Crypto Analyst Jack Sparrow Thinks Bitcoin's (BTC) Old Cyclical Pattern Is No Longer Valid

Pseudonymous analyst Jack Sparrow tells his 251,100 followers on the social media platform X that crypto market participants are heavily relying

Renowned crypto strategist Jack Sparrow is sharing his thoughts on the future of Bitcoin (BTC) price cycles.

In a new video analysis, Sparrow tells his 251,000 followers on social media platform X that traders are largely factoring in past price patterns based on the four-year halving cycle.

This time around, however, might be different for Bitcoin as the crypto strategist believes that BTC has entered its maturation stage as an asset.

“I think we finished a major behavioral period (inception until now) as the ETFs (exchange-traded funds) came online, Bitcoin maturing as an asset, perhaps even as early as 2018 when CME (Chicago Mercantile Exchange) futures came online.

My Gann-based cycles suggest the old behavioral cycle to end in April this year, only slightly after the ETFs launched and closer to the moment in time to have the big old GBTC (Grayscale Bitcoin Trust) arbitrage unwound entirely.”

As Bitcoin matures as an asset, the analyst says it’s “only logical” that BTC’s price action will see drastic changes compared to previous cycles.

“The next cycle will be one about viability as a technology, store of value and real-world integration beyond speculation as the battle to make it the default Treasury asset.

“This next cycle will be boring for price action fans, but it will be the most important one yet, and the one that decides whether Bitcoin will be around for another decade or not.

As an asset, it’s either reaching peak speculation or moving into the next phase, which will determine whether Bitcoin will become a stock-like asset or not.”

The analyst notes that BTC will likely start behaving more like stocks where deep-pocketed investors will instigate market shakeouts in an effort to accumulate cheap coins.

“New cycles start with accumulation. Remember how markets hunt for liquidity to accumulate. Nobody is your friend, they want your coin, if Bitcoin is important enough they will engineer a way to get it.”

According to the trader, September will be crucial for the crypto king as it will determine whether BTC will witness bullish or bearish price action in the ensuing months.

“September, in my opinion, is the month that solidifies the uptrend or confirms it breaks. It sets the main trend into March to June.

This aligns with seasonality, cycles AND the cutting cycle being either bullish or bearish. Pivotal.”

For now, the trader says BTC needs to recover and retest a key level as support.

“$61,000 remains a key level to gain/hold for a continuation higher and likely to be tested again.”

At time of writing, Bitcoin is trading at $58,490, down over 1% on the day.

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