Bitcoin (BTC) has plummeted in the last day or so, dropping from highs of over $ 60,000 to below $ 50,000. According to well-known PlanB crypto analyst, this doesn’t necessarily mean that the asset price hike is over.
“Nothing goes in a straight line,” PlanB said at his Friday post.
“#Bitcoin has been growing for 6 consecutive months, until this month. It looks like it’s the mid-autumn we also saw in 2013 and 2017.”
PlanB is known in the crypto industry as the Bitcoin Stock-to-Flow model, or S2F. The model essentially shows the bitcoin price on an upward trajectory as the scarcity halves and the scarcity increases. He also built a number of other models around this concept, taking different aspects into account.
Bitcoin crossed a record price in 2017 in recent months, reaching nearly $ 65,000 on April 14, according to TradingView data. In the days that followed, by April 23, BTC was down about $ 47,500, or about 26%. However, according to PlanB’s tweet, the move does not conflict with previous OxyBitcoin tournaments.
PlanB’s tweet Friday also included a chart of Bitcoin’s price movement through the beef markets that followed each of the previous halving falls. The two halves occurred in 2012, 2016 and 2020. Emerging markets followed in 2013, 2017 and 2020/2021.
Previous upward trends caused large price declines in the midst of a broader overall bullish cycle. According to a BLX BraveNewCoin chart on TradingView, during its bull run in 2013, after a huge price increase, Bitcoin crashed by about 75% between April and July 2013. After this fall, Bitcoin continued to show significant gains until 2014.
Bitcoin slumped nearly 40% in September 2017 after big gains, but reached new highs in the following months before falling into a bear market a year later.