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Bitcoin’s Ramadan Rally Pattern May Be Breaking in 2026

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Bitcoin’s Ramadan Rally Pattern May Be Breaking in 2026

Bitcoin’s often-cited “Ramadan rally” setup may be fading in 2026. However, the volatility pattern many traders have watched in recent years still appears to be present.

To be clear, the holiest month in Islam has nothing to do with digital assets. Crypto trades on global liquidity, macro news, positioning, and sentiment. 

Still, when looking at the last seven Ramadan periods (2019–2025), Bitcoin showed a surprisingly consistent shape in six of seven cases: an early sharp move, then choppy trading, then a later pullback or fade. The main exception was 2020, when a stronger macro recovery trend dominated.

Bitcoin Price Chart Over the Last 7 Ramadan

What the Last Seven Ramadans Showed

The pattern was not “Bitcoin always goes up in Ramadan.” That is not true.

Instead, the recurring pattern was more specific: Bitcoin often saw front-loaded volatility, usually with a strong early move, followed by mid-period exhaustion and a weaker finish. In some years, Bitcoin still ended Ramadan higher overall. But even then, price often pulled back after a mid-Ramadan peak.

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That makes this less of a directional pattern and more of a timing-and-structure pattern.

Bitcoin Price Chart Over the Past Week. Source: CoinGecko

What Looks Different in 2026

This year’s first week looks different in one important way. Bitcoin did not open with a clean rally. It opened with chop, then a sharp flush, and only after that started a bounce attempt.

That means the pattern is still familiar in shape — fast move, emotional swing, unstable recovery — but the sequence has changed. The market looks weaker than the stronger Ramadan years, at least so far.

On-Chain Data Shows Why Bitcoin Remains Weak in Q1

The on-chain picture is mixed.

First, the Binance Buying Power Index has dropped to a level that previously appeared near compressed, exhausted conditions. 

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That is a contrarian positive. It suggests a relief bounce can happen if selling pressure fades.

Also, network activity has stayed weak for six straight months. That is a structural warning. It suggests demand and participation remain soft, which can make rallies fragile.

Bitcoin Network Active Addresses. Source: CryptoQuant

Third, short-term holder realized losses remain negative, even after the worst capitulation cooled. 

In simple terms, panic selling has slowed, but many recent buyers are still exiting at a loss. That usually points to base formation, not a confirmed uptrend.

The 7D-EMA of Net Realized Profit & Loss for Recent Investors. Source: Glassnode

Overall, a relief bounce or choppy recovery attempt is plausible for Bitcoin in the coming weeks, especially if the Binance buying power signal plays out.

But the on-chain demand + STH P/L backdrop suggests that upside may initially be fragile and resistance-heavy.

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In short, the old Ramadan “rally” narrative looks weaker in 2026. Yet the broader pattern of early volatility, sharp swings, and uncertain follow-through remains visible.

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Crypto World

Chainlink’s 86% Correction May Be Over: Here’s Why $100 Could Be Next for LINK

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Nexo Partners with Bakkt for US Crypto Exchange and Yield Programs

TLDR:

  • LINK has corrected over 86% from its 2021 high near $53, now compressing inside a key demand block at $5.60–$7.50.
  • CryptoPatel identifies smart money absorption at macro support, with sell-side liquidity sweeps fully absorbed on the 3W chart.
  • Three upside price targets are mapped at $26.30, $52.22, and $100, representing up to 1,675% return from the demand zone.
  • The bullish setup is invalidated if LINK prints a three-weekly candle close below the critical support level of $4.76.

Chainlink’s native token, LINK, is currently priced around $8.30 after an extended period of price compression. Analyst CryptoPatel has released a high-timeframe technical forecast pointing toward a potential 10x move.

The setup is built on multi-year chart structure and accumulated demand at macro support. With volatility contracting sharply on the three-weekly chart, market participants are watching closely for a breakout confirmation.

