After the weekend dip, the market witnessed a slight surge with most of the cryptos gaining the momentum.
Bitcoin expected to bounce back soon, finding a new support level above the current mark.
Crypto Market on Correction Phase
The crypto space was adversely impacted with most of the digital assets and the DeFi tokens plunged throughout the week. However, the crypto market today has entered the correction phase with most of them painted in green.
On the other hand, bitcoin is still struggling to maintain a five-digit price, finding the support levels above $10000. The September crash is speculated as a resemblance of the March 2020 dip, wherein Bitcoin had slipped to the lowest level below $4000. But within 6 months it managed to cross $11000 and maintain for a pretty good time.
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Don’t Sell-Off Says the Analysts
Few analysts in the crypto space Predict that Bitcoin price could probably bounce back very soon with soaring prices. Currently, BTC price is trading at $10,100 with 0.68 percent loss.
If we look into the recent March 2020 crash and the current September crash, patterns appear to be similar. And, therefore, the gains also can skyrocket with good returns.
In fact, the March crash had the support levels somewhere between $3000 and $4000, but in the present times, Bitcoin is finding its support above $10000. And therefore if the digital asset bounces back, then it could possibly reach new ATH.
Co-founder and Partner at Morgan Greek digital, Jason A.Williams, recently tweeted about his bitcoin holding and cash reserves. He said that he has more money held in Bitcoin and Stablecoins than traditional bank accounts.
Moreover, according to a user called 21Million, nearly 30.9 percent of the circulating supply of Bitcoin has not moved from the past 3 years. It accounts for nearly 5.7 million BTC which remain stagnant since September 2017.
It points out that the crypto bulls and whales are stacking their bitcoin holdings for the major bull rally in the coming days.
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Summarizing the whole story, Bitcoin is one of the most traded digital assets ever and the world’s sixth-largest currency. Therefore many factors affect the price which tends to fluctuate every now and then. But the prime focus is the correction level of the digital asset after each dip which signifies the possible benchmark of the new highs.