The leading cryptocurrency Bitcoin has experienced a tremendous rise in recent days, overcoming the correction it experienced after the spot ETF approval.
While ETF inflows were considered to have a significant impact on this rally, investors began to wait for the halving and FED interest rate cut, which could positively affect the price after ETFs.
At this point, evaluating BTC's last rally, Bitfinex Derivatives President Jag Kooner said that Bitcoin was experiencing a rally before the halving.
Speaking to The Block, Jag Kooner pointed out that historically, Bitcoin started its rise approximately 8 weeks before the halving.
Stating that the movement in the BTC market at this point is an indicator of a rally before the halving, Kooner said:
“The current market movement is consistent with the pre-halving rally, a trend observed in previous Bitcoin cycles.
Historically, we see that these increases started approximately eight weeks before the halving event.
The recent rally has the potential to push prices well above the highs of the previous cycle.
“In the last week in particular, Bitcoin has re-emerged as a trillion-dollar asset, driven largely by spot Bitcoin ETF inflows.”
Opening a parenthesis here, the analyst stated that there may still be some uncertainties and said, “Historical models give us an idea, but there is no guarantee whether the same thing will happen again.”
“Capital Flowing into Altcoins Is Not Distributed Evenly!”
Finally, the analyst emphasized that the altcoin market has become active and interesting and said that the capital coming to altcoins has shifted to Solana and artificial intelligence-based altcoins:
After Bitcoin made significant gains amid the bull market, there was a gradual influx of capital into the altcoin market.
However, due to the large number of crypto projects, the capital was not gradually spread across all altcoins.
“Instead, capital preferred to focus on specific sectors such as the Solana ecosystem and artificial intelligence-based projects.”
*This is not investment advice.