Bitcoin’s recent correction from its all-time high panicked the market over the past week. However, not everyone saw it as a bad omen. The price of the digital asset had fallen below $ 60,000, leading investors to believe that the bear market had arrived. Most of the time, retail investors were hit hardest by panic when sell-offs took place across the room.
Nonetheless, the correction had to come after the incredible run that Bitcoin had. Market corrections are always normal and expected after a bullish rally, but market analysts have indicated that this particular correction could have some positive impact on the digital asset in the future.
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Be grateful for the break-in
BOOX Research analysts recently published their market analysis and shared their thoughts on current market conditions. The analysts said the correction is good for the digital asset. This type of dip is important for a “healthy” market and the bulls should be grateful for it, the analysts said.
The recent sell-off wasn’t bad for the market, and while bears believe Bitcoin has already peaked, it hasn’t. The analysts at BOOX Research further stated that despite its 20% decline, the market is nowhere near the “crypto winter”. The fact that the digital asset had held above $ 50,000, which is an important psychological value for Bitcoin, further shows that it is still going strong.
BTC slump continues | Source: BTCUSD on TradingView.com
The analysts indicated that if the price had fallen below $ 50,000, there would have been a large pullback, which resulted in a retest of $ 30,000. However, it would take something powerful, such as an “unforeseen major regulatory blow,” for the asset to fall below this level.
Bitcoin to $ 100,000
BOOX Research analysts have repeated a widely used prediction in the crypto space. That is, Bitcoin at $ 100,000. The analysts are putting the digital asset at this price point in 2022, but not without a small hurdle. In their report, they state the digital asset would need to rise above $ 60,000 first, which would prepare it for a retest at an all-time high. Additionally, the asset is expected to accelerate toward $ 75,000 until it hits $ 100,000 next year.
“Bitcoin has hit several major pivots around $ 50,000 since February of this year. We expect the bulls to have a tough fight and hold that line when it gets down there, which could be a good place to increase positions. “
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The pullback has done well for the pioneering digital asset. Prices have stabilized somewhat – as stable as they can be for the highly volatile crypto market – preparing the asset for another jump above $ 60,000. Bitcoin had rebounded to $ 59,000 on Thursday and indicators are pointing to a continuation of the bull rally.
Featured image from Republic World, chart from TradingView.com