• Market analysts explain why the current correction is beneficial to Bitcoin

  • The recent bitcoin correction down from its all-time high has caused a panic in the market over the last week. However, it has not been interpreted as a bad omen by everyone. The price of the digital asset had dropped below $60,000, leading investors to believe that the bear market had arrived. Small-time investors were disproportionately affected by the sell-offs that occurred throughout the space.

    Nonetheless, a correction was unavoidable following bitcoin’s incredible run. Market corrections are always normal and expected following a bull rally, but market analysts believe that this particular correction may have some positive implications for the digital asset in the future.

    Be Thankful For Your Slump

    BOOX Research analysts recently released their market analysis and shared their thoughts on current market conditions. According to the analysts, the correction was beneficial to the digital asset. This type of slump is necessary for a “healthy” market, and bulls should be grateful for it, according to the analysts.

    The recent sell-off has been beneficial to the market, and while bears believe bitcoin has reached its peak, this is not the case. Despite the 20 percent downward retracement, analysts at BOOX Research believe the market is still far from “crypto winter.” Furthermore, the digital asset has held above $50,000, which is an important psychological level for bitcoin, indicating that it is still going strong.

    According to the analysts, a significant pullback would have occurred if the price had fallen below $50,000, resulting in a $30,000 retest. However, something significant, such as a “unexpected major regulatory setback,” would be required for the asset to fall below this level.

    Bitcoin Is Set to Reach $100,000

    BOOX Research analysts have echoed a widely held prediction in the crypto space. That is, bitcoin at a price of $100,000. Analysts predict that the digital asset will reach this price point in 2022, but not without some difficulty. According to their report, the digital asset would have to first break above $60,000 in order to retest its all-time high. Furthermore, the asset is expected to rise toward $75,000 before reaching $100,000 next year.

    “Since February of this year, Bitcoin has made several key pivots around $50,000. We expect the bulls to fight hard and hold that line if it gets that far down, which could be a good spot to add positions.”

    The pullback has been beneficial to the pioneer digital asset. Prices have somewhat stabilized – as stable as they can be in the highly volatile crypto market – positioning the asset for another surge above $60,000. On Thursday, Bitcoin recovered to $59,000, and indicators point to a continuation of the bull rally.

    What's your reaction?
    Happy0
    Lol0
    Wow0
    Wtf0
    Sad0
    Angry0
    Rip0