A well-known cryptocurrency trader is analyzing the recent 9% drop in Bitcoin’s value and explaining that it may be misleading for some traders. Rekt Capital, an anonymous crypto analyst, shares on the social media platform X that Bitcoin’s current re-accumulation phase might deceive investors into thinking that the cryptocurrency is experiencing a breakdown. He points out that throughout this cycle, Bitcoin’s re-accumulation ranges have often seen downside wicks below the range lows, which are meant to trick investors into believing that a breakdown is happening before the uptrend resumes.

Bitcoin is rapidly approaching its halving event, which occurs every four years and involves a reduction in the mining rewards for BTC. Indicators suggest that this event will take place sometime within the next week. According to Rekt Capital, this means that the next peak of the bull market cycle will likely occur in about a year and a half. He predicts that history will repeat itself, and the next bull market peak will fall between 518 and 546 days after the halving, which translates to mid-September or mid-October 2025.

The analyst also mentions that although Bitcoin may currently be in a pullback stage of accumulation, it has experienced worse situations in the past and has managed to rally. The current pullback is an 18% decline that has lasted for 10 days so far, which is close to the buying opportunity seen in previous cycles where pullbacks reached a maximum of 23% in depth. However, in terms of time, this pullback is relatively short compared to previous retracements, which have lasted 2-3 weeks and, in some cases, up to two months.

As for altcoins, Rekt Capital states that they are currently in a downswing and will likely remain so until at least late May, possibly early June. He suggests that the hype cycle for altcoins in the first quarter of the year is over, and investors should be patient and wait for the second quarter’s hype cycle to begin. This would mean that altcoins could reach their bottom prices as early as mid-May, but more realistically by the end of May or early June.

At the time of writing, Bitcoin is valued at $63,693, showing a 6% increase in the last 24 hours.

In conclusion, Rekt Capital provides insights into Bitcoin’s current situation, the upcoming halving event, and the potential timeline for the next bull market peak. He also discusses the pullback stage of accumulation and the outlook for altcoins in the coming months.