Bitcoin’s recent halving in April 2024 has set the stage for a familiar price cycle, with the cryptocurrency currently down 43% from its October 2025 all-time high of nearly $126,000. Historically, Bitcoin’s halvings have led to significant price surges followed by steep corrections, typically occurring within a four-year cycle. As we approach the midpoint before the next halving in April 2028, the current market dynamics suggest we may be entering a challenging phase, as seen in past cycles where the second year post-halving was marked by severe downturns.
However, this cycle may differ due to the emergence of spot exchange-traded funds (ETFs) and increased accumulation by corporate treasuries and sovereign governments, which could provide a stabilizing effect on Bitcoin’s price. This new demand floor may mitigate the aggressive sell-offs seen in previous cycles, leading some to argue that the recent decline could represent the bulk of the correction.
For market professionals, the key takeaway is the potential shift in Bitcoin’s demand dynamics. Implementing a dollar-cost averaging strategy could be prudent in navigating this uncertain landscape, allowing investors to capitalize on lower prices while maintaining a long-term perspective.
Source: fool.com