Bitcoin (BTC): Analyst predicts imminent correction

The queen of cryptocurrencies has been performing well since the beginning of the year. Stimulated by the American banking crisis, the price of BTC has rebounded strongly. However, investors are not immune to the volatility of this asset. A famous crypto analyst has predicted a correction in the price of bitcoin (BTC). This movement will be imminent following a rally.

Bitcoin (BTC) will experience a rapid correction after the rally

Justin Bennett is a cryptocurrency analyst followed by over 112,300 followers on Twitter. He believes that bitcoin is preparing to liquidate both bulls and bears in the coming days. Indeed, he announced that there is massive short stop liquidity resting above the $30,000 level for Bitcoin (BTC). It is thus possible that BTC will experience a brief explosion above $30,000. The goal is to cancel the first bearish movements of BTC that think the token will go straight down.

The analyst pointed out the charts to see if BTC is anticipating these short position liquidations above $30,000 this weekend. Predicting a short-term rise for Bitcoin, Bennett nevertheless adds that bitcoin (BTC) will experience a rapid correction movement after the rally. According to him, the price could drop to $26,800 before rebounding.

All cryptos remain below the crucial level

According to Bennett, a strong movement would not be surprising after the volatility of this week. He also shared a heatmap of bitcoin (BTC) showing that many bulls have placed long positions around the $26,000 level. At the time of writing, the queen of cryptos is trading at $28,578.

Additionally, Bennett analyzed the total market capitalization of all crypto-assets (TOTAL). He estimates that TOTAL remains below the crucial $1.18 trillion level. This suggests that the crypto market has yet to trigger a breakthrough rally. The analyst stated that TOTAL is one of the reasons why he is not comfortable with cryptocurrencies right now.