LINK Accumulates Inside a Multi-Year Demand Block

LINK has been trading inside a descending channel on the three-weekly chart since its 2021 cycle high near $53. The token corrected more than 86% from that peak over the following years.

Price has since compressed into a demand block between $5.60 and $7.50. This zone is where CryptoPatel identifies strong smart money absorption taking place.

Multiple higher lows have formed within this demand block on the higher timeframe. Each successive low reflects buyers stepping in before price reaches prior lows.

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CryptoPatel noted that sell-side liquidity sweeps into this support region have been fully absorbed. That behavior points toward sustained accumulation rather than distribution at current levels.

The analyst’s tweet reads: “Fractal Structure Mirroring Previous Cycle Compression Before Breakout.” This observation draws a direct parallel to prior accumulation phases in LINK’s price history.

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Each of those phases was followed by a sharp directional expansion. The current setup carries a structurally similar pattern on the same timeframe.

Volatility on the three-weekly chart has contracted to an extreme degree, according to CryptoPatel. That level of compression typically precedes a larger expansion move in either direction.

Price is currently hovering near $8, described as range equilibrium within the analyst’s framework. The descending channel resistance from the 2021 all-time high remains the defining technical ceiling.

Key Price Levels That Could Trigger a Massive Upside Move

CryptoPatel has mapped out three upside targets: $26.30, $52.22, and $100. A move to the third target from current prices would represent a gain of approximately 1,110%.

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The projected total return from the high-timeframe demand zone sits between 1,232% and 1,675%. These targets align with liquidity pools resting above current price on the higher timeframe chart.

The critical confirmation signal for this setup is a three-weekly candle close above the descending trendline resistance. A simultaneous break of the range high on that timeframe would further strengthen the bullish case.

Until that close materializes, the channel resistance remains structurally intact. Traders following this setup are waiting for that specific trigger before adding exposure.

CryptoPatel’s bullish bias holds as long as LINK stays above $4.76 on the three-weekly timeframe. That level marks the lower boundary of the high-timeframe demand zone.

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A confirmed candle close below $4.76 would signal structural failure and open the door to further downside. That threshold functions as the hard invalidation point for the entire setup.

The analyst describes this as a high-timeframe, patience-based trade with asymmetric risk-to-reward. It is best suited for spot accumulation and long-term swing positioning, per the forecast.

No macroeconomic or fundamental variables are incorporated into the analysis. Traders are encouraged to conduct independent research before making any financial decisions.

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Backpack Offers 20% Equity to Token Stakers Ahead of IPO

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Backpack Offers 20% Equity to Token Stakers Ahead of IPO

Crypto trading platform Backpack Exchange on Monday announced that stakers of its forthcoming Backpack token will be able to earn equity in the exchange, as the company moves toward a potential initial public offering.

“Users that stake the Backpack token for at least a year will have the opportunity to exchange those tokens for equity at a fixed ratio—20% of the company today,” said Backpack CEO and founder Armani Ferrante in a post to X on Monday.

Speaking about the equity offering, Ferrante said many past token launches were built on “false promises” of utility — a pitfall he wanted to avoid. Instead, he said he wanted to offer users an alternative token structure showing long-term commitment.

“I came into crypto because I believe it’s going to change the world … But somewhere along the way, amidst the booms, the busts, the moonshots, the decentralization theater, and the straight up scams, we lost our way. I don’t know about you, but I’m just tired of false promises.”

Backpack’s offer would anchor the token’s value to company equity.

Backpack prioritizes users with tokenomics setup

Backpack first announced it would launch the Backpack token in a post on X earlier this month. 

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The tokens are intended to be unlocked in stages as the company moves toward a potential US IPO.

Backpack said 25% of the 1 million-token supply will be unlocked at the Token Generation Event, while the next 37.5% of the tokens will be released before the IPO, provided that Backpack reaches certain milestones, such as regulatory approvals and the launch of new products.