• The cryptocurrency analyst James Altucher suggests that Bitcoin could experience a massive bull rally in June 2023 due to the upcoming halving event and potential US recession.
• Altucher draws attention to an interesting trend where the long-term holder realized price of Bitcoin surpasses the Bitcoin realized price, which could lead to a significant Bitcoin rally.
• Historically, this phenomenon has occurred in June since 2012 with exception of 2020, due to pandemic-induced market crash.
Bitcoin ‚Flipping Frenzy‘: Here’s Why June 2023 Could Ignite A Massive Bull Rally
Fear Ingredient Index Remains Neutral
Renowned crypto analyst James Altucher, owner of InvestAnswers, offers a thought-provoking perspective on Bitcoin, providing valuable insights into the current market situation. Despite the Fear Ingredient Index (a measure of market sentiment) remaining relatively neutral last week, there is an observable disconnect between Bitcoin’s performance and that of other cryptocurrencies—altcoins have outperformed Bitcoin. This is reflected in its decreased market dominance which challenges the validity of the Season Index (which suggests an ongoing Bitcoin season).
Potential Impact Of US Recession And Quantitative Easing
With less than 11 months left until the next halving event, Altucher emphasizes its importance. Anticipated to take place around April 14th 2024, this event will effectively halve the supply of Bitcoin mined from blocks—an event which has historically resulted in a significant increase in price. Simultaneously, Altucher predicts a recession in the US around this time which could lead to quantitative easing; essentially expanding the money supply. The combination of this influx of capital and reduced supply post-halving could further stimulate prices making it attractive for investors.
‚The Flipping‘ Phenomenon
Altucher draws attention to a recurrent pattern in Bitcoin’s price action where ‘the flipping’ occurs—when the long-term holder realized price surpasses that of Bitcoin realized price. This phenomenon has historically led to a significant rally but tends to occur around June each year since 2012 (with exception being 2020 due to pandemic).
In conclusion, Altucher provides compelling evidence as to why June 2023 could ignite a massive bull run for BTC given its upcoming halving event and potential US recession leading up to it combined with ‘the flipping’ phenomenon which historically drives prices up at this time each year.