Bitcoin’s recent price correction has caused widespread fear among investors, but crypto market analysts believe that this is just a temporary “shakeout” before the next leg up in the historic bull cycle. Despite dropping 22% from its all-time high of over $109,000, Bitcoin’s price is still holding strong and showing signs of recovery.

According to analysts, this price shakeout is a normal occurrence in bull cycles, where sudden drops are followed by quick recoveries. Technical indicators may have turned bearish, but the 4-year cycle of Bitcoin’s price movements suggests that this is just a temporary dip and not the start of a prolonged bear market.

The launch of US spot Bitcoin exchange-traded funds (ETFs) and growing institutional investments in crypto also indicate that the traditional 4-year cycle may no longer be the sole factor influencing Bitcoin’s price. However, the recent correlation with traditional financial markets, particularly the S&P 500, means that Bitcoin’s bottom may only be found when equity markets stabilize.

Despite the uncertainty, the upcoming Bitcoin halving event in 2024 is still expected to have a long-term influence on the cryptocurrency’s price. The last halving in 2020 saw a 31% increase in Bitcoin’s price, and with growing institutional interest, the next halving is expected to be even more bullish.

In conclusion, while the current correction may have caused fear among investors, the overall sentiment remains positive for Bitcoin’s future. The 4-year cycle and halving events are still crucial factors to consider, but the growing institutional adoption and changing market dynamics suggest that Bitcoin’s price movements may not follow the traditional patterns anymore.