The queen of crypto has performed well since the start of the year. Stimulated by the US banking crisis, the price of BTC rebounded strongly. But investors are not immune to the volatility of this asset. A famous crypto analyst has predicted a correction in the price of bitcoin (BTC). This move will be imminent following a rally.
Bitcoin (BTC) will undergo a rapid correction after the rally
Justin Bennett is a cryptocurrency analyst with over 112,300 Twitter followers. He believes that bitcoin is gearing up to liquidate both bulls and bears in the coming days. Indeed, he announced that there is massive short stop liquidity resting above the $30,000 level for Bitcoin (BTC). It is thus possible that BTC undergoes a brief explosion above $30,000. The objective being to eliminate the first bearish movements of the BTC which think that the token will go down in a straight line.
The analyst pointed to the charts to see if BTC is sensing those short position closeouts above $30,000 this weekend. Predicting a short-term upside for Bitcoin, Bennett nevertheless adds that bitcoin (BTC) will experience a movement rapid correction after the rally. According to him, the price could drop as low as $26,800 before bouncing back.
All Cryptos Remain Below Crucial Level
According to Bennett, a strong move would come as no surprise after this week’s volatility. He also shared a bitcoin (BTC) heatmap showing that many bulls have placed long positions around the $26,000 level. As of this writing, the queen of cryptos is trading at $28,578.
Additionally, Bennettt analyzed the total market capitalization of all cryptoassets (TOTAL). He estimates that TOTAL remains below the crucial $1.18 trillion level. This suggests that the crypto market is failing to trigger a breakout rally yet. The analyst said TOTAL is one of the reasons it is not comfortable with cryptocurrencies right now.
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