Bitcoin faces longest stagnation in halving year history

Bitcoin’s current market activity is shaping up to be its longest period of sideways trading during a halving year, raising concerns among investors and analysts. If Bitcoin fails to show significant upward movement in the next two weeks, it could set a record for stagnation following a halving event.

Historically, Bitcoin’s price action after halving events has followed a pattern of gradual re-accumulation, followed by a sharp parabolic rise.

However, this year, Bitcoin has been stuck in a prolonged trading range, marking 176 days of sideways movement as of October 11.

Previous halving years saw faster recoveries. In 2016, Bitcoin began its ascent to new all-time highs 161 days after the halving, while in 2020, it took 164 days.

This year’s sideways trading, now at 176 days, is already the longest on record for a halving cycle.

What makes this period even more unusual is that Bitcoin achieved a new all-time high before the halving event, reaching $73,737 in March.

Typically, Bitcoin peaks after the halving, making this an “accelerated” bull run that has since slowed down.

Crypto analysts like Rekt Capital suggest the market is trying to reduce the acceleration period, predicting that Bitcoin may remain in this flat market for another two months before seeing significant price movement.

If the flat trading range extends to 236 days, it will become the longest re-accumulation phase in Bitcoin’s halving-year history.

While the market remains in a state of uncertainty, many are watching closely, waiting for Bitcoin to break out of its current range between $71,000 and $60,000, which could signal the beginning of the next bullish cycle.