Ki Young Ju analyses Bitcoin consolidation ahead of halving

Ki Young Ju, CEO of CryptoQuant, has examined Bitcoin's (CRYPTO:BTC) current horizontal consolidation phase as the cryptocurrency approaches its next halving event.

According to Ju, this phase could become the longest in Bitcoin's history if upward momentum isn’t observed within the next two weeks.

Halving events, which occur every four years and reduce mining rewards by half, have historically been followed by significant price increases for Bitcoin.

Speaking on platform X, Ju highlighted the importance of the Coinbase premium metric in tracking market trends.

This metric compares Bitcoin prices on Coinbase Pro and Binance, offering insights into whale activities that significantly influence the market.

Ju noted that large traders, or whales, on Binance have prevented Bitcoin from reaching new highs by executing substantial trades that create price discrepancies.

Since March 2024, Bitcoin has experienced notable fluctuations, with whales buying at $72,000 and selling at $53,000, contributing to the ongoing consolidation.

Ju emphasised that the $53,000 price level could act as a critical support or resistance point moving forward, especially as whale activity continues to play a pivotal role in price movements.

The upcoming halving cycle is a highly anticipated event, as previous halvings have led to sharp price increases.

However, Ju cautions that whale activity could disrupt these expected gains.

For investors, it is crucial to monitor market dynamics closely and analyse the impact of whale activity on price movements.

Bitcoin’s performance leading up to the halving will likely shape broader market trends.

Investors are advised to remain cautious and informed, using thorough market analysis to guide their long-term strategies.

While the potential for gains exists, the risks associated with whale influence and market stagnation must not be overlooked.

At the time of writing, the Bitcoin price was $62,824.70.