Bitcoin dips below $60k - Is the Bitcoin bull market already over or is this a pre-halving dip?

We can’t ignore facts. Although Bitcoin is still looking at a nice gain of some 50% this year, the last month has not really been positive. Ever since a new all-time high of $74,000 was reached on March 13, the crypto market has not yet managed to move decisively higher again. And all this while the halving is coming in just two days.

Added to the geopolitical uncertainty and the sell-off that hit memecoins in the past week, it seems difficult to be positive right now. Hence the inevitable question arises: is the bull market already over or is this just a pre-halving dip?

Yesterday Bitcoin traded just below $60k for a mere moment. At the time of writing BTC is being traded for a price of $62,200.

Dollar is the winner

There were some notable winners in the financial markets this week: Gold and silver (but that is to be expected with a possible war in the Middle East on the horizon), as well as the American dollar. Compared to the Euro, the dollar’s rise in recent days has not been all that spectacular (because the European currency is also holding up well), but compared to many other investment opportunities, the US dollar has improved strongly.

That of course puts pressure on Bitcoin, which is quoted in dollars.

US Dollar index $DXY is also entering crucial supply zone.

Might be a possible rejection occurs.

It will give a good impact to risk-on asset like stock and $BTC pic.twitter.com/7kstp6wEHZ

— One Point Trading (@onepointtrading) April 17, 2024

So if investors would take their profits in the dollar index (listed as $DXY), a strong rise in Bitcoin could follow. In my opinion, the press attention for the halving will normally also bring a slight bump. But despite all this, at this point it still all depends on the possibility of a regional war in the Middle East. So we wait and see.

Memecoins

Furthermore, I’ve lost count of the number of funny statements I’ve read on social media in the last few days about the selloff that memecoins have been experiencing.

pic.twitter.com/wXlbpNU97H

— Elon Musk (@elonmusk) April 15, 2024

Wired published a very interesting piece about them just as Elon Musk also got himself into trouble again with a Dogecoin meme. Those memecoins will probably rise sharply when a new bull run (or even a bounce) starts, but having them in your crypto wallet at a time of geopolitical tensions is of course very risky.

Pepe, Shiba Inu, Bonk, Dogecoin and so many others are strewn across the crypto canvas right now. Curious to see what happens post-halving.