Bitcoin Correction: Understanding the 7th Week of BTC Price Uptrend
As Bitcoin embarks on its seventh week of the current price uptrend, the possibility of a Bitcoin correction is becoming increasingly likely. Historical data suggests that such corrections often occur after five to seven weeks of uptrend, leaving investors and analysts speculating on the future trajectory of BTC.
Bitcoin Correction: A Historical Perspective
Rekt Capital, a well-known trader and analyst, recently highlighted that Bitcoin is approaching a critical phase in its second “price discovery uptrend” since the 2024 halving. Traditionally, after each halving, Bitcoin experiences a series of uptrends, each followed by a correction. This cyclical pattern has been consistent throughout Bitcoin’s history.
According to Rekt Capital, the first price discovery uptrend typically concludes between week six and eight, while the second ends between week five and seven. With Bitcoin entering its seventh week, the market is on edge, anticipating a potential downturn.
Analyzing the Current BTC Price Uptrend
The current BTC price uptrend has seen Bitcoin’s value remain below $120,000. However, a chart shared earlier in the year suggests a potential target just shy of $160,000. Despite this optimism, the risk of a correction looms large. Past cycles have shown that corrections can begin as early as week six or as late as week eight, with 2025 marking a similar pattern.
In 2025, Bitcoin’s initial corrective phase saw the price drop from nearly $110,000 to below $75,000, marking a significant 30% dip. This kind of volatility is not unprecedented in post-halving cycles, underscoring the market’s inherent unpredictability.
Potential for New BTC Price Highs in Q4
Despite the looming threat of a Bitcoin correction, there is hope for new all-time highs later this year. Daan Crypto Trades, another market analyst, pointed out that while BTCUSD has yet to deliver consecutive “green” months in August and September, a correction now could set the stage for a robust Q4 rally.
Historically, Bitcoin has often experienced a sharp dip followed by explosive growth in Q4. This pattern, if repeated, could lead to significant gains by year’s end.
Data from CoinGlass shows BTCUSD has risen by 2.1% in August, exceeding the 1.8% historical average. However, September typically sees a 3.8% decline, suggesting that any current gains might be short-lived.
Investors are advised to exercise caution and conduct thorough research before making any trading decisions. The inherent risks of the crypto market require a strategic and informed approach.
This analysis does not constitute financial advice. Every investment decision should be made with careful consideration and awareness of potential risks.
