Bitcoin’s rally may still have room to run, but the cryptocurrency is likely to face a major pullback in the coming days if we see history repeat itself, analysts at Glassnode warn.

The largest cryptocurrency in the worldbased on its capitalization, has changed… track and is breaking one high record after another. On Wednesday, it hit another high, surpassing $92,800, recording a 110% increase since the beginning of the year.

Historically, such phases they last on average about 22 days before a major decline follows, when around 5% of the circulating supply can be squeezed below the initial purchase price, according to Glassnode analysts.

The current rally, which is keeping the price of bitcoin high, started 12 days agothe analysts add.

Meanwhile, earnings on a monthly basis historically they range between 30 and 50 billion. dollars, before demand runs out and the rally starts to fade, the same analysts say. Since the current bitcoin rally began, monthly gains have been around $20.4 billion. dollar

“While profit taking is significant, it remains below historical highs, suggesting further room for profit before demand is likely to weaken” they complete.

Finally, Glassnode analysts estimate that if bitcoin approach the milestone of $94,900. may trigger a slowdown in demand. The high price may trigger a wave of selling with bitcoin holders seeing the time to book profits.

Trump mercy rally

However, the frenzy for bitcoin started with Trump’s victory in the presidential election last week. Since November 5th, the largest cryptocurrency has rallied more than 30%as the president-elect is seen as more supportive of cryptocurrencies than Democratic candidate Kamala Harris, and the market is discounting a softer line on the market’s regulatory framework under the new Trump administration.

Trump has promised friendlier regulatory rules regarding the cryptocurrency industry at a time when the Republican Party takes control of both houses of Congress, thus allowing it to push its agenda unhindered. Trump’s other promises include creating a strategic Bitcoin reserve and promoting its domestic mining to make the US the international “capital” of cryptocurrencies.