Crypto analyst Ardi has alluded to Bitcoin’s last cycle to provide insights into when the leading crypto could end its downtrend this time around. This comes as BTC continues to show strength amid the rising tensions between the U.S. and Iran.
Analyst Points To Bitcoin’s Last Cycle Bottom For When This Downtrend Could End
In an X post, Ardi noted that during the last cycle bottom, it wasn’t just Bitcoin’s price that found a floor, but that the Open Interest was completely wiped out back then. He highlighted how leverage was reset to zero back then, which was when the real bottom accumulation started. The analyst suggested that BTC may again be on its way to finding a bottom, as the market has already flushed a lot of leverage.
However, he noted that if the last cycle is any guide, the Bitcoin bottom doesn’t form until the speculative excess is almost entirely gone. CoinGlass data shows that leverage in the BTC market remains well above levels recorded at the last cycle’s bottom. Bitcoin’s open interest is currently at $43.86 billion, while the derivatives trading volume is at $87.68 billion.
Meanwhile, Ardi also commented on the ongoing war between the U.S. and Iran and how it affects Bitcoin. When asked whether his analysis factored in the war for when a bottom could occur, the analyst stated that BTC’s price has already factored in most of that. He added that the worst phase for price is likely over from a war perspective.
Bitcoin has so far maintained a tight range amid the war between the U.S. and Iran. The leading crypto had climbed to $70,000 earlier in the week but faced significant selling pressure at that psychological price level.
BTC Could Rally To $80,000 This Month
Crypto analyst Michaël van de Poppe predicted that Bitcoin could rally to between $75,000 and $80,000 this month. The analyst also touched on the current price action, highlighting how it has held above $65,000 and even rallied towards the $70,000 level. He added that BTC is likely to see some days of consolidation before a breakout to the upside likely occurs. This breakout also looks likely, considering that Bitcoin has been establishing this range for a while now.
A positive for Bitcoin is that the selling pressure may be easing. Glassnode analyst Chris Beamish stated that the long-term holders (LTH) net position change is now easing after months of sustained net selling. This suggests that selling pressure from seasoned holders is moderating as BTC stabilizes.
At the time of writing, the BTC price is trading at around $67,800, down in the last 24 hours, according to data from CoinMarketCap.
