A new study by the on-chain analytics company IntoTheBlock has gotten people excited about cryptocurrencies because it suggests that BTC could be about to have a significant rally in 2025.
This guess is based on past trends during Bitcoin’s halving events. In the past, the average amount of time between Bitcoin’s halves and its next peak was about 480 days.
The next peak is likely to occur in the summer of 2025, following the half-cut of Bitcoin’s block payout from 6.25 BTC to 3.125 BTC on April 20, 2024.
Bitcoin Price Drop
Halving events, occurring roughly every four years, mark the life cycle of Bitcoin. Miners receive half the prize for adding new blocks to the blockchain, thereby halving the amount of new BTC available. This usually causes prices and demand to rise.
When the supply of BTC is reduced by half, the price skyrockets. This is because BTC becomes more scarce. In this cycle, Bitcoin’s price has dropped by almost 12% from its split price of $63,900. Bitcoin is worth $54,398 right now, down 0.26% in the last 24 hours.
The recent downward trend may worry buyers, but it’s typical of Bitcoin, which has experienced small drops before major rallies. In the past, September has been a rough month for BTC and the cryptocurrency market as a whole. In September, BTC has always lost value, with an average drop of 5% over the past ten years.
This month is no different; BTC has already dropped 8%. BTC fans can take heart, though, because after losses in September, prices have often gone up significantly in the months that follow. October, often known as “uptober,” saw a 22% increase in the average price of BTC.
November usually follows suit with even bigger gains. During the 2021 bull run, Bitcoin went up 46% in November, showing that it usually gets better after falling in September. Based on how things have done in the past, many experts and investors believe that the trend will continue in the years to come.
The market looks like it’s in a phase of accumulation, where buyers are getting ready for the next major rally. BTC could reach an all-time high by the summer of 2025 if past trends hold true.
