Bitcoin’s Rise To $52,000 Masks Potential Pitfalls Ahead, Analyst Warns
February 15 2024 - 9:30AM
NEWSBTC
Crypto analyst Justin Bennett has laid out a bearish narrative for
the flagship crypto token Bitcoin. Based on his analysis, Bitcoin
will likely drop below the $50,000 level again before it moves
further to the upside. Related Reading: Bitcoin Hits
$52,000-Plus, Explodes Over 21% For 2024 – Details Bitcoin Could
Drop Back To As Low As $47,000 In an X (formerly Twitter) post,
Bennett mentioned that the price range between $47,000 and $49,000
“is the land in the sand” for Bitcoin. This statement came from his
belief that the crypto token will soon see a price retracement. He
also reminded his followers of how “Bitcoin carves significant
tops.” The crypto analyst suggested that $52,000 was a ‘significant
top’ and that a price correction could be imminent. Bennett added
that his prediction could be invalidated if BTC saw a sustained
break above $53,500. Meanwhile, he also compared Bitcoin and US
stocks, stating that there was an ongoing correlation between
them. Bennett also disagrees that Bitcoin’s rally could
be longer this cycle, especially considering the demand that the
Spot BTC ETFs are seeing. He stated his indifference about these
funds and mocked how everyone predicted they would send Bitcoin to
a potential all-time high (ATH). From a technical analysis
perspective, the crypto analyst was more concerned about BTC’s
price action and remarked that “the chart will tell the story.” BTC
Fundamentals Are Getting Stronger While Bennett predicts that
Bitcoin will drop soon enough, it is worth mentioning that the
crypto token’s fundamentals are getting stronger, which could also
dictate its price action. Citing data from Glassnode, crypto
analyst Ali Martinez recently revealed that the amount of BTC held
in known crypto exchange wallets has dropped to its lowest in six
years. As highlighted by Martinez, this suggests that the market
sentiment around the flagship crypto is changing, with most
investors looking to hold for the long term. That is considered a
positive development and bullish for Bitcoin’s price since the
amount of BTC that can be acquired is further reduced, creating
some form of scarcity. The crypto analyst had also recently
mentioned how Bitcoin holders are currently in a phase of belief,
which signals potential further gains ahead for BTC. Related
Reading: Stacks (STX) Stuns: Price Soars Over 60% In Epic Recovery
As TVL Explodes According to CoinMarketCap data, Bitcoin is trading
at around $51,900 at the time of writing, up over 2% in the last 24
hours. Chart from Tradingview
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