Analyst Expects Bitcoin Price Correction To Persist, Targets $57,000 Support
Bitcoin (BTC) has drawn much attention in the last few weeks, with a stunning price surge leading to a new all-time high of $73,750. Largely defined as the pre-halving rally, BTCs bolstering gains have been followed by significant price correction, with the crypto market leader trading as low as $65,630 on March 15.
While the cryptocurrency may have picked up some minor gains in the last 12 hours as it attempts a market recovery, popular analyst Michaël van de Poppe has released a disturbing prediction that indicates Bitcoin price correction may be far from over.
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In a Friday post on X, van de Poppe shared a market forecast that Bitcoin could fall as low as $57,000, thus prolonging its current correction phase. The analyst began by highlighting that BTC still retained a valid bearish divergence which occurs when the price of an asset forms higher highs while the corresponding indicator forms lower highs. It usually indicates that the driving force behind a certain trend is attenuated with a reversal now on the horizon.
#Bitcoin remains to have a valid bearish divergence.
This is confirmed by the lower timeframe, lower highs, and clear rejection at $70.5K.
For this correction, Id be targeting $57-61K, and, likely, well have peaked pre-halving.
Altcoin summer is on the horizon. pic.twitter.com/bGmnHcVDnz
Michaël van de Poppe (@CryptoMichNL) March 15, 2024
In the case of Bitcoin, the bearish divergence indicates the coins recent rally may be exhausted and is now likely to produce major negative price movements. Van de Poppe stated this theory was confirmed by BTCs latest rejection at the $70,000 zone during its attempted market rebound.
The prominent crypto analyst predicts Bitcoin to soon resume its price correction, falling to a price range of $57,000 to $61,000. If these speculations prove true, it could also indicate that in similar fashion, the BTC market may attain its highest value prior to the Bitcoin halving.
For context, the Bitcoin Halving is historically preceded by a price rally followed by a significant price retrace ranging from 20% to 40%. With the next Halving event set for April 2024, van de Poppe believes that further retracement by Bitcoin could stamp the end of the pre-halving rally.
BTC Price Overview
According to data from CoinMarketCap, Bitcoin is currently trading at $69,027 with a 0.17% and 1.26% in the last hour and day, respectively. In tandem, the tokens daily trading volume is up by 1.20% and is valued at $69.58 million.
BTC trading at $69,259 on the weekly chart | Source: BTCUSD chart on Tradingview.comText source: NewsBTC
