A cryptocurrency analyst and trader believes Bitcoin (BTC) is no longer at risk of a further market correction.
The analyst pseudonymously known as Rekt Capital tells his 76,900 YouTube subscribers that based on historic precedence Bitcoin has left the phase, or “danger zone,” when there is a likelihood of a dip below its range low after the halving event when miners’ rewards are cut in half.
“Essentially speaking, the danger zone, the post-halving danger zone, which is a three-week window where Bitcoin can produce downside volatility below its current reaccumulation range low, that danger zone is over. And that terror that occurs whenever we see downside volatility below the reaccumulation range low, that is also over. That terror is over. And the correction bottom is probably in.”Source: Rekt/YouTube
Based on past cycles, the analyst believes Bitcoin is now in a reaccumulation phase when the digital asset tends to trade sideways.
“The reaccumulation phase that lies ahead is not over… this is a real accumulation phase right now. We’re probably going to be meandering between the range low and the range high, the $60,000 and $70,000 regions, just meandering here for the next coming weeks. As we’ve seen, this can be at least 150 days.”
Bitcoin is trading for $65,364 at time of writing, down more than 1% in the last 24 hours.
Real Vision analyst Jamie Coutts is saying that the performance of the US dollar against other major currencies will impact the price of Bitcoin (BTC).
Coutts tells his 16,300 followers on the social media platform X that the US Dollar Index (DXY), a measure of the US dollar’s value compared to a basket of six dominant global currencies, is currently trading in a range.
According to Coutts, Bitcoin could rally if the DXY falls by around three percent from the current level.
“A break below 101 would be rocket fuel for Bitcoin.”ImageSource: Jamie Coutts/X
The DXY is trading at 104.52 at time of writing.
According to the Real Vision analyst, the DXY falling would send Bitcoin surging by approximately 127
The DXY holds the key to the Bitcoin cycle as it prices in market expectations on liquidity in real-time. And liquidity is coming.
Watch the 101/102 level on DXY. If that breaks, then we should see approximately $150,000 BTC this cycle.”Image
Earlier this month, Coutts opined on a reverse scenario warning that an upward move by the US dollar index would send Bitcoin to levels last recorded in February.
“With money supply actually expanding again, if the DXY turns bullish (i.e. weakens), then you have the macro/liquidity signal for BTC and it will be off to the races.
However, 106/107 on the DXY remains the bogeyman level, which if broken, would likely see a fall into the low $50,000 range.”
Bitcoin is trading at $66,189 at time of writing.