Bitcoin’s price cycle faces a downturn, but analysts stay neutral

The crypto market saw Bitcoin’s price cycle facing a slowdown, but several analysts termed it a normal occurrence before the BTC halving event, which will happen shortly.

Analysts in the crypto market have given a host of reasons for the downtrend in Bitcoin’s price cycle. But most stayed positive on its long-term perspective. A few opinions also described it as usual activity due to the upcoming BTC halving event. Since there is uncertainty for the short term, traders could have de-risked their Bitcoin holdings recently, leading to the dip.

Another reason for the downturn could be the decreasing Bitcoin ETF inflows. Data suggests that most spot Bitcoin ETFs recently saw little to no inflows. Crypto analyst James Seyffart said it was a usual occurrence for ETFs and not a matter of concern.

He stated, “On any given day, the vast majority of ETFs will have a flow number of ZERO — this is very normal. There are ~3,500 ETFs in the US. Yesterday 2,903 of them had a flow of exactly zero.”

Thus, the overall picture in the crypto market is uncertain, but it has a bullish long-term outlook. Once the BTC halving event gets over this weekend, traders could expect more clarity next week. Moreover, the demand for BTC could see a steep jump soon with the reduction in mining supply.

BTC/USD 1D price chart

Bitcoin is currently trading at around $61,600 on April 18, 2024, with BTC/USD trading lower by a margin of 1.94% in the last 24 hours. Bitcoin’s market cap was trading at around $ 1.21 trillion in the last 24 hours.

BTC/USD is trading below its 20-day EMA (67,391.91), as BTC’s 24-hour volume was at around $42 billion. The global crypto market cap decreased by around 1.82%, trading above $2.25 trillion. BTC’s year-to-date returns are at 46.97%

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