A great half year for bitcoin. The price of bitcoin has increased by 85%

Bitcoin, i.e. the king of cryptocurrencies, since its capitalization has never been surpassed by any other cryptocurrency from the very beginning of its creation, it can celebrate a great six months. The increase in the price of bitcoin by 85% seems to be impressive, although it should be remembered that it is still 124% away from its records. Before bitcoin has increased by 85% since early January 2023, its price has fallen by more than 70%, which basically coincided with the cyclical corrections in the bitcoin market.

The cyclical nature of BTC corrections and increases

At this point, it is worth recalling that some bitcoin buyers can count on a repeat of the sequence from previous years. Between 2013 and 2015, the correction that took place was 86%. Then, in 2018, the correction amounted to 84%, and the one started in 2021 and continued until the end of 2022 amounted to 76%. A more cyclical market is hard to find because of the potential impact halving on the price of bitcoin and the progressive adoption.

There were 2014 weeks between the correction low in December 2018 and the correction low in December 47. The same time has passed to the bottom of the current correction, showing the cyclicality not only in the price, but also in time, and in fact primarily in time. Also, similar time distances occurred between the peaks, which means that the potential increase in the bitcoin price in the long term may last until October 2025.

Nearest support and resistance - bitcoin price

The current rally in the bitcoin market is to be driven on the one hand by expectations for the approval of the first ETF fund by SEC on bitcoin, which could open the way to significant speculative capital from the US, and on the other hand, we have a cyclical increase in anticipation of halving (spring 2024).

If the price managed to break the level of USD 31, then in the short term, a move towards USD 500 would be possible, when further possible resistances for the market may appear. In turn, potential supports may be around USD 38 to USD 000.

Bitcoin dominance continues to grow

The growth of bitcoin's dominance in the entire cryptocurrency market is also impressive in the past six months. The jump from 42% to almost 52% is the largest ever. The increase in bitcoin dominance means that its capitalization relative to altcoin capitalization has increased sharply, which may have also been influenced by the SEC, which named several dozen altcoins securities. This caused a sharp decline in alts. Previously, USDC and BUSD had problems, which could also cause a move towards BTC. At the moment, it seems that with a possible arrival ETFs, bitcoin returned to the throne of the cryptocurrency market and became the king of crypto again.