Bitfinex analysts foresee a period of price consolidation for Bitcoin (BTC) following the recent halving event, potentially spanning two months.
The latest Bitfinex Alpha market report emphasizes Bitcoin's role as a benchmark for crypto price action, particularly in the aftermath of the halving.
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Analysts suggest that its performance in May could set the tone for the entire crypto market, with the potential for price swings within a $10,000 range during a 1-2 month consolidation phase. The report predicts the positive effect on Bitcoin's price post-halving will come later.
The report underscores the current macroeconomic resilience and low probability of rate cuts, factors that contribute to a more stable environment. Moreover, consumers and businesses are better equipped with economic insights compared to previous market cycles, potentially prolonging the consolidation period.
In line with Bitfinex's analysis, industry traders propose that Bitcoin's dominance might have reached its highest point as traders start to move their funds from Bitcoin to altcoins.
Ether's recent market performance serves as a case in point, outperforming Bitcoin in gains for two weeks. Bitfinex analysts highlight Ether as a leading indicator for the altcoin market.
Monitoring Bitcoin's resilience and altcoin performance will offer valuable insights as investors navigate this adjustment period.
In other news, Michael Saylor has announced MicroStrategy Orange, a decentralized identity solution on the Bitcoin network.
