Rally

Bitcoin

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Billion

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Bitcoin (BTC), the largest crypto currency, witnessed a rally beyond the $52,000 level lately. It has spurred a bullish outlook with increased optimism around <a href="https://coingape.com/blog/pre-halving-bitcoin-price-rally/" target="_blank" rel="noopener">Bitcoin</a>‘s surge to $100,000. On the other hand, analysts have even provided a target of $150,000 in the long run, however, the Bitcoin price is expected to experience a correction of up to 40% before that. 
<h2 id="analyst-s-take-on-40-correction-in-bitcoin-price">Analyst’s Take On 40% Correction In Bitcoin Price</h2> 
Renowned cryptocurrency analyst Michaël van de Poppe has made bold predictions regarding the Bitcoin price trajectory, foreseeing a rally to $150,000 preceded by a massive pullback. In a recent analysis, Poppe emphasized the possibility of a 40% correction in the BTC price before it resumes its upward trajectory. 
According to Poppe, market sentiment often overshoots reality, leading to exaggerated price movements. He stated, “Sentiment is always a wrong indicator. Emotions always exceed reality and sentiment overshoots the price action by a mile, that’s why people start to lose money.” This sentiment-driven volatility has been evident in recent market movements, including Bitcoin’s surge to $50,000 and subsequent corrections. 
Moreover, Poppe cautioned traders and investors to adopt a strategic game plan based on their risk tolerance and investment horizon. For short-term traders, he advised caution, especially when prices have appreciated rapidly. “If your horizon is relatively short, then it might not be +EV to buy an asset that appreciated 35% in 10 days,” he remarked. Furthermore, he highlighted the importance of assessing risk-reward ratios before making trading decisions. 
The pullback is anticipated to come after the <a href="https://coingape.com/bitcoin-price-to-hit-301k-before-halving-analyst-predicts/" target="_blank" rel="noopener">Bitcoin price</a> peaks between $53,000 and $58,000. In contrast, Poppe suggested that long-term investors could benefit from waiting for a standard 20% to 40% correction before entering the market. “If your horizon is 2-3 years from now and you suspect to see Bitcoin at $150K+ in that window, then there’s no big issue of starting to scale in at these prices,” he noted. This approach will allow investors to capitalize on market dips and manage emotions effectively. 
Also Read:&nbsp;<a href="https://coingape.com/bitcoin-news-us-states-step-up-to-defend-btc-rights-amid-bullish-outlook/" target="_blank" rel="noopener">Bitcoin Freedom: 3 US States Step Up To Defend BTC Rights Amid Bullish Outlook</a> 
<h2 id="impact-of-macroeconomic-factors-on-bitcoin">Impact Of Macroeconomic Factors On Bitcoin</h2> 
Poppe also discussed the impact of macroeconomic events on Bitcoin’s price movements, citing factors such as the <a href="https://coingape.com/breaking-us-cpi-inflation-eases-to-3-1-core-inflation-beats-market-estimates/" target="_blank" rel="noopener">Consumer Price Index (CPI)</a> data. He warned that negative macroeconomic developments could trigger a swift bearish turn in the Bitcoin price. “Honestly, I think the moment that macroeconomic events are slightly negative, it would suggest that we’re going to see a correction,” he stated. 
In addition, the hot <a href="https://coingape.com/breaking-us-ppi-inflation-surges-in-january-bitcoin-prices-steady/" target="_blank" rel="noopener">January Producer Price Index (PPI)</a> data led to extreme volatility in the market, adding to the impact caused by the January CPI report. Despite the potential for short-term volatility, Van de Poppe expressed confidence in Bitcoin’s long-term prospects, predicting a rally to $150,000. Whilst, other analysts provided a bullish outlook for Bitcoin price as they offered a $100,000 target. 
At press time, the <a href="https://coingape.com/price/bitcoin/" target="_blank" rel="noopener">BTC price</a> was down by 0.86% to $51,516.41 on Sunday, February 18. It boasted a market capitalization of $1.01 trillion. Whilst, the 24-hour trade volume dropped by 12.65% to $21.72 billion. The recent bearish turn in Bitcoin price could be attributed to the negative PPI report published on Friday. 
Also Read:&nbsp;<a href="https://coingape.com/breaking-spot-bitcoin-etf-records-323-90-mln-net-inflows-reaching-5-billion/" target="_blank" rel="noopener">Breaking: Spot Bitcoin ETF Records $323.90 Mln Net Inflows, Reaching $5 Billion</a> 
The post <a href="https://coingape.com/top-analyst-expects-40-bitcoin-price-correction-before-rally-to-150k-heres-why/">Top Analyst Expects 40% Bitcoin Price Correction Before Rally To $150K, Here’s Why.</a> appeared first on <a href="https://coingape.com">CoinGape</a>.

Top Analyst Expects 40% Bitcoin Price Correction Before Rally To $150K, Here’s Why.

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