A trader known for his accurate Bitcoin (BTC) predictions believes that the current correction is favorable for his long-term upward trend.
The analysis, known as “Dave the Wave,” suggests that Bitcoin’s recent drop below $60,000 has hindered the possibility of a parabolic rebound.
According to him, the price trend of BTC indicates more consolidation in the future, which will lay a stronger foundation for a significant rebound later this year:
The positive side … is its continued development in a relatively stable technical manner – consolidating to enter a strong recovery in the fourth quarter. The more dynamic market will see higher prices later than the upward trend seen earlier.
The reason why the positive #btc price will not show a parabolic trend is that it continues to develop in a relatively stable technical way – consolidating, and then entering a strong recovery in the fourth quarter. Prices in the later bullish market will be higher than those seen earlier.
He recently predicted that the price of Bitcoin could fall to around $50,000 and may find support.
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Analysts say that a drop to $50,000 will bring BTC back to the “buy zone” against his logarithmic growth curve (LGC) model, which aims to predict the long-term bottoms and tops of Bitcoin cycles while filtering short-term fluctuations.
Even if #btc returns to the support level of the “buy zone” and triples in value within two years, it is in a favorable position from a technical standpoint to resume its upward trend. For investors who previously bought in the LGC buy zone, this is not too bad.
Dave further emphasized that such a deep correction will enable Bitcoin to regain upward momentum.
