Bitcoin (BTC) price has consolidated just above a major support level at $65,000, and crypto traders believe the formation is solid. Some have questioned predictions of a major adjustment in the near future.
“Bitcoin is holding its price very strongly, so I don’t think there will be a major correction,” said Yodda, a crypto trader who pseudonymously said. Said On May 18th, he had 49,000 X followers.
Meanwhile, pseudonymous cryptocurrency trader Recto Capital has reported that Bitcoin prices have fallen 15% from $66,421 on April 24th to $56,792 on May 2nd, according to CoinMarketCap. He pointed out that a major adjustment event has already occurred. data.
“We’ve experienced deep corrections and we’ve experienced long corrections. When you have a mix of both, the bottom is always very close,” Recto declared in a recent X. post.
Just four days later, on May 6, Bitcoin price rebounded above the key support level at $65,146, which some traders see as a common trend during bull markets.
“A normal correction in a Bitcoin bull market is usually a nuclear attack accompanied by a sharp rebound,” crypto critic Starbust explained in a May 18 article. post.
Cryptocurrency trader Maggs cites the “psychology of market cycles” from the classic market graphic sheet, Wall Street Cheat Sheet, stating that Bitcoin has entered the “belief” phase of the cycle and investors are He pointed out that they will start to feel more confident about their profits. .
Analysts and observers have been closely monitoring the Bitcoin price for signs of further correction, especially after the Bitcoin halving event on April 20, using past halving events as a precedent.
After the Bitcoin halving in May 2020, the price of Bitcoin skyrocketed from $9,383 to $58,958 by May 2021. However, just one month later, a 40% correction occurred in June, dropping to $35,484 in June.
Related: Bitcoin analysis predicts next $74,000 as BTC price tries to maintain 7.5% increase
Some analysts believe that there is no point in scrutinizing Bitcoin’s price chart until it breaks above $70,000, again close to all-time highs.
On May 17th, Matty Greenspan, founder of Quantum Economics, explained to Cointelegraph that “what’s exciting is the breakout, so until a breakout occurs, chart analysis is pretty useless.”
“Forget about all short-term price fluctuations.” Added Pseudonymous cryptocurrency trader PlanC.
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