What Needs To Happen For Bitcoin (BTC) To Recover From The Bear Market

Crypto analyst Willy Woo recently explained what needs to happen for Bitcoin to continue its bull run. The flagship crypto has been on a decline for a while now.

Crypto analyst Willy Woo has recently shared his thoughts on what needs to happen for Bitcoin to continue its bull run. According to Woo, Bitcoin will recover when the “weak miners die and hash rate recovers.”

In a post on X (formerly Twitter), Woo explained what it means for BTC to shed weak hands, stating that “inefficient miners running old hardware and high costs go into bankruptcy. While others are forced to upgrade hardware that's more efficient.”

These miners usually sell their BTC to pay for the losses incurred or hardware upgrades. This is because miners' income got halved following the Bitcoin halving, while they still bear the same costs even after the halving event.

According to Woo, these miners' capitulation is what has caused the persistent downtrend in BTC'S price.

“Miners' income halved after the halving, but their costs remained the same. This has caused a persistent downtrend in BTC's price, as these miners have been forced to sell their BTC at a loss to cover their costs. As these miners are finally capitulating, we should expect to see an impressive price recovery.”

The crypto analyst also highlighted how Bitcoin's hash rate recovery has taken much longer in this cycle compared to previous cycles.

“BTC's hash rate took only 24 and 8 days to recover in the 2017 and 2020 market cycles, respectively. However, this time around, it is over 61 days, and Bitcoin's hash rate has yet to recover.”

However, crypto analyst Rekt Capital has stated that BTC's recovery will happen soon.

“Not to worry. BTC consolidating within this range isn't out of the ordinary. We've seen such post-halving ranges in the past.”

According to the analyst, the market has witnessed such post-halving ranges in the past. He has also explained that BTC is still in its re-accumulation phase of the Bitcoin halving for now.

“Once this phase is done, BTC will move into the ‘parabolic uptrend’ phase which will kickstart BTC's run to its market top for this cycle.”

Rekt Capital recently suggested that the parabolic uptrend phase could begin sometime in September.

“Meanwhile, as per past market cycles, BTC's market top could come sometime in September or October next year.”

Rekt Capital has also advised Bitcoin investors against being shaken out of their positions.

“Bitcoin could retrace deep enough to convince anyone that the bull run was over, and then it would resume its uptrend.”

News source：https://www.kdj.com/cryptocurrencies-news/articles/happen-bitcoin-btc-recover-bear-market.html

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