Bitcoin’s 2024 Halving Mirrors 2020 Rally as Market Dynamics Shift
In a recent analysis, Rekt Capital has drawn parallels between the post-halving periods of Bitcoin in 2020 and 2024, revealing striking similarities. Following both halving events, Bitcoin entered a protracted accumulation phase lasting approximately 161 days. In 2020, this phase culminated in a parabolic rally as Bitcoin breached its repeatedly tested resistance levels.
Both periods exhibit persistent testing of support and resistance levels, laying the groundwork for possible upward momentum. However, historical trends suggest the potential for significant volatility, and differences in market conditions—particularly trading volume—underscore that outcomes may vary.
A key distinction between the two periods lies in trading volume, with data from Bitstamp illustrating a noteworthy contrast. In the 161 days following the 2020 halving, trading volume reached 1,183,000 Bitcoin, while in 2024, the figure stood at only 313,081. This disparity indicates a shift in market engagement, which could influence the nature of any forthcoming price movements.
Since the halving earlier this year, total trading volume across exchanges has reached 2.5 million Bitcoin, compared to 4 million in the 161 days following the 2020 halving. These figures reflect evolving market dynamics that may play a crucial role in shaping Bitcoin’s future trajectory.