Bitcoin Price: 4 Key Similarities to Previous Bull Market Corrections

So is this already priced in or the market cycles are just repeating themselves? Let's take a look at some key similarities to previous bull market cycles.

Basically, during the whole bull market of 2016-2017 there were several parabolic movements ending in a retracement.

The start of this was the period during Q4 2015 and the beginning of January 2016 through which Bitcoin price ended the bear market with a parabolic move and found support at the 100-week MA and 21-week EMA.After this confirmation the market has seen several corrections of 30-40%, which are quite healthy for an upwards trending market.

Another indicator of a bullish market is the support of the 200-day MA. During the previous cycle, Bitcoin always found support on the 200-day MA and, during the later phases, also on the 100 MA, which is currently moving around $7,500.

While Bitcoin price is moving upwards and continues to range, altcoin investors are punished more and more by the market.

Instead, they began to move when Bitcoin price bottomed out of its first parabolic run on January 15, 2016.If we take a look at an altcoin market cap dominance chart, it's easy to see that it has retraced down to the lowest level in two years, while the RSI is showing a level of 22.

Comparing these two analyses with the technical point of view of the market, it is to be expected that Bitcoin needs a natural period of accumulation, through which altcoins will eventually catch up and move alongside with BTC/USD.To date, altcoins have been following Bitcoin.

Total market cap excluding BTC.Total crypto market cap excluding Bitcoin.

The current market capitalization of altcoins is $66 billion, which is equal to the market capitalization of altcoins in March 2019 when the price of Bitcoin was $4,000.

All in all, the movements of Bitcoin price are seemingly natural and healthy for an upwards trending market, and offer opportunities to buy the dip.