Popular cryptocurrency analyst Rekt Capital has warned that we are in the middle of a significant correction period in the Bitcoin (BTC) market. According to the analyst, Bitcoin is currently in a correction phase that usually occurs before the halving.
Rekt Capital stated that it has been talking about this critical area for a long time and is currently acting in this sensitive area of the market. “We’ve been talking about this danger zone for a while now and we’ve seen a pullback in that danger zone,” the analyst said. And we’re actually in the middle of this danger zone, we’ve been in this danger zone for about a month now. “We have already seen two pullbacks before the halving.” said.
Looking at previous Bitcoin cycles, the analyst pointed out that the corrections before the halving generally paved the way for the rise of the market and said, “We see that the momentum before the halving usually slows down for a short time and there is a retreat before the parabolic rise. “This has been the case in every cycle so far, and it will probably be the case this cycle as well.” he said.
According to analysis by Rekt Capital, the current Bitcoin correction period may present a significant buying opportunity for long-term investors. While such corrections before the halving are generally seen as an opportunity for the market to consolidate and create a new upward momentum, fluctuations can also present trading opportunities for short-term investors.
On the other hand, the analyst said the following about when Bitcoin will reach the bottom:
“Anything approaching a 20% pullback is great for Bitcoin because this is when we tend to see limited downside occurring, and at this point we also tend to see the extreme fear that often precedes financial opportunities.
NEWS CONTINUES BELOWSo we’re getting closer to that point, we’re getting closer to that point of return. But we don’t know exactly where the bottom is.”
Bitcoin is trading at $64,955 at the time of writing this article.
