An analyst believes that Bitcoin remains on its projected path, despite current fluctuations, due to its cyclical patterns. Today, Bitcoin’s price has seen a significant increase, bouncing back from a dip over the weekend and surpassing $69,000. This recent surge aligns with discussions surrounding the cyclical nature of Bitcoin and the growing focus on Bitcoin exchange-traded funds (ETFs).
Taking to X, crypto trader “Coinvo” has pointed out a recurring pattern in Bitcoin’s price movement throughout distinct four-year cycles. These cycles have historically led to substantial parabolic growth, with each cycle characterized by a bottom followed by a rapid increase in price.
For example, during the 2014-2017 cycle, Bitcoin hit a low of $176 before experiencing a surge. Similarly, the 2018-2021 cycle began at a bottom of $3,185, leading to a comparable outcome. In the current 2022-2025 cycle, Bitcoin’s bottom is projected to be $15,758, and the upward trend has been underway since the fourth quarter of 2023.
The analyst’s chart suggests that if historical patterns continue, another parabolic rise could be expected as the cycle progresses towards 2025. Ultimately, the analyst emphasizes that Bitcoin is “on track” and advises investors to exercise patience amidst the current market conditions.
In addition to Bitcoin’s cyclical movement, attention has turned to Bitcoin ETFs, as holdings reportedly reach higher levels ahead of Bitcoin’s price. Charles Edwards, the founder of Capriole Investments, shared on X that ETF holdings have exceeded $60 billion. Notably, the surge in ETF demand is seen as a potential indicator of upward price momentum for Bitcoin.
This trend is further supported by the recent influx of funds into U.S. spot Bitcoin ETFs, which have experienced their highest inflow in six months. As reported by The Crypto Basic last week, these ETFs have accumulated nearly 65,000 BTC, equivalent to $4.4 billion in new capital over the past month. This level of investment hasn’t been seen since April when Bitcoin’s price surpassed $72,000.
Earlier this year, the ETF market faced challenges, particularly in May when Bitcoin’s value dropped below $56,000, resulting in a decrease in holdings. However, the trend took a significant turn on September 18th, triggered by a U.S. interest rate cut that reignited investor interest in crypto assets. Since then, ETF inflows have steadily increased, reversing the previous bearish sentiment.
Disclaimer: This content serves as informational and should not be considered as financial advice. The opinions expressed in this article may be the author’s personal views and do not necessarily reflect the views of The Crypto Basic. Readers are advised to conduct thorough research before making any investment decisions. The Crypto Basic holds no responsibility for any financial losses incurred.