Bitcoin’s (BTC) last bull run culminated in an all-time high of almost $69,000 in November 2021, but the asset and the general crypto market have since reversed the gains. Despite the prevailing bearish sentiments, historical data indicates that Bitcoin could be lining up to embark on another rally in 2023.
In particular, a December 28 analysis shared by Aurelien Ohayon, CEO of strategy services platform XOR, notes that Bitcoin’s historical bull run has occurred after every four years. In this case, he noted that the first bull run emerged in 2011 before another downturn that resulted in a rally in 2015. Indeed, after the 2018 crypto winter season, Ohayon pointed out that 2019 formed the base of another Bitcoin bull run.
Consequently, based on the historical trend, 2023 will potentially form the base for the Bitcoin bull run. As per Ohayon’s technical analysis, Bitcoin bear markets only last for one year.
It is worth noting that across 2022 Bitcoin has mainly corrected as the market remained depressed amid the prevailing macroeconomic factors and high-profile incidents like the FTX crypto exchange collapse.
Therefore, if Ohayon’s analysis is confirmed, Bitcoin should look out for a bottom before rallying. Interestingly, as reported by Finbold, historical data indicates that Bitcoin is likely to correct to around $9,000 before rallying. Notably, the position formed the foundation for the 2021 bull run.
Bitcoin price analysis
By press time, Bitcoin was trading at $16,666 as the consolidation below $17,000 continued. Notably, on the daily chart, the flagship cryptocurrency has corrected by 0.90%.
Based on the asset’s current price movement, crypto trading expert, Michaël van de Poppe stated that if Bitcoin clears the $17,400 and $17,600 resistance levels, BTC will accelerate faster, forming a relief rally.
Bitcoin 2023 outlook
Moving into 2023, a section of crypto sector players have shared varied opinions on the asset’s outlook. For instance, Stefan Ristic, a crypto miner running BitcoinMiningSoftware.com, believes that Bitcoin will remain suppressed in 2023 but noted that the halving event in 2024 will act as a catalyst for a rally in 2025.
Elsewhere, Fraser Matthews, president of Netcoins crypto exchange, foresees more pain for Bitcoin in 2023, warning that the digital asset could correct to around $10,000.
In the meantime, Ohayon’s analysis aligns with a previous forecast that indicates Bitcoin’s price history hints at a possible bull turn in the first six months of 2023. However, the machine learning algorithm at PricePredictions suggests that Bitcoin’s consolidation will likely play out early next year, with a forecast of BTC trading at $16,722 on the first day of 2023.
At the same time, Bitcoin still lacks possible bullish triggers and remains susceptible to external factors like the macroeconomic elements led by inflation.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
Source: https://finbold.com/bitcoin-sets-the-stage-for-another-bull-run-in-2023-heres-why/