Market Analysts Explain Why This Correction Is Good For Bitcoin
27 November 2021 - 10:00AM
NEWSBTC
The recent bitcoin correction down from its all-time high has had
the market in a panic in the past week. However, not everyone has
seen it as a bad omen. The digital asset’s price had gone down
below $60,000 causing investors to believe the bear market had
arrived. Mostly, small-time investors had been hit the most by
panic as sell-offs happened through the space. Nevertheless, the
correction was bound to happen following the incredible run that
bitcoin had. Market corrections are always normal and expected
after a bull rally but market analysts have pointed out that this
particular correction could have some positive implications for the
digital asset going forward. Related Reading | Bitcoin Whale
Wallet Containing 1,299 BTC Activates After Eight Years Be Grateful
For The Slump Analysts at BOOX Research recently released their
analysis of the market and shared thoughts surrounding current
market conditions. The analysts explained that the correction was
good for the digital asset. This type of slump is important for a
“healthy” market and bulls should be grateful for it, the analysts
said. The recent sell-off has not been bad for the market and
although bears believe that bitcoin had already seen its top, this
is not true. BOOX Research analysts further explained that the
market is nowhere near the “crypto winter” despite its 20% downward
retracement. Further stating that the fact that the digital asset
had held above $50,000, which is an important psychological level
for bitcoin, shows that it is still going strong. BTC dip continues
| Source: BTCUSD on TradingView.com The analysts pointed out that a
major pullback would have been witnessed if the price had broken
below $50,000, leading to a $30,000 retest. However, it would take
something impactful, like an “unforeseen major regulatory setback”
for the asset to break below this level. Bitcoin Headed For
$100,000 Analysts at BOOX Research have echoed a widely held
prediction in the crypto space. That is, bitcoin at $100,000. The
analysts put the digital asset at this price point in 2022 but not
without a bit of a hurdle. In their report, they state that the
digital asset would have to first break above $60,000, which would
set it up for an all-time high retest. Additionally, the asset is
expected to accelerate towards $75,000 until it touches $100,000
next year. “Bitcoin has made several key pivots around $50,000
going back to February of this year. We expect the bulls to put up
a strong fight and hold that line if it gets down there, which
could be a good spot to add to positions.” Related Reading
| JPMorgan Lists Ethereum As A Better Investment Than Bitcoin
For the pioneer digital asset, the pullback has done for good for
it. Prices have stabilized somewhat – as stable as they can be for
the highly volatile crypto market – setting the asset up for
another bounce above $60,000. Bitcoin had recovered back up to
$59,000 on Thursday and indicators point to a continuation of the
bull rally. Featured image from Republic World, chart from
TradingView.com
TRON (COIN:TRXUSD)
Historical Stock Chart
From Apr 2024 to May 2024
TRON (COIN:TRXUSD)
Historical Stock Chart
From May 2023 to May 2024