Glassnode Analysts Say Bitcoin Needs to Correct After Parabolic Breakdown – Here’s Their Price Target
The founders of analytics firm Glassnode say Bitcoin (BTC) is likely facing a significant correction after an excessive bullish move.
Glassnode co-founders Jan Happel and Yann Allemann, on the social media platform
Analysts are targeting the $58,000 level as a potential support level before BTC can rise further in a longer-term bull market.
“Nothing goes in a straight line. Not even BTC
BTC was at full speed. At the end of January, BTC was at $38,000. At the beginning of March it was $72,000.
No moves without a return. And a countermovement seems imminent.
We are observing a negative divergence – as BTC has risen to its highs in a 3-wave structure (a B-wave). At $89,000, spirits are high!
It's time for a COOLER.
We expect BTC to fall to around $58-59,000 in the next move. But Top is NOT there.”
Source: Negentropic/X
The Glassnode founders also note a divergence between Bitcoin's Relative Strength Index (RSI), a momentum indicator, and the uptrend of BTC price. When the RSI traditionally trends in the opposite direction of the price, it suggests that a reversal may be brewing.
However, not all analysts are convinced that a Bitcoin correction is imminent. Economist Alex Krüger recently predicted that BTC would hover somewhere around $85,000 before diving into the $55,000 level.
Says Krueger,
“Bitcoin is in a supercycle (shorter, shallower dips).
Macro still looks good.
The crypto markets are heated and euphoric.
ETF inflows can still support prices and push them higher.”
Krüger also expects Bitcoin to rise as high as $85,000, only to experience a 35% devaluation afterward.
“Can see something like this: $85,000 => $55,000 => $120,000 => $85,000.”
At the time of writing, BTC is trading at $72,876.
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