The first quarter of 2021 was very interesting. Bitcoin (BTC) hit a new quarterly milestone. For the first time since bitcoin started trading in the market, the cryptocurrency recorded a 100% in the first quarter.
Q1 is widely known for its bearish records since bitcoin officially became a tradable asset. The worst blow that befell the asset in the first quarter was in 2018 when it lost 49.8% of its value.
The major contributor to the 2018 loss was the bubble that happened during 2017. The price surge experienced in 2017 was mostly pushed by FOMO as many traders invested due to the fear of missing out.
When the 2017 bubble burst, the fear of missing out turned into fear of losing funds as many traders started selling off their assets. These actions by traders resulted in the inability of bitcoin to recover during the first quarter.
On average, bitcoin gained 9.06% in all first quarters; the worst among all quarters. In the second quarter, things became a lot different as price movements saw a lot of surges.
True to the above statement, Q2 always offers a consolidation from a bearish Q1 as it will turn the loss experienced in the first quarter into gains or reduce it by more than two folds.
On the other hand, Q2 is known for its bullish records. One of the occasions was when bitcoin recorded a loss for the first time in Q2. It lost 6.70%, but the sellers’ incited end was more consoling to bulls as bitcoin lost almost 50% in the previous quarter.
On April 1, bitcoin gained 1.3%. This is an indication that the second quarter of 2021 will not be different from the rest as it will record more gains. It is hard to predict what the prices will be during Q2 but there are more indications pointing to $70k.
Without any doubt, the first half of Q2 will see bitcoin hit a new all-time high and the second half will be the final icing on the cake as it will see more price action propelled by raging bulls.
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