Digital asset analysis company Swissblock analyst said that no asset will continue to rise in a straight line, and neither will Bitcoin.
Contents:
Toggle
Swissblock: Bitcoin will face temporary correction
Is Meme Coin the Doomsday Tank?
Swissblock: Bitcoin will face temporary correction
Foreign media
CoinDesk
Quoting the Swissblock report, it pointed out that the price of Bitcoin has almost doubled from $38,000 at the end of January, and there has been no meaningful correction, suggesting that a correction period may be imminent.
Swissblock analyst said:
Advertisement – Continue reading below
No asset will continue to rise in a straight line, and neither will Bitcoin.
The Swissblock analyst’s prediction is based on the 4-hour RSI technical indicator of Bitcoin. He believes that Bitcoin will rise slightly, but the RSI continues to decline, forming a bearish divergence, indicating a possibility of price decline.
Analyst Henrik Zeberg believes that the correction could occur as early as the next few days, but from a larger time frame, the correction will only be temporary.
He expects Bitcoin to fall to $58,000 to $59,000 in the next step, a 20% decrease from the current price, but it will continue to set new historical highs afterwards.
Is Meme Coin the Doomsday Tank?
Matrixport also mentioned on the 12th based on the RSI indicator that despite the price support, the sinking of RSI and the divergence from the Bitcoin price may indicate that Bitcoin needs to consolidate before rebounding again.
Finally, the frenzy of Meme Coins may also represent a correction indicator. CoinDesk pointed out that investors’ profits have shifted from the cryptocurrency market to high-risk, small-cap tokens, which often mark the final stage of an upward trend.
For example, Bitcoin reached a cyclical high of $31,043 in April last year, followed by PEPE setting a new historical high on May 6th, and Bitcoin only hit a low of $24,791 on June 14th, marking the start of another wave of gains.
BTC/USDT daily chart | Source: OKX
bitcoin
BTC
Swissblock
Bitcoin
Related Reading
BlackRock increases investment in Bitcoin with its global allocation fund and strategic income opportunities fund
Judge rules to terminate mining company energy investigation, criticizing the hasty procedures of the US Department of Energy.