Bitcoin and Ethereum Longs Beware: Analyst Forecasts Impending Downturn
A well-known crypto market analyst predicts that Bitcoin (BTC) could experience a significant downturn in the near future.
Justin Bennett, who has a sizable following on Twitter, suggests that BTC might undergo a sharp correction down to approximately $20,000.
Bennett’s reasoning is based on the market’s tendency to seek liquidity, indicating that BTC may need to pull back to clear out the accumulation of long positions at a key psychological level.
Bennett believes it’s only a matter of time before BTC revisits the $20,000 lows, regardless of whether it rallies to $30,000 or not.
GM fam. ☕️
Whether we see another push to $30k or not, it's only a matter of time before $BTC sweeps the $20k lows, IMO.
It's just the nature of the beast. #Bitcoin pic.twitter.com/J8UGRvfCRK
— Justin Bennett (@JustinBennettFX) April 3, 2023
He suggests that Bitcoin might rally higher first to liquidate traders who are betting on a correction, and he’s waiting for that opportunity to enter into a short position.
READ MORE: Bitcoin: Price Inches Closer to $30,000 – What to Expect?
Meanwhile, Ethereum (ETH) has also amassed long positions at around $1,000, and Bennett believes that ETH could pull back to liquidate those longs at the psychological level.
Bennett hints that long liquidations could accumulate at $1,000 ETH, indicating that a downward correction may occur. As of the time of writing, Bitcoin is priced at $28,439, and Ethereum is trading at $1,870.
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
