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Bitcoin Drops 5%: 'Corrections Are Normal, Buy The Bitcoin Dip,' Says Popular Analyst

Published 02/04/2024, 23:21
Updated 03/04/2024, 00:40
© Reuters Bitcoin Drops 5%: 'Corrections Are Normal, Buy The Bitcoin Dip,' Says Popular Analyst
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Benzinga - Renowned crypto analyst Michaël van de Poppe on Tuesday shared insights on the current state of the Bitcoin (CRYPTO: BTC) market, urging investors to see the recent dip as a buying opportunity and recognize corrections as a regular part of market cycles.

What Happened: Van de Poppe took to X to offer his perspective noting the presence of both bullish and bearish narratives in all markets, highlighting the current bearish narrative surrounding the transfer of government-seized Bitcoin. He expressed satisfaction with this development, indicating a return of these coins to the market.

Further, van de Poppe stressed market corrections, like the recent drop in Bitcoin’s price, are a typical and expected occurrence in any market. He suggested such corrections signify a healthier and more natural market cycle. Additionally, he predicted Bitcoin might not reach a new all-time high before its halving unless it surpasses the $69,000 mark.

Also Read: Bitcoin, Ethereum, Dogecoin Dip In Market Correction: Analyst Expects All-Time Highs For King Crypto

Why It Matters: These insights come as Bitcoin experienced a nearly 6% decline over the past week, including a 5% drop over the past 24 hours. Despite this downturn, data from IntoTheBlock shows a significant 178% increase in large transaction volume, along with a 37.2% expansion in daily active addresses. CoinGlass data on Bitcoin’s derivatives indicates a 55.1% surge in trading volume.

Van de Poppe’s perspective suggested the current correction was part of the broader market cycle, presenting potential buying opportunities for traders who view these dips as favorable entry points.

What's Next: Van de Poppe identified the area of interest for Bitcoin between $56,000 and $60,000. He noted that if Bitcoin fails to hold the $67,000 mark, it was likely the peak had been reached before the halving. These insights offered guidance to investors navigating the current Bitcoin market landscape.

The influence of Bitcoin as an institutional asset class is expected to be thoroughly explored at Benzinga’s upcoming Future of Digital Assets event on Nov. 19.

Read Next: Bitcoin’s 6% Drop Prompts Peter Schiff Commentary: ‘It’s A Fake Asset’

Image created using artificial intelligence with Midjourney.

© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

Read the original article on Benzinga

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