Willy Woo, crypto analyst recently explained what needs to happen for Bitcoin to continue it’s a bull race. The flagship crypto has been in decline for some time now and has failed to make any significant progress since reaching its current level. absolute record (ATH) from $73,750 in March earlier this year.
What needs to happen for Bitcoin to recover
Willy Woo mentioned in an X (formerly Twitter) job that Bitcoin will recover when the “weak miners die and hash rate recovers. He further explained what it means for BTC to get rid of weak hands, stating that “inefficient miners using old hardware and high costs are going bankrupt. While others are forced to upgrade to more efficient hardware.
This usually happens because miners’ income has been cut in half following the Bitcoin halved. Meanwhile, they still bear the same costs, even after the halving. Willy Woo mentioned that this forced miners to sell their BTC to pay for losses incurred or hardware upgrades. He believes these capitulation of miners This is what caused the persistent downward trend in the price of BTC.
As such, Bitcoin is expected to see an impressive price recovery once these miners finish liquidating their Bitcoin holdings. The crypto analyst said that the capitulation of miners this time is in the record books, given that it has taken a long time since the halving took place. He stressed that this was probably due to the ordinal registrationswhich increased the profits of these miners.
Meanwhile, Willy Woo also highlighted how Bitcoin’s hash rate recovery took much longer during this cycle compared to previous cycles. He said that the BTC hash rate only took 24 and 8 days to recover during the 2017 and 2020 market cycles. However, this time it has been more than 61 days and the hash rate of Bitcoin has not yet recovered.
BTC will recover in due time
Crypto Analyst Rekt Capital continued to assert that Bitcoin’s recovery will happen soon. He recently claims that Bitcoin’s consolidation in this range is not unusual, noting that the market has witnessed such halving ranges in the past. The analyst also explained that BTC is still in its reaccumulation phase of Bitcoin halved for the moment.
Once this phase is over, BTC will enter the “parabolic uptrend” phase which will restart BTC’s run towards its market peak for this cycle. Rekt Capital recently suggested that the parabolic uptrend phase could begin in September. At the same time, he said that based on previous market cycles, The top of the BTC market could arrive in September or October next year.
Rekt Capital also informed Bitcoin investors do not want to be shaken by their positions. He said Bitcoin could retrace deep enough to convince anyone that the bull run was over, and would then resume its uptrend.
Featured image created with Dall.E, chart from Tradingview.com
