Kevin Swanson, a renowned cryptocurrency analyst, recently shared his Bitcoin price forecast for 2024, providing detailed insight into expected trends in the coming months. Swanson's analysis, which breaks the year down into distinct phases, provides insight into the possible ups and downs Bitcoin could experience.
His forecasts paint a picture of a year marked by significant volatility, a characteristic feature of the cryptocurrency market.
Analyst predicts Bitcoin development stages in 2024
Swanson's forecast is divided into four key stages: a rally leading to a BTC halving event, a subsequent decline in the second quarter, a recovery in the third quarter, and a potential all-time high (ATH) before the end of the year. This phased approach highlights the cyclical nature of BTC price movements, which are heavily impacted by halving events.
Notably, the Bitcoin halving—a process that halves the reward for mining new blocks, effectively reducing the new supply of Bitcoin—has historically been a key driver of price increases.
The upcoming BTC halving, which Swenson predicts will occur later this year by April 15, 2024, is expected to be a significant catalyst for price movements. According to the analyst's chart, BTC could witness a rally, pushing its price to around $60,000 ahead of the halving event, followed by a pullback below the $47,500 level.
Bitcoin price changes before and after halving, according to Kevin Swenson's forecast
This pattern is consistent with historical trends seen during previous Bitcoin halvings, where a reduction in supply typically leads to price increases followed by a correction.
After falling in the second quarter, Swenson expects a recovery phase in the third quarter, with Bitcoin expected to regain lost ground and potentially set a new all-time high (ATH) by the end of 2024.
#Bitcoin | Halving Price Action Forecast
▪ Pump into Halving
▪ Dump into Q2
▪ Pump into Q3
▪ ATH before EOY
Things to keep in mind:
1.) Markets take time.
2.) Volatility is the name of the game. pic.twitter.com/5SgaFK2IHb
— Kevin Svenson (@KevinSvenson_) February 5, 2024
Current BTC Trend and Potential Growth
Meanwhile, Bitcoin fell below its recently traded $43,000 level. While the asset is up 6.4% over the past two weeks, it is down nearly 1% in the last day.
BTC price is moving sideways on the 4-hour chart. Source: BTC/USDT on TradingView.com.
On the other hand, BTC's daily trading volume has jumped from less than $10 billion to over $15 billion over the past few days.
Michael van de Poppe, who heads MN Trading, expects a period of consolidation for Bitcoin in the coming months. He suggests the cryptocurrency's value could fluctuate between $48,000 and $50,000 as the halving event approaches.
My general theory is that #Bitcoin is consolidating in the coming months.
Pre-Halving a final run towards resistance at $48-50K, after that another correction to $36-38K and from there #Altcoins to continue outperforming Bitcoin. pic.twitter.com/sYiqpg3T93
— Michaël van de Poppe (@CryptoMichNL) February 3, 2024
Featured image from Unsplash, chart from TradingView