Bitcoin Price Forecast: Historical Trends Suggest BTC Could Double in Value in July
The digital currency sector, spearheaded by Bitcoin (BTC), has witnessed increased selling pressure over recent weeks. While some alternative coins have seen a slight recovery lately, there is a possibility of further correction in the crypto market if buyers fail to take charge.
The surge in Bitcoin Whales’ activity, particularly the German government’s increased Bitcoin sales, has contributed to the prevailing bearish sentiment. Despite conflicting views from analysts, the anticipated $9 billion Mt.Gox distribution is expected to exert significant pressure on potential buyers.
Furthermore, US spot Bitcoin Exchange-Traded Funds (ETFs) have experienced substantial outflows of funds in recent weeks. According to on-chain data, approximately 103,000 Bitcoins valued at over $6.3 billion have been injected into Over-the-Counter (OTC) markets in the past six weeks.
Regarding the midterm Bitcoin price action, the cryptocurrency has been fluctuating within the $72,000 to $60,000 range for the past four months amidst heightened on-chain activities. Technically, Bitcoin’s price against the US dollar appears to be forming a double top pattern, accompanied by bearish divergence on the weekly Relative Strength Index (RSI). A sustained closure below $60,000 in the upcoming days could confirm a bearish trend for Bitcoin.
Despite the current scenario, historical patterns suggest that a declining Bitcoin price in June typically precedes substantial gains in July. Many analysts believe that Bitcoin may have already hit a local bottom and is poised for a market recovery next month. Notably, Bitcoin has recorded double-digit rebounds in July for the past five years following a turbulent June.
The imminent introduction of spot Ethereum ETFs in the US is anticipated to instigate positive sentiment within the industry. Additionally, the listing of spot Ether ETFs is projected to significantly boost crypto liquidity as more institutional investors venture into the digital asset space.
