385 days, suggests a potential for sustained growth over the coming year.

Halving Events Trigger Re-Accumulation and Growth Phases

Historically, Bitcoin’s price undergoes transformative phases following halving events, which reduce its block reward by 50%, constraining supply. Marked by blue lines, the 2020 and 2024 halvings on May 11, 2020, and April 15, 2024, respectively, illustrate this pattern.

Bitcoin Breakout Potential Soars as Halving Cycles Align for a Possible $160K Rally in 2025
Source: Rekt Capital

Following the 2020 halving, BTC entered a re-accumulation zone, forming a price base before a strong upward breakout. Similarly, after the April 2024 halving, analysts project another consolidation phase, as seen in past cycles. This re-accumulation stage, highlighted in red, is expected to precede another parabolic advance, with potential targets near or above $100,000 and possibly reaching up to $160,000 by late 2025.

Historical Price Performance and Key Support Levels

Resistance levels are marked in red and significant re-tests indicated by orange circles. These levels serve as critical price highs, where Bitcoin has previously shown accumulation, signaling potential support zones. 

After the 2020 halving, Bitcoin experienced a 55-week consolidation period, leading to the parabolic rally that pushed its price upward. In this cycle, a similar time-based accumulation phase is anticipated after the April 2024 halving, pointing toward a potential surge around mid to late 2025.

At press time, Bitcoin was trading at $90,567.51, reaching the upper boundary of the projected re-accumulation area. This suggests the potential for an imminent breakout, as witnessed in previous halving cycles.

Moving Averages and Market Sentiment

On a 4-hour timeframe the price behavior against two key moving averages: the 50-period moving average (MA50), represented by a red line, and the 200-period moving average (MA200), marked in yellow, BTC is still bullish

Currently, Bitcoin’s price of approximately $90.6K has sharply moved above both averages. The MA50 ($81.1K) closely follows this rally, indicating short-term bullish sentiment, while the MA200 lags at $71.2K, suggesting sustained upward strength over recent weeks.

Bitcoin Breakout Potential Soars as Halving Cycles Align for a Possible $160K Rally in 2025
Source: Santiment

A Golden Cross, where the MA50 moves above the MA200, occurred in late September 2024, marking a historically bullish signal. Bitcoin’s price then accelerated, pushing from $70K to $90K within a month. Resistance levels, notably near $95K and $100K, could temper this ascent, yet surpassing $100K may prompt even higher targets between $110K and $120K, maintaining the strong bullish trend as the 2024 halving draws closer.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.

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