With its price of BTC ticking down to $67,054, Bitcoin has solidified its position just above its critical support level of $65,000, and cryptocurrency traders think its structure is holding firm. Some people are really skeptical the rumors of an impending significant correction. On May 18, anonymous cryptocurrency trader Yoddha informed his 49,000 X followers, “I don’t think there will be a deep correction because Bitcoin is holding up the price so strongly.” The big correction event has already occurred, according to pseudonymous cryptocurrency broker Rekt Capital, with statistics showing that the price of Bitcoin dropped by 15% from $66,421 on April 24 to $56,792 on May 2.
Rekt stated recently on X that “we’ve had a deep correction, we’ve had a long correction, and when you have a mix of both, the bottom is always very close.” Just four days later, on May 6, however, the price of Bitcoin rose over the crucial support level of $65,146, a move that some traders believe is typical of bull runs. Crypto analyst Starbust clarified in a post dated May 18 that “normal corrections in Bitcoin bull runs are usually nukes that are sharp and quick with a quick bounce back.”The Wall Street Cheat Sheet’s “Psychology of a Market Cycle,” a typical market graphics sheet, is used by cryptocurrency trader Mags to highlight that Bitcoin is currently in the “entering belief” phase of the cycle, which is when investors begin to feel more confident about the market’s advances. Since the April 20 Bitcoin halving event, analysts and watchers have been closely monitoring the price of the cryptocurrency for indications of further fall, using previous halving events as a precedent. The price of Bitcoin skyrocketed from $9,383 to $58,958 by May 2021 following the halving in May 2020. But in June, it fell to $35,484 after a 40% correction that occurred in just one month.
Nonetheless, other analysts feel that it is useless to examine Bitcoin’s price trend until it rises beyond $70,000 and gets closer to its all-time high once more. Founder of Quantum Economics Mati Greenspan told Cointelegraph on May 17 that “it’s the breakouts that are exciting, so analyzing the charts will be pretty futile until we have a breakout.” “Ignore all the short-term price movement,” PlanC, a crypto trader going by pseudo, continued.