Is The Market Repeating The 2013 Scenario? The Reason For the BTC Rate Changes in May
Popular analyst PlanB believes that Bitcoin (BTC), even after its recent worst monthly fall in 10 years, could still rise to new all-time highs this year.
In a tweet on Tuesday, the analyst stated that Bitcoin behaves in the same way as it did during the 2013 bull run.
After the fall in the BTC rate to $ 30,000 and several repeated tests of this level, there are concerns that a more significant fall is possible. Which can lead to a decrease in the Bitcoin rate to $ 20,000 and below.
Thus, for the first time since 2017, Bitcoin can cross the historic high of the previous bull market.
However, a PlanB analyst does not believe in such a scenario. He believes that the latest price hikes are simply a repeat of the 2013 market figures.
“New point: May closed at $ 37,341 … -35% … we knew that bitcoin would not rally in a straight line, and in a bull market it is possible (and indeed likely) to fall by -35%,” he wrote in the accompanying comments.
The S2FX model projections assume an average BTC price of $ 288,000 after a halving cycle from 2020 to 2024.
PlanB believes that this model is not guaranteed to be fulfilled. But a repeat of the 2013 scenario remains the most plausible explanation for Bitcoin’s price changes this year.