A trading strategy around Bitcoin Halving: Outably high profits, achieve through clever purchase and sales rules

A trading strategy around Bitcoin Halving: Outably high profits, achieve through clever purchase and sales rules

A sophisticated strategy for buying and selling Bitcoin is recommended by the renowned crypto analyst Plan B to make above-average profits. This strategy is based on Bitcoin Halving, which occurs every four years and reduces the mining rewards by 50 %.

The shortage of offer by the halving led to significant price increases in the past. Plan B sees this an optimal opportunity for experienced investor: inside. According to its tactics, you should buy the asset six months before the halving and sell again 18 months after the event. Through this procedure, investors can benefit from bitcoins cyclical behavior and use both the price increases during the halving and avoid the subsequent bear market.

Plan B emphasizes that this strategy historically performed better in every cycle than the natural price development of Bitcoin. He states that the optimal entry -level time is around October in front of the Halving and the time of sale is around October two years later. However, it is important to note that the stock-to-flow model does not offer a secure prediction, but with the help of defined purchase and sales rules determines cheap periods to get into the market.

The implementation of this strategy requires an in-depth understanding of the Bitcoin cycle. According to Plan B, Bitcoin is currently in the phase of the early bull market. The next phase, in which considerable price jumps are expected, is expected to begin the next halving in April 2024.

While Bitcoin approaches the last phase before the next halving, retailers are waiting: Inside, excited about signals that this phase is coming to an end. In previous cycles, this transition began shortly after the halving and triggered an accelerated bull market. Nevertheless, the outcome of the upcoming halving remains uncertain, since unpredictable events could delay or interrupt the expected price rally at any time.

It is advisable to implement this strategy only with a well-founded understanding of the Bitcoin market and to take into account all risks. Investors should also carry out their own research and not rely solely on the stock-to-flow model.