Bitcoin Surges 111% in 2024, But Is a 30% Drop Coming in January? Hint Top Analyst!
Bitcoin had an impressive year in 2024, starting at $42,000 and closing at nearly $96,670, An impressive 111% increase. This follows a 155% increase in 2023, making it two consecutive years of strong performance for the top cryptocurrency.
Despite the bullishness, prominent cryptocurrency analyst Benjamin Cowen warned that based on past trends, Bitcoin could fall by 30% in January.
Bitcoin faces a 30% drop
Benjamin Cowan noted Bitcoin’s performance in 2024 looks similar to past halving years such as 2016 and 2020. During those years, Bitcoin’s price rose in October and November but slowed down by December, just like what happened in 2012. This slowdown often causes prices to fall for a month.
Interestingly, this time, Bitcoin had already fallen by 15% in December 2024. According to Cowen, in past post-halving years, such as 2017 and 2021, Bitcoin’s price fell by approximately 30% in January.
If history repeats itself, Bitcoin’s 30% price drop in January could fall to around $77,700. This would match the 20-week moving average, a key level that many traders are watching.
Has the January correction already happened?
Maybe this time, things are different. Rather than rebounding in December, Bitcoin has experienced a decline. The change has led some optimists to believe the market may “pre-empt” the expected January correction.
In short, Bitcoin may have completed the downward move that many expected in January.
Benjamin Cowen said this early decline could mean a January correction has already taken place. If this is the case, Bitcoin may avoid a major drop this month, breaking its usual trend.
Bitcoin’s Bold Predictions
Looking ahead, some analysts are optimistic about Bitcoin’s future in 2025. According to a report from Coinpedia, James Butterfill, Coinshare’s head of marketing, Prediction Bitcoin could hit $150,000 2025. He believes the main factor driving this growth will be the positive regulatory environment in the United States.
On the other hand, Pantera Capital’s forecast is more optimistic, predicting that Bitcoin may soar to $740,000 by 2028.
