A cryptocurrency analyst and trader is issuing a warning on Bitcoin (BTC) amid a significant market correction.
The analyst pseudonymously known as Rekt Capital tells his 73,400 YouTube subscribers that Bitcoin is currently experiencing a correction which typically occurs ahead of the halving.
“So we’ve been talking about this danger zone for a while and we’ve seen retracement in that danger zone. And, in fact, we are in the thick of this danger zone, we’ve been in this danger zone for a month or so. And we’ve already seen two pre-halving retraces.”
According to the pseudonymous analyst, going by previous Bitcoin cycles, pre-halving corrections typically set the stage for a bullish phase.
“You can see that around the halving is when we typically see slowing down in the momentum for a little while, pulling back before embarking on the parabolic upside. And that’s been the case in each cycle thus far and it will probably be the case in this cycle as well.”
On when Bitcoin could bottom out, the pseudonymous analyst says,
“Anything getting closer to a 20% pullback is fantastic for Bitcoin because that’s typically when we tend to see limited downside occur and that’s where we tend to typically also see extreme fear which tends to precede financial opportunity.
So we are getting closer to that point, we are getting closer to that reversal point. But we don’t quite know exactly where the bottom is.”
Bitcoin is trading at $62,405 at time of writing.
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