Bitcoin (BTC) Approaches Pivotal Post Halving Phase, Is Bull Run About to Begin?

Bitcoin is currently at a pivotal moment as investors watch to see if historical trends will play out again.

It’s been almost six months since Bitcoin’s fourth halving, and Hashdex Research revealed that BTC is now approaching a critical phase where, based on previous cycles, prices could start to rise after a long period of consolidation.

Will historical cycles repeat themselves?

There are key factors influencing this possible market shift. According to a report by asset manager Hashdex’s research team, this includes recent rate cuts by major central banks, including the Federal Reserve’s 50 basis point cut in mid-September, stimulus measures and monetary easing in China and the upcoming US presidency. choice

These factors could create a favorable environment for a potential increase, similar to previous halving cycles, where prices rose significantly in the months following the event.

At the end of the third quarter, volatility in the crypto market was relatively stable, with bitcoin volatility below 50% and both Ethereum and Solana approaching similar levels. These lower fluctuation rates indicate a maturing of the industry, with only a temporary uptick in early August caused by the deactivation of yen portfolio trading, which affected all major asset classes globally.

As the fourth quarter of 2024 begins, it is reasonable to expect an increase in global crypto volatility, especially if positive price movements begin to emerge.

Hashdex Research noted that bitcoin investors have continued to accumulate the asset, which fluctuated between $54,000 and $69,000 during the third quarter. In the end, BTC saw its dominance strengthen as it accounted for 54% of the digital asset market.

Bitcoin’s recovery so far

Bitcoin started the third quarter of 2024 on a positive note, gaining 5.3% in July on growing optimism surrounding the potential approval of Ethereum ETFs and renewed confidence in Donald Trump’s election prospects .

However, that bullish momentum took a hit in August, when an unexpected rate hike by the Bank of Japan triggered a broader sell-off across major asset classes. Ultimately, this led to a 10% decline for BTC.

September also started on a bearish note as market sentiment weakened due to declining confidence in Trump’s chances and US payrolls data pointing to a possible recession.

The picture, however, changed in mid-September, sparking renewed optimism among investors and helping bitcoin recover. The crypto managed to conclude the month up 8%, leading to a cumulative total return of 2.5% for the third quarter.

Over the past seven days, BTC has appreciated by more than 5% and is currently trading above $65,650.

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