In 2024, when the second halving is anticipated, there may be another cryptocurrency boom.
According to a recent analysis by Morgan Stanley, there are indicators that the cyclical “crypto winter” bad market may soon be coming to an end.
“According to the data we have now, it looks like crypto winter may be over and crypto spring is likely on the way,” wrote Denny Galindo, Executive Director at Morgan Stanley.
Time since the previous high, size of drawdown, and miner capitulation are just a few of the indicators that the investment bank looked at to determine when Bitcoin will reach rock bottom. Given this information, Galindo speculates that may have already seen the bottom.
The “halving,” which occurs about every four years, halves the reward for mining a bitcoin block and so lessens inflationary pressure on BTC.
Most of Bitcoin’s growth has occurred between 12 and 18 months following these halving occasions. In 2024, the halving will occur again, which might start the next cryptocurrency boom.
According to the study, Bitcoin’s 80% drop from its peak to its low is in line with the average 83% drop from peak to low throughout previous crypto winters, which typically lasted between 12 and 14 months.
Also Read: According to Forbes, the next bull run will be propelled by BlackRock and JPMorgan
